According to an MIT report, 95% of AI pilot programs fail to achieve rapid revenue acceleration. The research, conducted on 150 interviews with leaders, a survey of 350 employees, and an analysis of 300 public AI deployments, demonstrates how generative AI is failing to hold its promise for enterprises.
“Some large companies’ pilots and younger startups are really excelling with generative AI. Startups led by 19- or 20-year-olds, for example, “have seen revenues jump from zero to $20 million in a year,” he said. “It’s because they pick one pain point, execute well, and partner smartly with companies who use their tools.”
– Aditya Challapally, lead author of the report, and a research contributor to project NANDA at MIT.
5% of startups pick a painpoint and manage to execute it well. However, generative AI is falling short for the rest of the AI startups, largely because a “learning gap” exists for both tools and organizations. While generic tools such as ChatGPT may work for individuals, it was found that enterprises thrive better from purchasing AI tools from specialized vendors and building partnerships.
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 Q1 2025.
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10. BigBear.ai Holdings, Inc. (NYSE:BBAI)
Number of Hedge Fund Holders: 17
BigBear.ai Holdings, Inc. (NYSE:BBAI) ) is one of the 10 Trending AI Stocks on Wall Street. On August 20, the company announced that it has entered a multi-year partnership with the Washington Commanders under which BigBear.ai will become the naming rights partner for the Commanders’ training facility in Ashburn, Virginia. This facility is now named the BigBear.ai Performance Center.
BigBear.ai’s brand will be showcased across the fifth-floor suite level of the Northwest Stadium, as well as at suites entrances to the stadium, team’s practice jerseys, and other key assets. The company will also explore additional opportunities to demonstrate its technology and expertise to enhance fan experiences.
“BigBear.ai is going on offense, and this partnership exemplifies our strategy. We’re stepping onto the national stage with one of the NFL’s most recognized franchises – an organization that shares our deep dedication to innovation and excellence. Our partnership marks the first in a series of decisive moves we are taking to strengthen our position and unlock the next chapter of growth.”
-Kevin McAleenan, CEO of BigBear.ai.
BigBear.ai Holdings, Inc. (NYSE:BBAI) is an artificial intelligence specialist that provides decision intelligence solutions for national security, digital identity, supply chain and logistics, enterprise operations, and manned-unmanned teaming in autonomous systems.
9. 8×8, Inc. (NASDAQ:EGHT)
Number of Hedge Fund Holders: 18
8×8, Inc. (NASDAQ:EGHT) is one of the 10 Trending AI Stocks on Wall Street. On August 21, the company announced new innovations across the 8×8 Platform for CX. The updates will enable enterprises to work more efficiently, respond faster, and deliver personalized experiences that boost loyalty and business growth.
Some of the key enhancements include 8×8 Contact Center integration with MNET CoreAccess+ for secure and real-time access to financial services data, keyword filtering to safeguard SMS compliance and avoid 10DLC violations; 8×8 Smart Assist + Conversation Intelligence to improve agent productivity, and AI-powered chat summarization for multilingual teams.
The company has also introduced CRM Integration Profiles that admins can leverage to customize workflows across Salesforce, Microsoft Dynamics, Zendesk, NetSuite, and Zoho for efficient operations and faster onboarding.
Finally, the JourneyAPI allows organizations to track every aspect of a customer interaction, helping them assess service quality and access unified performance metrics.
“CX leaders are being asked to do more with less – move faster, stay compliant, and deliver seamless experiences at every touchpoint. These new capabilities are built for that reality. From smarter automation to tighter compliance and deeper visibility, we’re helping customers bridge the gap between rising expectations and what teams can deliver – without adding complexity.”
-Hunter Middleton, Chief Product Officer at 8×8, Inc.
8×8, Inc. (NASDAQ:EGHT) is an integrated Platform that provides enterprise communications solutions.
8. International Business Machines Corporation (NYSE:IBM)
Number of Hedge Fund Holders: 57
International Business Machines Corporation (NYSE:IBM) is one of the 10 Trending AI Stocks on Wall Street. On August 20, IBM and NASA revealed the most advanced open-source foundation model developed to understand high resolution solar observation data and predict solar activity impacts on Earth and space-based technology.
“Surya” applies artificial intelligence to solar image interpretation and space weather forecasting research, offering a novel way to protect satellites, GPS, power grids, and telecommunications from solar flares and coronal mass ejections.
The model will also offer the right tools to help experts plan for solar storms which can disrupt the Earth’s technological infrastructure. Accurate solar weather prediction has become a critical need for humanity given mankind’s increasing dependence on space-based technology and interest in deeper space exploration.
“Think of this as a weather forecast for space. Just as we work to prepare for hazardous weather events, we need to do the same for solar storms. Surya gives us unprecedented capability to anticipate what’s coming and is not just a technological achievement, but a critical step toward protecting our technological civilization from the star that sustains us.”
-Juan Bernabe-Moreno, Director of IBM Research Europe, UK and Ireland.
International Business Machines Corporation (NYSE:IBM) is a multinational technology company and a pioneer in artificial intelligence, offering AI consulting services and a suite of AI software products.
7. monday.com Ltd. (NASDAQ:MNDY)
Number of Hedge Fund Holders: 64
monday.com Ltd. (NASDAQ:MNDY) is one of the 10 Trending AI Stocks on Wall Street. On August 21, KeyBanc analyst Jackson Ader reiterated an Overweight rating on the stock with a $330.00 price target. The rating affirmation follows a period of volatility for Monday.com’s shares, with concerns regarding potential weakness in European markets and revenue growth causing a major drop at the end of 2024 and into 2025.
While there were fears that revenue guidance for 2025 may end up coming in around the low 20’s%, shares shot up 26.5% after revenue growth guidance ending up being set at 26%.
“Was the guidance cut from the usual Monday cloth? Was there still 3-4% of upside left in the tank or was this guidance set with a tinge of aggression or even retribution against the performance in shares driven by downside rumors? We cited three primary areas where revenue could outperform in a note from February (net dollar retention, sales productivity, and ~3% CRM growth upside) and admitted then that things were a little skinny.”
The firm’s analysis indicates that monday.com’s core Work OS product, an AI-first cloud-based platform that functions as a centralized workspace for teams, has accelerated over the past six months. Meanwhile, growth in new products has slowed. This implies that current guidance relies on continued Work OS acceleration.
“Reset in shares are overdone; we feel more than compensated for the risks Now, six months and just a couple of points of upside later we’re once again looking to what is baked into the 2H and where we might see some risks and opportunity . We believe Work OS has accelerated nicely in the last six months, while new products have slowed. Further, guidance seems to imply these trends will continue putting pressure on Work OS to continue to accelerate (a risk) but being less reliant on new product growth to fill the gap (an opportunity).”
monday.com Ltd. (NASDAQ:MNDY) develops software applications globally, offering a cloud-based Work OS for creating work management tools.
6. CrowdStrike Holdings, Inc. (NASDAQ:CRWD)
Number of Hedge Fund Holders: 64
CrowdStrike Holdings, Inc. (NASDAQ:CRWD) is one of the 10 Trending AI Stocks on Wall Street. On August 20, cloud security leader Zscaler, Inc. announced an expanded partnership between Red Canary, a Zscaler company, and partner CrowdStrike, to strengthen AI-driven security operations.
The partnership integrates the Zscaler Zero Trust Exchange platform, the AI-native CrowdStrike Falcon platform, and Red Canary’s agentic-AI driven security operations platform, to offer improved protection across endpoints, users, and workloads.
Building on their successful multi-year partnership, CrowdStrike leverages its endpoint context together with user context from Zscaler’s platform for improving threat detection and response capabilities. Together, the services and platforms that the companies provide will help customers migrate from legacy endpoint detection and response tools to CrowdStrike’s cloud-native platform.
“Organizations are moving away from legacy, point product endpoint vendors in search of platform outcomes and elite protection. By expanding our partnership with Red Canary and Zscaler, we’re delivering world-class security operations powered by the Falcon platform, Red Canary’s agentic-AI managed endpoint expertise, and Zscaler’s cloud-native zero trust capabilities. Together, we’re helping customers standardize their security architectures, stopping breaches with real-time threat detection, lightning-fast response, and the confidence that comes with the AI-native Falcon platform.”
-Daniel Bernard, Chief Business Officer at CrowdStrike.
CrowdStrike Holdings, Inc. (NASDAQ:CRWD) is a leader in AI-driven endpoint and cloud workload protection.
5. Core Scientific, Inc. (NASDAQ:CORZ)
Number of Hedge Fund Holders: 78
Core Scientific, Inc. (NASDAQ:CORZ) is one of the 10 Trending AI Stocks on Wall Street. On August 19, Macquarie analyst Paul Golding reiterated a Neutral rating on the stock with a $15.00 price target. The firm remains neutral as it awaits clarity on shareholder vote, noting “recent CRWV share price weakness with lock-up expiry”
According to the research firm, the company’s revenue missed expectations for another quarter driven by the strategic wind-down of its Bitcoin mining operations. Nevertheless, its economics and high-performance computing (HPC) business still drove earnings beats.
The firm did highlight, however, that Core Scientific’s pending merger with CoreWeave still demands shareholder approval and regulatory clearances before completion.
“Similar to prior quarters, revs missed w/ strategic btc mining wind down. Economics and HPC drove earnings beats. • Merger with CoreWeave still pending CORZ shareholder approval, along with requisite regulatory approvals. • Neutral as we await clarity on shareholder vote, noting recent CRWV share price weakness with lock-up expiry.”
Core Scientific, Inc. (NASDAQ:CORZ) has transitioned into an AI business by leveraging advanced infrastructure and expertise in HPC (high-performance computing).
4. Intel Corporation (NASDAQ:INTC)
Number of Hedge Fund Holders: 91
Intel Corporation (NASDAQ:INTC) is one of the 10 Trending AI Stocks on Wall Street. On August 20, Truist Securities analyst William Stein reiterated a Hold rating on the stock with a $21.00 price target. The firm remains a hold on the stock stating that despite having incremental capital, Intel has fundamental challenges that extend beyond financial resources.
It is unclear when or if, at all, Intel will be successful.
“Incremental capital helps, but INTC’s solution lies in culture, capabilities, & customers; We see INTC as still enduring through a turnaround phase. To achieve the objectives we outlined above has already taken time, and will take more time. If and when those objectives are satisfied, we would consider INTC as entering an execution phase. This will also take time. Because of the duration and uncertainty of INTC’s success, we reiterate our $21 PT and Hold rating.”
Intel Corporation (NASDAQ:INTC) designs and sells computing hardware, semiconductor products, and AI-driven solutions for various industries.
3. Snowflake Inc. (NYSE:SNOW)
Number of Hedge Fund Holders: 94
Snowflake Inc. (NYSE:SNOW) is one of the 10 Trending AI Stocks on Wall Street. On August 20, KeyBanc analyst Eric Heath reiterated an Overweight rating and $250.00 price target on the stock.
The rating affirmation follows Keybanc’s quarterly Snowflake survey of 15 customers and partners for an updated view on spend intentions, product traction, Iceberg adoption, GenAI interest, and competitive dynamics.
The results of the survey have been steady with several positive developments.
“Overall, we view results as steady with our prior survey. We came away incrementally positive on: 1) on-prem data warehouse migration activity a bigger contributor of spend NT, while also having meaningful runway LT; 2) Data engineering as adoption of Dynamic Tables and Snowpark are strong and/or improving; and 3) increasing GenAI production use cases and supportive commentary of data gravity providing Snowflake a strategic advantage for GenAI.”
There were also several points that the firm was incrementally negative on. However, it remains positive on the stock overall due to factors such as steady survey results, expanding customer adoption/interest in emerging platform capabilities, accelerating hyperscaler growth, and a steady competitive environment.”
Snowflake Inc. (NYSE:SNOW) is a cloud-based data storage company providing a data analysis, storage, and sharing platform.
2. ServiceNow, Inc. (NYSE:NOW)
Number of Hedge Fund Holders: 106
ServiceNow, Inc. (NYSE:NOW) is one of the 10 Trending AI Stocks on Wall Street. On August 19, the company announced a technology partnership with the DFL Deutsche Fußball Liga, a German company responsible for the organization and marketing of professional football in the country, particularly the top-tier leagues Bundesliga and Bundesliga 2.
ServiceNow will serve as the official Workflow Partner for the DFL, replacing legacy systems and becoming the core AI platform to improve automation and efficiency in the company’s workflows.
DFL will leverage ServiceNow’s AI platform to enhance the experience for partners, clubs and service providers, setting new standards in the industry.
“Bundesliga is a global brand with deep roots in German culture and an ecosystem that spans continents. We’re proud that the DFL has chosen to work with the ServiceNow AI platform to build a digital foundation that connects employees, clubs, and partners through AI powered workflows and real-time experiences. This partnership is about creating meaningful synergies that resonate far beyond the technology itself.”
-Robert Rosellen, vice president and country manager, Germany, ServiceNow.
ServiceNow, Inc. (NYSE:NOW) is a technology company that offers a cloud-based software platform for automating business workflows within an enterprise.
1. NVIDIA Corporation (NASDAQ:NVDA)
Number of Hedge Fund Holders: 212
NVIDIA Corporation (NASDAQ:NVDA) is one of the 10 Trending AI Stocks on Wall Street. On August 20, Deutsche Bank analyst Ross Seymore reiterated a Hold rating on the stock with a $155.00 price target. The hold rating comes ahead of Nvidia’s quarterly results which it will report after market close on Wednesday, August 27.
The firm expects the chipmaker to beat its revenue guidance by an estimated $2 billion, with revenue expected to reach around $46 billion. The outperformance will likely be attributed to the continued ramp of Blackwell chips, offsetting concerns related to China business restrictions.
“NVIDIA will report F2Q26 results after the market close on Wednesday, August 27th. A conference call to discuss results is scheduled at 5:00pm ET. Heading into the F2Q26 report we expect a typical ~$2b beat vs. the midpoint of guidance ($45b), likely slightly ahead of DBe/Street at ~$46b (+4% q/q, +53% y/y), as the continued ramp of Blackwell (~$24b in F1Q revenues vs. ~$11b in F4Q revenues) offsets any China related concerns (~$8b in foregone revs in F2Q guide).”
The firm also believes that Nvidia’s license receipt to resume China shipments will lead to an upside to its fiscal third-quarter revenue estimate of $50 billion. However, it is unclear what the timing of the shipment ramp will be and whether Nvidia will be able to recapture the entirety of the approximately $18 billion in lost annual revenue.
“Looking forward, NVDA receiving a license to resume shipments to China should create upside to DBe of $50b revenue in F3Q (likely more included in Street’s ~ $53b), albeit with the timing of the shipment ramp and the ability to recapture the entirety of the ~$18b in “lost” annual revenue unclear. In general, the inclusion of China AI GPU shipments into CY26 ests appears likely to yield a ~+10% increase to the current ~$6 range for DBe/Street, even including the 15% “license fee” the company is being required to pay to the US Government.”
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.
READ NEXT: 10 AI Stocks in the Spotlight Today and 10 AI Stocks Analysts Are Tracking Closely.
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