In this article, we will take a look at the 10 AI Stocks Analysts Are Betting On.
The artificial intelligence trade remains intact in the US equity markets. It is a stance echoed on Wall Street despite growing concerns over a potential bubble amid premium valuations. Kiran Ganesh, multi-asset strategist at UBS, insists the broader narrative around AI remains intact despite the recent pullbacks.
“We’ve had a remarkably smooth rally given the scale of investment that’s taken place, given the uncertainty about future cash flows, and given some of those concerns about valuation,” Ganesh said. “As we’ve gone through earnings season, I think it’s reasonable to have expected some volatility, but actually, when we look at the results, they have been reassuring.
The remarks come amid souring investor sentiments on increasingly stretched valuations. Goldman Sachs CEO David Solomon has already warned of a potential 10%-20% drawdown in the equity market as the International Monetary Fund and Bank of England also remain wary.
In contrast, Anders Danielsson, CEO of Swedish construction group Skanska, which builds data centers and AI infrastructure, has downplayed concerns about an AI slowdown.
“In the U.S. we have a very strong pipeline of data centers — we don’t see any slowdown there,” he told CNBC. “We are working with large international customers and they are also interested in building data centers in central Europe, and in the Nordics and the U.K. We haven’t seen any slowdown really.”
On his part, GMO U.S. Quality ETF (QLTY) portfolio manager Tom Hancock insists it’s time investors took advantage of the volatility in artificial intelligence to scoop shares trading at a discount. According to Hancock, investors should remain bullish, despite mounting concerns over a bubble in the sector.
“We’d certainly be looking at buying more” in the tech sector, Hancock said.
With that in mind, let’s take a look at some of the AI stocks analysts are betting on.
Our Methodology
To determine the top AI stocks analysts are favoring, we conducted an in-depth review of companies advancing AI innovation and infrastructure. We focused on firms poised to benefit from the AI boom and showing strong analyst sentiment, including those with more than 30% upside potential as of November 26. We also factored in hedge fund ownership reported in the second quarter of 2025. Finally, we ranked the stocks based on their projected upside according to analysts.
Why are we interested in the stocks that hedge funds pile into? The reason is simple: our research shows we can outperform the market by imitating the top stock picks of the best hedge funds. Our quarterly newsletter’s strategy selects 14 small-cap and large-cap stocks every quarter and has returned 427.7% since May 2014, beating its benchmark by 264 percentage points (see more details here).
AI Stocks Analysts Are Betting On
10. Amazon.com, Inc. (NASDAQ:AMZN)
Stock Upside Potential: 30.36%
Number of Hedge Fund Holders: 335
Amazon.com Inc. (NASDAQ:AMZN) is one of the AI stocks analysts are betting on. HCLTech announced a new partnership with Amazon Web Services on November 25, aimed at speeding up innovation in the financial services sector. By combining HCLTech’s industry expertise with AWS’s cloud and AI capabilities, the two companies plan to help banks and insurers modernize outdated systems, improve customer experience, and meet regulatory expectations. HCLTech’s financial services head, Srinivasan Seshadri, said the collaboration is designed to address long-standing industry challenges and support a shift toward more autonomous operations.
Under the agreement, HCLTech will introduce pre-built, compliant solutions that streamline contact centers, strengthen digital engagement, and upgrade core platforms across banking, wealth, and insurance. Financial institutions will also gain access to strategic consulting built on AWS technologies. Leaders from Jefferies and AWS noted that the collaboration will help organizations innovate faster and adopt secure, modern digital systems at scale.
On the same day, Rosenblatt Securities analyst Barton Crockett reiterated a Buy rating on Amazon with a $305 price target. Earlier, on November 12, Needham’s Laura Martin also maintained her Buy rating, reflecting sustained optimism about the company’s long-term performance. Both analysts cite Amazon’s strong business fundamentals and disciplined growth strategy as major contributors to future value creation.
Martin pointed to Amazon’s focus on ROIC and free cash flow as key to its effective capital allocation. She highlighted the company’s strengths in logistics, energy expansion, and custom chip development—all of which help Amazon avoid bottlenecks and expand market share. She also noted that new AWS foundation models like Nova support stronger enterprise monetization, reinforcing expectations for continued growth.
Amazon.com Inc. (NASDAQ:AMZN) is a technology company that applies artificial intelligence (AI) and machine learning (ML) across its entire business ecosystem and provides a comprehensive suite of AI services for developers and enterprises through Amazon Web Services (AWS).
9. Advanced Micro Devices, Inc. (NASDAQ:AMD)
Stock Upside Potential: 32.37%
Number of Hedge Fund Holders: 113
Advanced Micro Devices, Inc. (NASDAQ:AMD) is one of the AI stocks analysts are betting on. Advanced Micro Devices, Inc. (NASDAQ:AMD), Cisco, and HUMAIN—a PIF-backed AI firm, unveiled plans on November 19 to create a joint venture aimed at turning Saudi Arabia into a major global player in artificial intelligence. Set to launch in 2026, the effort brings together HUMAIN’s next-generation data centers with AMD’s high-performance chips and Cisco’s infrastructure expertise.
The partnership’s first phase includes a 100 MW AI buildout powered by AMD’s Instinct MI450 GPUs and Cisco’s critical networking and data-center systems. The long-term target is far more ambitious: delivering up to 1 GW of AI infrastructure across the kingdom by 2030.
This joint venture builds on earlier collaborations among the three companies and is designed to offer scalable, cost-efficient AI capacity to support both government and private-sector needs. Beyond the technology, the initiative aims to strengthen Saudi Arabia’s digital economy by developing local talent, localizing key technologies, and accelerating homegrown innovation.
Earlier on November 10, Bernstein analyst Stacy Rasgon reiterated a Hold rating on the stock and set a $200 price target. The sentiment comes as Advanced Micro Devices Inc. has reiterated it is on track to achieve $100 billion in revenue over the next five years, attributed to strong demand for data center chips.
The company has already signed a multiyear deal with OpenAI, expected to bring in billions of dollars in annual revenue amid the AI boom. The agreement is a vote of confidence in AMD’s AI chips that continues to bolster the company’s sentiments and prospects in the highly competitive industry. Chief Executive Officer Lisa Su has already reiterated that the company’s market for data centers could grow to $1 trillion.
Su expects the artificial intelligence wave to drive much of the growth as the company works on plain processor and networking chips. It’s also investing in specialized AI chips to capitalize on the massive market opportunity. Consequently, AMD expects 35% annual growth across its entire business and 60% growth across its data center businesses. It also expects earnings per share to reach $20 per share over the next three to five years.
“It’s a exciting market,” Su said. “There’s no question, data center is the largest growth opportunity out there, and one that AMD is very, very well positioned for.”
Advanced Micro Devices, Inc. (NASDAQ:AMD) designs and manufactures high-performance computing and graphics solutions, including processors and GPUs, for a wide range of markets, such as data centers, personal computers, and gaming. The company’s products include microprocessors, graphics cards, and chipsets for PCs, servers, and embedded systems.
