10 Best American AI Stocks to Buy According to Analysts

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1. Strategy Inc (NASDAQ:MSTR)

Average Price Target Upside Potential According to Analysts: 95.86%

Number of Hedge Fund Holders: 45

Strategy Inc (NASDAQ:MSTR) is one of the best American stocks to buy in the AI market according to analysts. On October 21, Citi initiated coverage of Strategy Inc (NASDAQ:MSTR), giving the stock a Buy rating and setting the price target at $485.

Citi initiated coverage of Strategy Inc (NASDAQ:MSTR) “at a Buy/High Risk.” The price target is based on the firm’s “forward 12-month rolling base-case Bitcoin forecast of $181k (63% upside from current levels)”. Citi believes that Strategy Inc’s (NASDAQ:MSTR) “net asset value (NAV) premium can range 25%-25%.”

The firm noted that while Strategy Inc (NASDAQ:MSTR) can offer strong returns on the upside, it can also lose a lot of value on the downside. This is especially because Strategy Inc (NASDAQ:MSTR) is “a Digital Asset Treasury (DAT) company making its stock a leveraged and more volatile play on Bitcoin.”

Citi pointed out that in 2020, Strategy Inc (NASDAQ:MSTR) became the first public company to “adopt Bitcoin as its primary treasury reserve asset.” The company now holds approximately 3% of all Bitcoin in circulation and plans to continue buying more Bitcoin by “issuing convertible debt, preferred equity, and MSTR stock.”

Strategy Inc (NASDAQ:MSTR) is an American company that has adopted Bitcoin as its primary treasury reserve asset. The company also provides advanced AI-powered enterprise analytics software.

While we acknowledge the potential of MSTR 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 MSTR and that has a 100x upside potential, check out our report about this cheapest AI stock.

READ NEXT: 11 Best American Semiconductor Stocks to Invest In and 12 Best Fintech Stocks to Buy According to Analysts.

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