As the global race toward artificial intelligence intensifies, another country pushing forward is United Kingdom. A report from CNBC has confirmed that Nvidia and OpenAI are in discussions about backing a major investment in the country to boost its artificial intelligence infrastructure.
The deal, expected to support data center development, may ultimately be worth billions of dollars. Sources have revealed that the companies are still working through various processes at the moment with Nvidia and cloud computing firm Nscale, but an investment agreement hasn’t been finalized yet.
Previously, Jensen Huang noted that U.K. is an “incredible place to invest” and that his multitrillion-dollar chipmaker would boost investment in the country.
“The U.K. is in a Goldilocks circumstance,” noted Huang at the time in a panel discussion with British Prime Minister Keir Starmer.
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.
Why are we interested in the stocks that hedge funds pile into? The reason is simple: our research has shown that we can outperform the market by imitating the top stock picks of the best hedge funds. Our quarterly newsletter’s strategy selects 14 small-cap and large-cap stocks every quarter and has returned 373.4% since May 2014, beating its benchmark by 218 percentage points (see more details here).
10. Freshworks Inc. (NASDAQ:FRSH)
Number of Hedge Fund Holders: 35
Freshworks Inc. (NASDAQ:FRSH) is one of the 10 Trending AI Stocks on Wall Street. On September 12, Cantor Fitzgerald analyst Matthew VanVliet reiterated an Overweight rating on the stock with a $20.00 price target. The rating affirmation follows the company’s investors day in San Francisco.
The company has laid out a three-year growth plan projecting $1.3b of ARR in 2028, accelerating revenue growth from 2026-2028, and achieving the rule of 45.
The market is skeptical about Freshworks reaching these targets due to AI-related disruptions, but analysts have come away positive about the company’s ability to sustain 20%+ annual growth over the next three years.
“We attended FRSH’s Investor Day in SF. Mgmt provided a three-year growth framework, which calls for $1.3b of ARR in 2028, accelerating revenue growth from 2026-2028, and hitting a Rule of 45. While we think the market remains skeptical of FRSH’s ability to hit these growth targets, given AI disruption-related fears, we came away from the event reassured in EX’s ability to drive 20%+ growth over the next three years. This embedded skepticism presents an attractive entry point for the stock, in our opinion, with shares trading at just 3x and 15x our 2026 revenue and FCF estimates. With the building blocks for durable ~mid-teens growth and strong margin and FCF improvements, we reiterate our Overweight rating and $20 PT, which implies 5x and 23x our 2026 revenue and FCF estimates.”
Freshworks Inc. is a software development company that provides software-as-a-service products.
9. F5 Inc. (NASDAQ:FFIV)
Number of Hedge Fund Holders: 37
F5 Inc. (NASDAQ:FFIV) is one of the 10 Trending AI Stocks on Wall Street. On September 11, Raymond James analyst Simon Leopold reiterated a Market Perform rating on the stock.
The firm reiterated its rating, viewing the acquisition of CalypsoAI as a positive development that adds to the company’s suite of advanced security solutions.
“We see the acquisition as a positive that enhances F5’s leading suite of advanced security solutions. CalypsoAI is consistent with the theme of F5’s most recent acquisitions which have all been security focused (acquired Mantis Networks in August, Insight Engines in June, and LeakSignal in March). The transaction value is relatively modest compared to some of its acquisitions (Shape Security for ~$1.02B and NGINX for $670M), and F5 has sufficient cash flow to complete the deal while continuing to buy back stock. Although the acquisition is expected to be immaterial to revenue and operating results, we believe it enhances F5’s security platform and makes it incrementally attractive to the growing number of organizations that are now implementing their GenAI and LLM initiatives.”
F5 Inc. is a multi-cloud application delivery and security solutions provider that provides networking, unified, app management, and security solutions.
Hedge Fund Resource Center