5 Best Blue Chip AI Stocks to Buy Now

In this article, we will list the 5 Best Blue Chip AI Stocks to Buy Now. Please visit 8 Best Blue Chip AI Stocks to Buy Now if you would like to see the extended list and the methodology behind it.

5. Arista Networks (NYSE:ANET)

Stock Upside Potential: 54.29%

Number of Hedge Fund Holders: 91

Arista Networks (NYSE:ANET) is one of the best blue-chip AI stocks to buy now. On March 30, Truist Securities initiated coverage of Arista Networks (NYSE:ANET) with a Buy rating and a $161 price target, impressed by its growth over the past five years.

According to the research firm, the company is one of the purest plays in the AI networking theme. That’s because it is leveraging its success in the cloud with hyperscalers and in high-speed data centers by switching to newer AI networks that connect GPU clusters.

Source: unsplash

Consequently, the research firm expects AI-related networking with cloud and AI titans to contribute to the company’s 25% growth this year. Revenue is projected to increase from $1.5 billion to $3.25 billion in 2026. The revenue increase would come as the company is staring at tremendous growth opportunities on campus, where it has just 4% market share in a market valued at $20 billion. It is also well-positioned to capitalize on opportunities in data centers for enterprise and AI specialty providers.

Arista Networks (NYSE:ANET) specializes in high-performance, software-driven networking solutions, primarily for large data centers, cloud computing providers, and AI (Artificial Intelligence) environments. It also designs and sells high-speed Ethernet switches and routers powered by its Extensible Operating System.