10 AI Stocks on Wall Street’s Radar

1.  Amazon.com, Inc. (NASDAQ:AMZN)

Number of Hedge Fund Holders: 328

Amazon.com, Inc. (NASDAQ:AMZN) is one of the 10 AI Stocks on Wall Street’s Radar. On July 17, Bernstein raised price targets and estimates for several internet stocks. These stocks have rallied strongly entering Q2, but the outlook remains uncertain.

“Internet stocks have rebounded sharply along with the broader market,” Bernstein said, noting that “the group feels more own-able into earnings” owing to modest GMV acceleration and cautious guidance from management teams.

The firm noted that the rebound for these stocks may be fragile

“With multiples back up to (or above) January levels, it’s a tougher question of ‘what next’ coming out of earnings.”

However, Q3 “could offer some semblance of normalcy.”

Particularly for Amazon, the firm reiterated the stock as “Outperform,” stating that it is a top idea at the firm.

“In the near term, AWS is back in focus, and we expect to see top-line acceleration driven by improving performance in core and modest AI-related benefits as GPU supply constraints eased intra quarter.”

Analysts on Wall Street currently have a consensus “Buy” rating on the stock. The average price target of $248 implies an 11% upside, however, the Street-high target of $300 implies an upside of 34%.

Amazon.com Inc. (NASDAQ:AMZN) is an American technology company offering e-commerce, cloud computing, and other services, including digital streaming and artificial intelligence solutions.

While we acknowledge the potential of AMZN as an investment, our conviction lies in the belief that some AI stocks hold greater promise for delivering higher returns and have limited downside risk. If you are looking for an AI stock that is more promising than AMZN and that has 100x upside potential, check out our report about this cheapest AI stock.

READ NEXT: 10 AI Stocks Getting Wall Street’s Attention and 10 Must-Watch AI Stocks on Wall Street. 

Disclosure: None. Insider Monkey focuses on uncovering the best investment ideas of hedge funds and insiders. Please subscribe to our free daily e-newsletter to get the latest investment ideas from hedge funds’ investor letters by entering your email address below.