5 Best Artificial Intelligence Stocks Under $20 According To Hedge Funds

4. NIO Inc. (NYSE:NIO)

Share Price as of March 6: $5.82

Number of Hedge Fund Holders: 20

NIO Inc. (NYSE:NIO) is a Chinese firm involved in the designing, developing, manufacturing, and selling of intelligent electric vehicles, including SUVs and sedans. It is one of the best AI stocks, the company has integrated AI technologies, like advanced driver assistance systems and autonomous driving features, into their vehicles. NIO Inc. (NYSE:NIO)’s cars also feature NOMI, an AI assistant that can perform tasks such as adjusting the car’s settings, providing directions, and answering questions.

On March 5, NIO Inc. (NYSE:NIO) reported a Q4 non-GAAP EPADS of -$0.39, falling short of market consensus by $0.07, and a revenue of $2.41 billion, outperforming estimates by $70 million.

According to Insider Monkeys’ fourth quarter database, 20 hedge funds were bullish on NIO Inc. (NYSE:NIO), compared to 18 funds in the preceding quarter. Jos Shaver’s Electron Capital Partners held a significant position in the company, with 4.43 million shares worth $40.18 million.

Here is what Horos Asset Management has to say about NIO Inc. (NYSE:NIO) in its Q1 2022 investor letter:

“At the beginning of April the CSRC (China Securities Regulatory Commission) announced possible changes in its regulation that would allow this inspection by foreign auditors, provided that the companies previously communicate to this body the state secrets that would be exposed, as well as the sensitive information that they might have to hand over, and the subsequent audit is carried out in a framework of collaboration with the CSRC. In short, a move in the direction desired by the SEC, although still far from the optimal result, that is, unrestricted access to information. While these negotiations between the two regulatory bodies are progressing, Chinese companies have to decide how best to preserve their interests. Other entities, such as the electric vehicle manufacturer Nio, have just started trading on this stock market.”