According to a report from the Financial Times, China is stepping up the enforcement of its chips import controls, including Nvidia’s artificial intelligence processors.
Teams of custom officers have been assigned to major ports across the country to perform strict checks on semiconductor equipment. These checks strive to ensure that local companies stop ordering China-specific chips after regulators advised them not to order anymore.
Beijing is actively striving to push local AI chipmakers and reduce its dependency on America technology, thereby strengthening its own position in the AI arms race.
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.
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10. Autodesk, Inc. (NASDAQ:ADSK)
Number of Hedge Fund Holders: 73
Autodesk, Inc. (NASDAQ:ADSK) is one of the 10 AI Stocks on the Market’s Radar. On October 8, Piper Sandler analyst Clarke Jeffries reiterated an Overweight rating on the stock with a $373.00 price target.
Analysts at the firm highlighted Vertical AI progress and new monetization model as key drivers for the stock. The firm further noted that the investments made in operationizing generative AI is “very close to bearing fruit”.
“Neural CAD (& more) Shows the Promise of Autodesk’s Investment in Vertical AI; Announcements & upcoming features previewed at Autodesk University this year demonstrate the substantive progress Autodesk is making in developing Vertical AI for AEC, Manufacturing & Media. The investment made in operationalizing generative AI is very close to bearing fruit & we believe there is line of sight to material product change in an industry that has been largely “land locked” as seat-based, desktop tools for 40 years. AutoConstrain in Manufacturing & Neural CAD (AI foundation models focused on CAD objects) look to be prime examples of how the company is pushing step-function improvements to customer’s workflows. Additionally, the business model is evolving with forthcoming pricing changes to Autodesk Platform Services (APS, formerly Forge) to carve out new monetization opportunities based on consumption & cloud compute as generative technologies start to expand. While profitability & efficiency have dominated the ADSK narrative, we believe the product evolution here should not be overlooked.”
Autodesk, Inc. (NASDAQ:ADSK), a multinational software corporation, leverages generative AI technology to drive innovation across the design, construction, manufacturing, and entertainment industries.
9. Micron Technology, Inc. (NASDAQ:MU)
Number of Hedge Fund Holders: 94
Micron Technology, Inc. (NASDAQ:MU) is one of the 10 AI Stocks on the Market’s Radar. On October 8, UBS analyst Timothy Arcuri raised the price target on the stock to $225.00 (from $195.00) while maintaining a Buy rating.
The firm quoted stronger high-bandwidth memory (HBM) demand projections behind the rating affirmation. UBS increased its HBM industry demand forecast to 17.1 billion gigabytes for 2025 and 27.2 billion gigabytes for 2026. This is up from previous estimates of 16.9 billion and 26.1 billion gigabytes, respectively. It also anticipates HBM demand to grow an estimated 35% year-over-year in 2027.
“On the back of recent announcements across the compute space and our latest CoWoS supply checks, we have more confidence that HBM demand will expand significantly again in C2027. For the near-term, we now see HBM industry demand of 17.1B Gb/27.2B Gb in C25/C26 up from prior 16.9B Gb/26.1B Gb. This is being driven by: (1) the inclusion of OAI – effectively, ~700k units with HBM3E 12-Hi starting in C26, and (2) higher NVDA (Rubin) unit volumes into next year (+400k to 7.4MM vs 7.0MM prior). Most importantly, we now believe HBM industry demand could grow another ~35% Y/Y in C27. This is a great backdrop for the sector and we still model MU to gain some modest share beyond C2H:25 levels, but this will be likely capped by some capacity constraints (we don’t see wafers from new Idaho fab ramping significantly until 2H:27). Net-net, we reiterate our long-held view that the cycle will prove more durable this time as HBM “crowds out” the traditional memory market (most, if not all, of the capacity addition across the industry through C2027 will go to HBM), still allowing suppliers to allocate bits to higher value markets. On modestly higher estimates, we refresh our SOTP valuation framework, and raise PT to $225.”
Micron Technology, Inc. (NASDAQ:MU) develops and sells memory and storage products for data centers, mobile devices, and various industries worldwide.
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