11 AI Stocks on the Market’s Radar

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1.  Microsoft Corporation (NASDAQ:MSFT)

Number of Hedge Fund Holders: 312

Microsoft Corporation (NASDAQ:MSFT) is one of the 11 AI Stocks on the Market’s Radar. On January 5, Jefferies analyst Brent Thill reiterated a Buy rating on the stock with a $675.00 price target.

The firm believes that investors should remain selective in software this year, recommending an underweight position until AI monetisation becomes more visible. Jefferies top mega-cap picks are Microsoft and Meta, along with large-caps Intuit, Atlassian and Oracle.

Some of their top predictions for 2026 include strong AI tailwinds for Microsoft, a “broad-based AI resurgence” at Meta, an AWS-driven Amazon rebound and a reacceleration at Oracle.

Microsoft continues to demonstrate strength across its various businesses, and it has also been expanding its artificial intelligence capabilities and integrating AI features across its portfolio. This is seen as a significant growth driver for the stock.

Analysts on Wall Street currently have a consensus Buy rating on the stock. The average price target of $630 implies a 33.23% upside, however, the Street-high target of $730 implies an upside of 54.38%.

Microsoft Corporation (NASDAQ:MSFT) provides AI-powered cloud, productivity, and business solutions, focusing on efficiency, security, and AI advancements.

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

READ NEXT:12 Hot AI Stocks on Wall Street’s Radar and 10 Best AI Stocks to Buy Under $50

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