According to Alphabet Chief Executive Sundar Pichai, the fallout in the artificial intelligence boom will spare no one, and that soaring valuations and rising investments have raised serious concerns of a potential AI bubble.
No company is going to be immune from this potential bubble burst, Pichai noted, not even Google.
“I think no company is going to be immune, including us.”
With Nvidia earnings due today, the artificial intelligence boom is set to face a key test amid these soaring valuations.
The AI chipmaker’s results will set the tone for the market. Even though the demand for its chips remains strong, its results will demonstrate whether AI has the potential to stay or if the enthusiasm surrounding the technology has indeed created a bubble.
“With every quarter that goes by, Nvidia earnings become more important in terms of clarification on where AI is moving and how much spending is being done.”
-Brian Stutland, chief investment officer of Nvidia investor Equity Armor Investments.
Nvidia will report its earnings today, November 19, after markets close.
“We all know one thing and one thing is only on traders’ mind this week and that’s one earnings — it’s Nvidia. “It’s not hyperbole, it is the most important earnings of the year. Why? Because it’s almost 8% of the S & P 500. It’s in the Dow Jones Industrial average. It’s part of the Nasdaq-100, roughly 10% … so, Nvidia’s gonna move markets.”
– Jay Woods, chief market strategist at Freedom Capital Markets
For this article, we selected AI stocks by going through news articles, stock analysis, and press releases. These stocks are also popular among hedge funds. The hedge fund data is as of Q2 2025.
Why are we interested in the stocks that hedge funds pile into? The reason is simple: our research has shown that 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).
10. SoundHound AI, Inc. (NASDAQ:SOUN)
Number of Hedge Fund Holders: 18
SoundHound AI, Inc. (NASDAQ:SOUN) is one of the 10 AI Stocks Analysts are Tracking Closely. On November 18, DA Davidson reiterated its Buy rating and $17.00 price target on the stock following a day of investor meeting with SoundHound’s CFO Nitesh Sharan.
The firm is constructive on SoundHound, citing stronger visibility and confidence in its strategic roadmap. From gaining insights on why the company acquired Interactions to learning details about the economics of SoundHound’s developing voice commerce business, the investor meeting has led the firm to gain useful clarity on the stock.
DA Davidson now believes that SoundHound is “well positioned” for high growth.
“Yesterday we hosted a day of investor meetings with SoundHound’s CFO Nitesh Sharan. We came away with greater clarity on the trajectory of SoundHound’s different growth vectors and the margin potential of the business. We heard more from management about the strategic intent behind its Interactions acquisition as well as color around the economics of its emerging voice commerce business. We continue to view SoundHound as well positioned for high growth and reiterate our BUY rating and price target of $17.”
SoundHound AI, Inc. (NASDAQ:SOUN) is a voice artificial intelligence company offering voice AI solutions to businesses.
9. GitLab Inc. (NASDAQ:GTLB)
Number of Hedge Fund Holders: 47
GitLab Inc. (NASDAQ:GTLB) is one of the 10 AI Stocks Analysts are Tracking Closely. On November 10, Piper Sandler analyst Rob Owens reiterated an Overweight rating on the stock with a $70.00 price target.
The rating affirmation comes ahead of GTLB’s upcoming third-quarter earnings report, set for release on December 8.
The firm believes that developer activity strength and positive infrastructure trends will likely lead to a 3Q beat and modest raise for GitLab. Its top ideas for upcoming prints are GTLB and PANW.
“As we contemplate these readthroughs, setup and sentiment, our top ideas for upcoming prints are GTLB and PANW. GTLB and PANW set up as our high confidence upcoming setups. In light of what has proven to be a volatile quarter for prints thus far, we favor names with conservative setups, durable demand drivers and positive readthroughs from calendar prints. After accelerating growth and conservatively reiterating guide last quarter, we think GTLB is well positioned for a strong 3Q.”
Piper Sandler has also tracked GTLB’s Integrated Development Environment (IDE) downloads which demonstrate acceleration in the third quarter. This aspect further boosts its positive outlook for the company.
“We are buyers into the print. Solid prints out of infrastructure peers points to strong developer activity in 3Q, and our tracking of IDE downloads accelerated slightly in 3Q, both giving us confidence in the company’s ability to sustain momentum seen last quarter. We are expecting a beat and modest raise to expectations as a result.”
GitLab Inc. (NASDAQ:GTLB) develops software for the software development lifecycle in the US, Europe, and the Asia Pacific.
Hedge Fund Resource Center