This article presents an overview of the 5 Best Stocks To Buy According to AI. For a detailed overview of the 15 such stocks read our article, 14 Best Stocks To Buy According to AI.
5. Microsoft Corp (NASDAQ:MSFT)
Stock Performance Since ChatGPT Recommended The Stock Last Year: +65%
No AI-based LLM ever skipped Microsoft Corp (NASDAQ:MSFT) when asked to recommend some of the best AI stocks, according to our research. And this can also be said about human financial experts, because Microsoft Corp (NASDAQ:MSFT) remains at the helm of the AI technologies currently being used by millions of people around the world, thanks to its investments in OpenAI and integration of AI with Bing and other products. ChatGPT recommended Microsoft Corp (NASDAQ:MSFT) in an experiment conducted by finder.com back in March 2023. Since then the stock has gained about 65%.
Carillon Eagle Growth & Income Fund stated the following regarding Microsoft Corporation (NASDAQ:MSFT) in its fourth quarter 2023 investor letter:
“Microsoft Corporation (NASDAQ:MSFT) performed well after reporting strong earnings supported by accelerated growth from Azure. The cloud business is seeing consistent trends from optimization while AI has contributed strongly to its growth.”
4. Amazon.com Inc (NASDAQ:AMZN)
Stock Performance Since ChatGPT Recommended The Stock Last Year: +88%
Amazon.com Inc (NASDAQ:AMZN) is one of the best stocks to buy according to AI. When Finder.com asked ChatGPT to recommend a stock portfolio, the AI technology added Amazon.com Inc (NASDAQ:AMZN) in its portfolio. Since March 6, 2023, when the finder.com experiment was published, Amazon.com Inc (NASDAQ:AMZN) shares have gained about 88%. AI has been one of the primarily growth catalysts for Amazon.com Inc (NASDAQ:AMZN) as Amazon.com Inc’s (NASDAQ:AMZN) AWS business is offering several AI-related features for companies and developers.
Alger Spectra Fund stated the following regarding Amazon.com, Inc. (NASDAQ:AMZN) in its fourth quarter 2023 investor letter:
“Amazon.com, Inc. (NASDAQ:AMZN) is a well-known online retailer and cloud computing leader. The company’s Amazon Web Services (AWS) business provides utility-scale cloud offerings that facilitate corporate America’s transition to digital systems. During the quarter, shares contributed to performance as Amazon reported strong fiscal third quarter results, where the company beat sales and earnings estimates. Moreover, AWS growth remained steady. contributing to Amazon’s better-than-expected operating income despite concerns around cloud cost optimizations, showing signs of increasing net new cloud workloads. While management noted that customers remain price-conscious and focused on deals, demand remains strong across all segments, leading the company to raise their fiscal fourth quarter revenue and operating income guidance.”
3. Netflix Inc (NASDAQ:NFLX)
Stock Performance Since ChatGPT Recommended The Stock Last Year: +97%
Netflix Inc (NASDAQ:NFLX) was also one of the stocks ChatGPT included in its stock portfolio when it was asked to develop a “fund” to beat the market by finder.com back in March 2023. Since the recommendation date the stock has gained about 97%.
As of the end of the fourth quarter of 2023, 89 hedge funds out of the 933 funds tracked by Insider Monkey had stakes in Netflix Inc (NASDAQ:NFLX). The most notable stake in Netflix Inc (NASDAQ:NFLX) is owned by Ken Fisher’s Fisher Asset Management which owns a $2 billion stake in Netflix Inc (NASDAQ:NFLX).
Sequoia Fund stated the following regarding Netflix, Inc. (NASDAQ:NFLX) in its fourth quarter 2023 investor letter:
“Exits last year included Netflix, Inc. (NASDAQ:NFLX), Bank of America and Micron. We opportunistically added to our Netflix position in late 2022, near what turned out to be the lows. We sold our shares in stages over the course of last year as the stock price recovered and the valuation of the business rose dramatically.”
2. Meta Platforms Inc (NASDAQ:META)
Stock Performance Since ChatGPT Recommended The Stock Last Year: +153%
Meta Platforms Inc (NASDAQ:META) stock has jumped about 153% since March 16, 2023, the day when ChatGPT recommended investors to buy the stock if they want to become rich in the next 10 years. Meta Platforms Inc (NASDAQ:META) has been one of the top performers since Meta Platforms Inc’s (NASDAQ:META) business is thriving amid user growth across its platforms and integration of AI in its products.
Sequoia Fund stated the following regarding Meta Platforms, Inc. (NASDAQ:META) in its fourth quarter 2023 investor letter:
“Two additional trims, in Meta Platforms, Inc. (NASDAQ:META) and Carmax, were more substantive in nature. When Meta’s stock declined in 2022, we judged it to be significantly mispriced and held our ground through the bottom. We trimmed the position serially last year as the stock soared because we were wary of holding a large position exposed to significant regulatory risks, particularly in Europe. We are comfortable owning Meta at today’s much-reduced weighting and current valuation. The smaller position size reflects our updated assessment of the balance of long-term risk versus reward.”
1. Nvidia Corp (NASDAQ:NVDA)
Stock Performance Since ChatGPT Recommended The Stock Last Year: +290%
On March 16, 2023, Insider Monkey its experiment with ChatGPT in which its researchers asked the LLM to recommend stocks that would make one rich. Nvidia Corp (NASDAQ:NVDA) was among the stocks recommended by ChatGPT. At that time Nvidia Corp (NASDAQ:NVDA) was trading at around $230, while the stock price has reached $898 today. This shows a massive 290% increase.
As of the end of the fourth quarter of 2023, 173 hedge funds tracked by Insider Monkey had stakes in Nvidia Corp (NASDAQ:NVDA).
Orbis Global Equity Strategy stated the following regarding NVIDIA Corporation (NASDAQ:NVDA) in its fourth quarter 2023 investor letter:
“Never before has following the crowd made so much money. Nor, in our estimation, so little sense. But just look at the opportunities the crowd has left for those of us willing to take a different view. We could wax lyrical about the glaring difference in value between Korean banks priced at 4 times earnings, versus Apple at 28 times, despite diverging fundamentals—Apple is increasingly at risk of bans in China, while Korean banks could double their dividends.
Or how the thick margin of safety at Intel, backed by listed stakes and real saleable assets, compares to the slim margin for error at NVIDIA Corporation (NASDAQ:NVDA), trading at 13 times next year’s projected revenue. That revenue that could be competed away over time, while Intel’s semiconductor “fabs” in the US are increasingly valuable as the east and the west drift further apart.
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