5 Best Artificial Intelligence (AI) Stocks To Buy According to Analysts

4. Snowflake Inc. (NYSE:SNOW)

Number of Hedge Fund Holders: 75

Average Upside Potential Based on Analyst Ratings: 39.38% 

Snowflake Inc. (NYSE:SNOW) was incorporated in 2012 and is based in Bozeman, Montana. The company provides a cloud-based data platform in the United States and internationally. Snowflake has developed a platform that was specifically created to facilitate machine learning and data science applications that utilize artificial intelligence. The platform enables businesses to prepare data and construct ML models in a straightforward manner, without the need for complicated integrations or associated costs. Snowflake Inc. (NYSE:SNOW) is one of the best AI stocks to invest in. 

On March 3, Rosenblatt analyst Blair Abernethy maintained a Buy rating on Snowflake Inc. (NYSE:SNOW) but lowered the firm’s price target on the shares to $188 from $200 following the Q4 results. The company has reported more restrained spending trends in its international segment, and the younger customer cohorts are experiencing slower-than-anticipated ramp-ups, which is different from previous experiences, the analyst wrote in a research note to investors.

According to Insider Monkey’s Q4 data, 75 hedge funds were bullish on Snowflake Inc. (NYSE:SNOW), compared to 73 funds in the last quarter. Warren Buffett’s Berkshire Hathaway is the largest stakeholder of the company, with 6.12 million shares worth $879.2 million. 

ClearBridge Multi Cap Growth Strategy made the following comment about Snowflake Inc. (NYSE:SNOW) in its Q4 2022 investor letter:

“Names like Airbnb (ABNB) and data warehouse software provider Snowflake Inc. (NYSE:SNOW), which we added to during the quarter, offer better than average growth exposure with strong margins and cash generation that should allow the Strategy to capture better upside in markets with greater price momentum. We partner these higher-growth names with the stability, predictability and economic insensitivity provided by our large cap health care positions. We are striving to strike a balance in the portfolio across varying growth rates, consumer and enterprise as well as international and domestic equity markets.”