10 Trending AI Stocks in Focus This Week

2. Meta Platforms, Inc. (NASDAQ:META)

Number of Hedge Fund Investors: 273

Meta Platforms, Inc. (NASDAQ:META) is one of the 10 Trending AI Stocks in Focus This Week. On August 18, BofA Securities analyst Justin Post reiterated a Buy rating on the stock with a $900.00 price target. The firm believes that Meta is well positioned for AI despite its fourth attempt at AI reorganization.

Discussing report from The Information about Meta’s AI overhaul for the fourth time in six months, the firm noted that these continuous efforts reflect on how complex and strategically important Meta’s AI goals are.

The company now plans on dividing its Superintelligence Labs into four distinct groups: a new “TBD Lab,” a products team, an infrastructure team, and the Fundamental AI Research lab

While concerns on the company’s AI execution are imminent bearing in mind the frequency of these reorganization efforts, the firm believes that Meta boasts a good track record of execution of new services.

“According to The Information, Meta is planning a fourth overhaul of AI efforts in six months. The company is expected to divide its new AI unit, Superintelligence Labs, into four groups: a new “TBD Lab”, a products team including the Meta AI assistant, an infrastructure team, and the Fundamental AI Research lab focused on long-term research. The report noted Meta’s plans for restructuring have not been announced internally and could change. Our Take: The frequency of reorganizations highlights both the strategic importance and potential complexities of Meta’s AI goals. While reshuffling may raise concerns on Meta’s AI execution, the AI opportunity is still very early, and Meta has a track record of execution around new services. We continue to see Meta as well positioned for AI given massive user base and tech infrastructure, maintain Buy.”