In this article, we discuss the 15 AI news you should not ignore.

Large language models power AI chatbots and they are the hottest items on Wall Street these days. Several hyperscalers have launched their own LLMs and chatbots in the past few months. Any updates related to these chatbots are followed eagerly by analysts. Anthropic, an AI startup that developed the Claude AI model, recently proposed a new standard for connecting AI assistants to the data that powers them. The startup claims that the system, called the Model Context Protocol, which is open source, would help AI models produce better and more relevant responses to queries.

Read more about these developments by accessing 10 Best AI Data Center Stocks and 10 Buzzing AI Stocks According to Goldman Sachs.

In a blog post, the AI startup underlined that as AI assistants gain mainstream adoption, the industry has invested heavily in model capabilities, achieving rapid advances in reasoning and quality. However, the post added, even the most sophisticated models are constrained by their isolation from data — trapped behind information silos and legacy systems. Anthropic claims that MCP ostensibly solves this problem through a protocol that enables developers to build two-way connections between data sources and AI-powered applications.

Read more about these developments by accessing 30 Most Important AI Stocks According to BlackRock and Beyond the Tech Giants: 35 Non-Tech AI Opportunities.

For this article, we selected AI stocks by combing through news articles, stock analysis, and press releases. These stocks are also popular among hedge funds. 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 275% since May 2014, beating its benchmark by 150 percentage points (see more details here).

AI News You Should Not Ignore

15. Navitas Semiconductor Corporation (NASDAQ:NVTS)

Number of Hedge Fund Holders: 8  

Navitas Semiconductor Corporation (NASDAQ:NVTS) designs, develops, and markets gallium nitride power integrated circuits, silicon carbide, associated high-speed silicon system controllers, and digital isolators used in power conversion and charging. On November 25, the company announced an 8.5 kW power supply unit powered by GaN and SiC technologies to achieve 98% efficiency. The PSU is tailored for next-generation AI and hyperscale data centers. The 54V output PSU is optimized for AI applications and complies with Open Compute Project (OCP) and Open Rack v3 (ORv3) specifications.

14. Jones Lang LaSalle Incorporated (NYSE:JLL)

Number of Hedge Fund Holders: 31  

Jones Lang LaSalle Incorporated (NYSE:JLL) operates as a commercial real estate and investment management company. The company leases space to tech firms as they develop AI data centers. On November 25, Wolfe Research upgraded the stock to Outperform from Peer Perform with a $353 price target. JLL benefits from capital markets comps and improved disclosure supports multiple expansion, while sector tailwinds from potential deregulation and tax reform may accelerate its earnings growth, the advisory told investors in a research note. Wolfe says that while high long-term rates raise transaction concerns, tightening credit spreads offers support. It sees strong earnings growth ahead for the company.

13. Super Micro Computer, Inc. (NASDAQ:SMCI)

Number of Hedge Fund Holders: 33

Super Micro Computer, Inc. (NASDAQ:SMCI) develops and manufactures high performance server and storage solutions based on modular and open architecture. The stock has rallied close to 80% over the past week after the firm submitted a compliance plan to the Nasdaq Stock Exchange and chipmaker NVIDIA mentioned the server firm during the earnings call. The rally has been welcome for the firm which has had a turbulent month amid a failure to file an earnings report on time and the appointment of a new independent auditor. Analysts expect Nasdaq to reply to the Supermicro plan in the next two to five weeks.

12. Keysight Technologies, Inc. (NYSE:KEYS)

Number of Hedge Fund Holders: 36 

Keysight Technologies, Inc. (NYSE:KEYS) provides electronic design and test solutions to commercial communications, networking, aerospace, defense and government, automotive, energy, semiconductor, electronic, and education industries. The company recently announced that it had launched a new Electronic Design Automation (EDA) software portfolio to transform how engineers address the demands of next-generation technologies. Per the firm, as the electronics industry races to develop advanced solutions for 5G/6G and data center applications, Keysight’s suite of EDA tools leverages AI, machine learning (ML), and Python integrations to dramatically reduce design time for complex RF and chiplet products.

11. Arm Holdings plc (NASDAQ:ARM)

Number of Hedge Fund Holders: 38    

Arm Holdings plc (NASDAQ:ARM) architects, develops, and licenses central processing unit products and related technologies for semiconductor companies and original equipment manufacturers. On November 25, UBS initiated coverage of the stock with a Buy rating and $160 price target, which represents 20% upside. Artificial intelligence is driving positive growth vectors across all of Arm’s key end markets, with data center particularly fertile ground as the customer base for its intelligence property licenses expands and cloud customers push for more power optimized CPU architectures, the advisory told investors in a research note.

10. Okta, Inc. (NASDAQ:OKTA)

Number of Hedge Fund Holders: 47 

Okta, Inc. (NASDAQ:OKTA) owns and runs an identity management platform. One of the premier products of the firm is Identity Threat Protection, powered by Okta AI. Per the company, Okta AI is a mixture of machine learning and GenAI algorithms. Latest reports, published by cybersecurity news platform Security Brief, suggest that the company has partnered with OpenID Foundation to develop the first unified identity security standard for enterprise applications. The initiative aims to tackle the pressing challenge of identity-based security breaches. AI-based hacking attacks are becoming more common and corporations are looking for increased security measures to protect against such threats.

9. Dell Technologies Inc. (NYSE:DELL)

Number of Hedge Fund Holders: 60 

Dell Technologies Inc. (NYSE:DELL) designs, develops, manufactures, markets, sells, and supports various comprehensive and integrated solutions, products, and services. The company recently revealed two new server products, the PowerEdge XE7740 and PowerEdge XE9685L. It also launched updates to its Integrated Rack 5000 series. The PowerEdge XE7740 is equipped with the latest Xeon Scalable Gen Six processors and is built for AI inferencing and model fine tuning. The Dell PowerEdge XE9685L holds up to 96 Nvidia H200 or B200 GPUs per rack for high-density computing needs, such as AI training.

8. Intel Corporation (NASDAQ:INTC)

Number of Hedge Fund Holders: 68  

Intel Corporation (NASDAQ:INTC) markets key technologies for smart devices. Latest reports, published by news platform CNBC, claim that the company is close to finalizing a deal with the US government to provide the former with $8 billion in funding under the CHIPS Act. The reports come as The New York Times claims that the government has reduced this grant from $8.5 billion to under $8 billion. The chance possibly reflects failure to meet certain milestones set by government officials to get the funds, including building a plant in the US and signing up customers for the locally produced chips.

7. Advanced Micro Devices, Inc. (NASDAQ:AMD)

Number of Hedge Fund Holders: 107

Advanced Micro Devices, Inc. (NASDAQ:AMD) operates as a semiconductor manufacturer. On November 25, Bernstein analyst Stacy Rasgon maintained a Market Perform rating on the stock with a price target of $150. Per the analyst, AMD gained roughly two points of notebook unit share in the third quarter to 19.2%, while it gained roughly six points in desktop units to 28.7%. Revenue share for the Dr. Lisa Su-led company was also up, ending the quarter at roughly 27.3%, up roughly eight points sequentially, he noted. It remains to be seen how much of AMD’s sizable share gains in Q3 might have been the result of Intel simply flushing the channel vs more sustainable, Rasgon underlined.

6. Taiwan Semiconductor Manufacturing Company Limited (NYSE:TSM)

Number of Hedge Fund Holders: 158  

Taiwan Semiconductor Manufacturing Company Limited (NYSE:TSM) makes and sells integrated circuits and semiconductors. The company recently took part in the Open Innovation Platform 2024 conference in the Netherlands. During the event, the firm revealed the tech roadmap it planned to follow in the years ahead. Per a report by tech journalist Hilbert Hagedoorn, the chipmaker plans to begin mass production of 2nm chips, known as N2 technology, in late 2025. In 2026, TSMC will introduce improved versions called N2P and N2X. By the end of 2026, the company aims to launch its 1.6nm A16 technology, representing a significant advancement in semiconductor manufacturing.

5. Alphabet Inc. (NASDAQ:GOOG)

Number of Hedge Fund Holders: 160

Alphabet Inc. (NASDAQ:GOOG) is a California-based technology company that owns and runs the internet search engine Google. Prominent financial analyst AI Root, writing for finance news platform Barron’s, recently opined that Alphabet stock would emerge a winner from recent attacks. Authorities in the US recently put forward remedies to break Google’s hold on search, which included selling its Chrome browser and monitoring data. Per Root, the action came as investors were already fretting about the rise of generative artificial intelligence. Root added that while the future would be more complicated, generative AI had the potential to add revenue, as Gemini, Google’s AI tool, ramps up and becomes more powerful.

4. NVIDIA Corporation (NASDAQ:NVDA) 

Number of Hedge Fund Holders: 193 

NVIDIA Corporation (NASDAQ:NVDA) provides graphics, computing and networking solutions. The share price has fluctuated since the company posted market-beating earnings numbers but guided near analyst expectations last week. Finance news platform Barron’s has advised investors not to read too much into the initial reaction, which could easily be some profit-taking given that the stock has roughly tripled this year. Per the publication, investors should ignore near-term noise, remain focused on the big picture, and not overlook the unprecedented magnitude of Nvidia’s performance.

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

Number of Hedge Fund Holders: 235

Meta Platforms, Inc. (NASDAQ:META) engages in the development of products that enable people to connect and share with friends and family. On November 25, Raymond James added the stock to the Analyst Current Favorites List while keeping a Strong Buy rating on the shares with a $675 price target. Meta is positioned to benefit from an improving artificial intelligence monetization narrative in 2025 as tailwinds, including recommendation model advancements, drive up engagement by a mid-single to low-double digit amount, the advisory told investors in a research note. The advisory believes engagement with Meta AI will also take shape, opening up a $10 billion-plus search and assistant opportunity in 2026 within select verticals.

2. Microsoft Corporation (NASDAQ:MSFT)

Number of Hedge Fund Holders: 279

Microsoft Corporation (NASDAQ:MSFT) is a Washington-based technology company. IT service management firm Kyndryl recently released the second Global Sustainability Barometer study. The study was commissioned by Microsoft. According to a report by news platform Economic Times, the results of the study confirm that data and AI are becoming powerful catalysts for driving action and predicting future risks. For example, a survey of business leaders in India reveals that 29% of Indian organizations see AI as key to sustainability goals. The report further highlights that 76% of Indian organizations use AI to monitor energy use and emissions, but only 28% use AI to predict future energy consumption based on current data.

1. Amazon.com, Inc. (NASDAQ:AMZN)

Number of Hedge Fund Holders: 286  

Amazon.com, Inc. (NASDAQ:AMZN) operates as a technology conglomerate with core interests in the ecommerce business. On November 25, news publication Bloomberg reported that the tech giant is developing the next iteration of the Trainium AI chip through a team in Texas. Per the report, the new processor will be four times faster than its predecessor and offer three times more memory. The company achieved the new numbers through a simplified design that cuts the number of chips per unit from eight to two and replaces cables with circuit boards.

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