Several individuals from OpenAI, Google DeepMind, the U.K. AI Security Institute, the OECD, and other groups gathered for an invite-only summit in Sweden last month. The agenda of the summit was to explore the possible ways that advanced AI will impact the “social contract” between working people, governments, and corporations.
Top AI executives believe that if not better handled, artificial intelligence is likely going to lead to a highly disruptive economic shock. If major interventions by governments and societies aren’t implemented, the world may be in for a gruesome turn.
Here are a few draft statements from the summit:
“AI is likely to exacerbate increasing wealth and income inequality within countries, worsening economic conditions for many working and middle-class people and families,” the first reads. “AI will increase inequality between countries that have access to AI infrastructure and those that don’t—both in terms of access to benefits as well as ability to respond to shocks,” says the second. “Without intervention, AI-enabled inequalities may lead to the political dominance of wealthy individuals and corporations, eroding democratic institutions and increasing levels of political dissatisfaction.”
While some attendees may have disagreed with a few draft statements, the broader takeaway is that the risks stemming from artificial intelligence are real. Fortunately, the story of AI is still being written, and deliberate action can steer the technology toward outcomes that help improve social issues and overall quality of life.
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. UiPath Inc. (NYSE:PATH)
Number of Hedge Fund Holders: 42
UiPath Inc. (NYSE:PATH) is one of the 10 Exciting AI Stocks to Watch Right Now. On September 5, RBC Capital analyst Matthew Hedberg reiterated a Sector Perform rating on the stock with a $12.00 price target following its latest quarterly results.
According to the firm, PATH delivered a stable quarter characterized by outperformance across metrics, even with foreign exchange tailwinds present.
UiPath’s building momentum in its agentic opportunity was particularly mentioned in the investor note, which the firm believes has been resulting in larger deal sizes and core automation use.
“The PATH to acceleration is paved by agents; UiPath reported another stable qtr with improved execution and outperformance across metrics, even despite FX tailwinds. Importantly, Fed seems to be back to normal and the macro remains variable but consistent. UiPath continues to see momentum build for its agentic opportunity, which is resulting in larger deal sizes and more core automation use. We remain on the sidelines as we look for continued stability and more material traction in the highly competitive agent orchestration opportunity. We maintain our SP rating and $12 PT.”
UiPath Inc. (NYSE:PATH) is a well-known software as a service (SaaS) enterprise that develops AI-powered automation platforms to help businesses transform their operations.
9. Palantir Technologies Inc. (NASDAQ:PLTR)
Number of Hedge Fund Holders: 78
Palantir Technologies Inc. (NASDAQ:PLTR) is one of the 10 Exciting AI Stocks to Watch Right Now. On September 8, Bank of America reiterated the stock as “Buy” with a $180 price target, noting that Palantir remains extremely well positioned for artificial intelligence.
The rating follows Bank of America’s attendance of the AIPCon 8 in San Francisco last week, where the firm came out optimistic about “Palantir’s (PLTR) competitive advantage on turning data and AI into value-add use cases.”
The firm believes that Palantir will sustain its profitable growth and outperformance.
“In a budget-constrained environment, we see PLTR outperforming the industry growth. PLTR premium pricing limits some broad applications.”
Palantir Technologies Inc. (NASDAQ:PLTR) is a leading provider of artificial intelligence systems.
8. Adobe Inc. (NASDAQ:ADBE)
Number of Hedge Fund Holders: 104
Adobe Inc. (NASDAQ:ADBE) is one of the 10 Exciting AI Stocks to Watch Right Now. On September 8, RBC Capital analyst Matthew Swanson lowered the price target on the stock to $430.00 (from $480.00) while maintaining an Outperform rating.
The rating affirmation, issued ahead of Adobe’s earnings print, reflects on the firm’s optimism that Adobe will deliver “solid” results. This is despite investor sentiment being locked on competition and Gen-AI monetization.
“We expect solid Q3 results when ADBE reports on 9/11 AMC, but investor sentiment remains locked on competition and GenAI monetization. In our conversations with management, we feel there is an improved understanding of sentiment and would look for the narrative to continue to evolve around GenAI monetization. Trading at a discount to large cap peers, we like the opportunity but reduce our PT to $430 and maintain our OP. “
Adobe Inc. (NASDAQ:ADBE) is a software company that provides digital marketing and media solutions.
7. Constellation Energy Corporation (NASDAQ:CEG)
Number of Hedge Fund Holders: 83
Constellation Energy Corporation (NASDAQ:CEG) is one of the 10 Exciting AI Stocks to Watch Right Now. On September 8, Jefferies analyst Paul Zimbardo raised the price target on the stock to $347.00 (from $293.00) while maintaining a Hold rating.
According to Zimbardo, Constellation and other Independent Power Producers have lost steam since early August earnings with no or disappointing deal announcements. However, this is still up about 90% from early April lows.
Particularly for CEG, the analyst noted that since the stock already looks expensive as it bakes in future data center awards, the firm is staying cautious with a hold rating.
“Maintain Hold with CEG pricing in more than its peers but better profile after relative weakness. CEG prices in ~$142/sh data center value (~47% of stock price). We now assume 75% for ‘eligible’ nuclear portfolio (ex NY) or 13GW at $88/MWh and remaining 5GWs at $80/MWh + Clinton/Crane PPAs. Despite a meaningful increase in our PT, CEG is relatively pricey, embedding a very significant ‘market share’ of future data center awards.”
Constellation Energy Corporation (NASDAQ:CEG) is an energy provider specializing in clean, carbon-free energy solutions.
6. Tesla, Inc. (NASDAQ:TSLA)
Number of Hedge Fund Holders: 115
Tesla, Inc. (NASDAQ:TSLA) is one of the 10 Exciting AI Stocks to Watch Right Now. On September 8, Morgan Stanley reiterated the stock as “Overweight,” stating that Elon Musk’s pay package is a “good deal” for shareholders.
A few days prior, Tesla’s board proposed a $1 trillion compensation plan for CEO Elon Musk to keep his focus on the EV maker.
“While the proof is in the execution, at face value, the proposed compensation package aligns Tesla minority shareholder interest with those of Elon Musk in a way that incorporates operational milestones, profitability milestones and value creation milestones (market cap) while cementing a long-term commitment to the company.”
The firm believes that Tesla’s long-term prospects are closely tied to Elon Musk and the company’s ambitions in artificial intelligence. It believes that the package “puts to bed concerns over Elon’s long-term commitment to Tesla,” and that Musk “has expressed his desire to hold at least a ‘blocking minority’ (25%-type stake) in the company to have some say in a potential change of control.”
The investor note further highlighted how Tesla’s performance targets, including vehicle deliveries, Full Self-Driving subscriptions, and Robotaxis, “appear achievable over a 10-year view.”
However, the goal of $400 billion in adjusted EBITDA would demand major contributions from AI-driven markets, including its Optimus humanoid robots.
Tesla, Inc. (NASDAQ:TSLA) is an automotive and clean energy company that leverages advanced artificial intelligence in its autonomous driving technology and robotics initiatives.
5. Salesforce, Inc. (NYSE:CRM)
Number of Hedge Fund Holders: 121
Salesforce, Inc. (NYSE:CRM) is one of the 10 Exciting AI Stocks to Watch Right Now. On September 4, Canaccord Genuity analyst David Hynes Jr. lowered the price target on the stock to $300.00 (from $350.00) while maintaining a Buy rating.
According to the firm, Salesforce reported steady, but not outstanding FQ2 results. It noted how the management has acknowledged that much of the revenue upside in the quarter was timing driven, signifying upfront revenue recognition on licensed products (MuleSoft/Tableau) and professional services.
Data Cloud and Agentic AI momentum was an obvious topic on the earnings call. However, when compared to Salesforce’s size, the growth seems rather small. Overall, the firm noted how the “quarter felt fine, not great” with not much changes being made to estimates.
“Obviously much of the call focused on momentum with Data Cloud and Agentic AI, where the tone was quite upbeat – now at $1.2B in ARR, up 120% year-over-year and roughly 20% sequentially – but for a north of $40B revenue business, the effort is still relatively small, which means that any super near-term hopes of material subscription growth reacceleration are probably misguided. And this reality is reflected in CRM’s guidance for the balance of the year – management marginally ticked higher both full year revenue and operating margin targets, but guided FQ3 a bit light, and revenue growth for the balance of the year implies high-single digits, which is more or less in line with trend. So, overall, the quarter felt fine, not great, and not much is changing with respect to estimates. We would have said this was priced into the stock heading into the print, but it looks like CRM shares are indicating down a bit, so it’s hard to know what to consider “cheap” these days in software.”
Salesforce, Inc. (NYSE:CRM) is a cloud-based CRM company that has gained popularity after it unveiled its AI-powered platform called Agentforce.
4. Oracle Corporation (NYSE:ORCL)
Number of Hedge Fund Holders: 124
Oracle Corporation (NYSE:ORCL) is one of the 10 Exciting AI Stocks to Watch Right Now. On September 8, Deutsche Bank reiterated the stock as “Buy” stating that it’s sticking with Oracle ahead of earnings on Tuesday.
“However, we underscore Ms. Catz and Mr. Ellison’s multi-decade track record as capital allocators and expect out year operating income and EPS estimates to continue revising higher over the coming years as the scale and yield on Cloud investments become clearer.”
On the same day, TD Cowen analyst Derrick Wood reiterated a Buy rating on the stock with a $325.00 price target. Here is what the firm expects ahead of the earnings print due on September 9th.
“All Eyes on OCI & RPO Build; Momentum Only Building From Here; ORCL reports 1Q on 9/9. We look for 10% cc growth (vs. 8% cc last qtr) & continued RPO strength. Our checks point to very strong OCI demand from ORCL’s largest customers, building momentum in multi-cloud deployments from the core base & strengthening Fusion migrations. OCI growth unlock in FY26 is still under-appreciated & under-modeled. Expect a strong OCI outlook for FY26. Reiterate Buy.”
Oracle Corporation (NYSE:ORCL) is a database management and cloud service provider.
3. Apple Inc. (NASDAQ:AAPL)
Number of Hedge Fund Holders: 156
Apple Inc. (NASDAQ:AAPL) is one of the 10 Exciting AI Stocks to Watch Right Now. On September 8, Wells Fargo reiterated the stock as “Overweight,” stating that it sees “revenue upside” from the iPhone 17. The firm holds a $245 price target on the stock.
“As highlighted in our weekly report, reports on Apple’ s next-gen iPhone 17 price points support 3%-5% revenue upside.”
According to analyst Aaron Rakers, the new iPhone 17 Air, iPhone 17 Pro, and iPhone 17 Pro Max are all likely to incur price increases from $100 to $300 compared to last year’s iPhone 16 models.
Rakers noted how he believes the thinner designed iPhone 17 Air may start at $1,099 and run as high as $1,499. Meanwhile, the iPhone 17 Pro may be priced at $1,099, $1,299, and $1,599, whereas the iPhone 17 Pro Max could come in at $1,299, $1,499, and $1,699, reflecting $100 increases similar to iPhone 17 Pro.
Apple is a technology company known for its consumer electronics, software, and services.
2. Alphabet Inc. (NASDAQ:GOOGL)
Number of Hedge Fund Holders: 219
Alphabet Inc. (NASDAQ:GOOGL) is one of the 10 Exciting AI Stocks to Watch Right Now. On September 8, Evercore ISI reiterated the stock as “Outperform” and raised its price target on the stock to $300 from $240. The firm said that Alphabet stock remains a top pick.
In an investor note, the firm stated how Google’s share as the primary search engine has declined from previous surveys whereas ChatGPT has been gaining traction.
However, the company’s dominance in commercial-intent search cases such as in shopping and travel are largely unaffected. This reflects minimal revenue growth impact.
“In the wake of our sixth quarterly proprietary Search survey, we are reiterating our GOOGL Outperform rating and raising our PT from $240 to $300 (24X our ’27 EPS of $12.75, which is 5% above Street).”
Alphabet Inc. (NASDAQ:GOOGL) is an American multinational technology conglomerate holding company wholly owning the internet giant Google, amongst other businesses.
1. NVIDIA Corporation (NASDAQ:NVDA)
Number of Hedge Fund Holders: 235
NVIDIA Corporation (NASDAQ:NVDA) is one of the 10 Exciting AI Stocks to Watch Right Now. On September 8, Citi reiterated the stock as “Buy” and lowered its price target to $200 per share from $210. The firm believes that the AI chipmaker’s “moat” is being threatened by other AI chipmakers, leading to the price target cut.
Citi highlighted how Broadcom’s recent quarterly results have demonstrated robust year-over-year growth. Moreover, a $10 billion order of custom AI chips known as XPUs from a mystery customer has further added to Broadcom’s strength.
Based on these details, Citi estimated that Nvidia will report roughly 4% lower 2026 GPU sales than previously estimated. The firm further said that increasing competition from Broadcom could be accelerated by Google’s increasingly competitive tensor processing units, or TPUs.
These TPUs are a growing threat to sales of Nvidia’s graphics processing units, or GPUs.
“We previously expected the AI XPU chip sales to outpace GPU sales in 2026 and view Broadcom’s comments of faster XPU adoption likely driven by Google’s shift in indirectly competing with Nvidia to offer compute capacity to its rivals like Meta, Open AI, and Oracle, a risk we flagged recently. We estimate ~$12B GPU sales impact to Nvidia’s 2026 sales from the above deals.”
NVIDIA Corporation (NASDAQ:NVDA) specializes in AI-driven solutions, offering platforms for data centers, self-driving cars, robotics, and cloud services.
While we acknowledge the potential of NVDA 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 NVDA and that has 100x upside potential, check out our report about this cheapest AI stock.
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