In this article, we will take a look at some of the best artificial intelligence stocks that are currently offering attractive upside. On July 3, CNBC reported that financial regulations are finding it difficult to keep pace with the fast-paced AI development, as indicated by policymakers across Europe. It cited various policymakers across the region who are currently navigating how to facilitate the adoption process while reducing risks to market stability and integrity.
CNBC cited comments from the Chief Executive Officer of the U.K.’s FCA, Nikhil Rathi, who said the conventional rulemaking cycle is ineffective in a fast-paced, evolving technological landscape, especially as agentic AI development accelerates. Rathi stated that market authorities eventually need to find a better balance on such quickly changing technology.
CNBC also reported concerns expressed by the European Central Bank President, Christine Lagarde, who believes that AI is a source of gains and productivity but also poses key risks. Lagarde further said:
“For about a decade now we have been talking about cybersecurity risks, hacking, data theft and so on. But with the acceleration and deepening of AI models, we are confronted with a much more serious risk, because it is happening very, very quickly, and because the means of defense — and the funding required for them — have yet to be found.”
Having said that, the AI advancements do offer unique prospects for regulators, corporations, and investors. With that background, let’s explore our Top 10 AI Stocks That Will Skyrocket.
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Our Methodology
To identify relevant stocks for this article, we screened U.S.-listed companies that are either AI pure plays or have a significant exposure to artificial intelligence. Also, we shortlisted stocks with market capitalizations above $2 billion and at least 30% upside potential according to consensus, as of July 2 closing. Finally, we selected 10 stocks with the highest upside and ranked them in ascending order.
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 599.2% since May 2014, beating its benchmark by 372 percentage points (see more details here).
10. Synopsys Inc. (NASDAQ:SNPS)
Synopsys Inc. (NASDAQ:SNPS) is one of the top 10 AI stocks that will skyrocket.
On June 17, Synopsys Inc. (NASDAQ:SNPS) revealed the launch of its first Multiphysics Fusion solutions, which bring together AI-enabled EDA solutions of Synopsys with golden signoff analysis of Ansys across multi-die design, timing signoff, design closure, and analog workflows. The company highlighted that with chip designs becoming more complex, physics-based challenges demand a combined EDA and multiphysics approach.
Having received validation from leading companies, these solutions enhance predictability and speed up convergence for HPC systems and AI. Timing signoff delivers runtime improvements of up to 3x, SPICE-level-accurate multiphysics timing analysis, including IR, thermal, and stress effects, enhancing margins and minimizing IR-induced timing escapes.
Design Closure feature offers up to 10x faster design closure with increased ECO success rates and enhanced power, performance, and area, speeding up convergence while reducing iterations. Multi-die design provides concurrent power integrity, electromagnetic, and thermal analysis, providing earlier system insights from exploration through golden signoff with correct-by-construction methodology.
Analog workflows provide chip-level, highly accurate electromagnetic analysis in the analog design process, facilitating complete photonic IC and co-packaged optics systems. Early collaborations with leading semiconductor businesses and systems companies confirm the value of Multiphysics Fusion solutions.
Synopsys Inc. (NASDAQ:SNPS) develops intellectual property solutions and electronic design automation tools for the semiconductor and electronics industries. Digital integrated circuit designs and hardware verification systems account for a large share of the company’s revenue. It also oversees silicon prototyping for components of pre-verified intellectual property.
9. Micron Technology Inc. (NASDAQ:MU)
Micron Technology Inc. (NASDAQ:MU) is one of the top 10 AI stocks that will skyrocket.
On June 29, Phillip Securities substantially increased its target price for the stock from $530 to $1,870, which now yields more than 62% upside. The firm reiterated its Buy rating following the company’s earnings release.
For the coming quarters, Phillip Securities said that the company could potentially enter into more agreements with its existing customer base, along with some new additions. It also shared its views on memory shortages across the broader industry, which it expects to persist beyond 2027.
Back on June 22, Micron Technology Inc. (NASDAQ:MU) entered into a strategic collaboration with Anthropic that covers AI memory and storage architecture design, company-wide adoption of Claude across Micron, and participation in Anthropic’s Series H funding.
Central to this are collaborative efforts in memory and storage technologies to enhance the development and scaling of AI systems. Both companies will assess how the storage and memory subsystems perform across different workloads. This effort is expected to advance progress in memory and storage performance, power efficiency, and improved token economics in the AI infrastructure of Anthropic.
Micron Technology Inc. (NASDAQ:MU) is engaged in developing storage and memory solutions. It offers products such as high-bandwidth memory, graphics memory, and more. The company also provides various types of multichip packages, such as flash storage-based and multimedia card-based multichip packages.
8. Broadcom Inc. (NASDAQ:AVGO)
Broadcom Inc. (NASDAQ:AVGO) is one of the top 10 AI stocks that will skyrocket.
On June 24, Broadcom Inc. (NASDAQ:AVGO) extended its strategic collaboration with Nationwide Building Society (LSE:NBS.L) to facilitate the continued technology transformation and the evolution of Nationwide’s hybrid cloud approach. Key to this phase is the implementation of VMware Cloud Foundation (VCF), which is used as the base layer for a fully embedded enterprise-grade private cloud system.
This collaboration provides Nationwide with support for integration and coordination across the organization following the company’s acquisition of Virgin Money. It also increases Nationwide’s ability to provide safer and more reliable digital services at scale. VCF is a unified private cloud system with embedded computing, networking, management, storage, and security solutions, along with intelligent operations and automation.
For Nationwide, this provides a standardized base for running cloud native, conventional, and ultimately AI-based applications, while maintaining the requirements of governance, performance, and compliance of a big banking provider in the UK. The expansion shows the commitment of Nationwide towards developing an advanced and private cloud that balances agility and operational control.
As Nationwide continues to upgrade its estate of technology, VCF will function as the key layer of infrastructure underpinning integration, continuity of service, and long-term operational efficiency within the organization.
Broadcom Inc. (NASDAQ:AVGO) is a technology company and a global supplier of semiconductor devices and infrastructure software services. The company delivers networking connectivity, wireless device connectivity, and servers and storage solutions. It also has an extensive suite of private cloud offerings such as VMware Cloud Foundation, Edge, telco cloud platform, private AI, and more.
7. Bitdeer Technologies Group (NASDAQ:BTDR)
Bitdeer Technologies Group (NASDAQ:BTDR) is one of the top 10 AI stocks that will skyrocket.
On June 29, Bitdeer Technologies Group (NASDAQ:BTDR) revealed that Tydal Data Center AS, its wholly-owned subsidiary, has signed a colocation lease agreement for its AI data center facility based in Norway. The agreement is not yet effective and is subject to the satisfaction of certain prerequisites beyond the company’s control. These include the execution of arrangements related to external suppliers and customers by the other party.
Bitdeer’s Chief Strategy Officer, Haris Basit, said that this development signifies an important milestone in Bitdeer’s implementation of its worldwide AI infrastructure strategy. He also stated that the company is eager to provide complete details of this agreement, including strategic context and terms, once the agreement becomes effective.
Earlier on June 24, Citizens initiated its coverage of Bitdeer Technologies Group (NASDAQ:BTDR) with a target price of $35, which leads to an upside potential of more than 120% at the current level. The firm assigned an Outperform rating to the stock, based on the company’s strategic shift towards HPC solutions for hyperscalers.
Citizens anticipates that this shift will prove highly beneficial, since it has enabled other players across the segment to outperform the S&P 500 over the last year.
Bitdeer Technologies Group (NASDAQ:BTDR) offers bitcoin mining capabilities across the entire lifecycle, including self-mining and services for external customers. For self-mining, the company has been effectively utilizing SEALMINER rigs to expand its hash rate. Apart from that, the company also designs chips and operates data centers.
6. Zeta Global Holdings Corp. (NYSE:ZETA)
Zeta Global Holdings Corp. (NYSE:ZETA) is one of the top 10 AI stocks that will skyrocket.
On June 30, Saken Ismailov from Freedom Broker initiated coverage of Zeta Global Holdings Corp. (NYSE:ZETA) with a target price of $28.50, implying upside potential of over 45%. The analyst assigned a Buy rating to the stock, based on his views that the company is strategically positioned to benefit from the broader enterprise-level pivot away from conventional marketing technology solutions that were highly fragmented. The focus is now more aligned towards integrated offerings that function as a unified marketing cloud, backed by artificial intelligence.
Earlier on June 24, Matt Bullock from Bank of America Securities increased his target price for Zeta Global Holdings Corp. (NYSE:ZETA) from $24 to $28. This results in an adjusted upside of more than 42%.
Bullock reaffirmed his Buy rating for the stock, following the company’s recent announcement of a 7-year strategic collaboration with Palantir Technologies Inc. (NASDAQ:PLTR). He anticipates this engagement to be a growth driver for Zeta in the coming years, although any substantial contribution towards the topline is not expected until 2027.
Zeta Global Holdings Corp. (NYSE:ZETA) provides enterprises with consumer intelligence and marketing automation software worldwide. The company operates the Zeta Marketing platform and Consumer Data Platform (CDP+) for unified customer profiles. It also offers Zeta Messaging, integrated data management, enterprise-scale delivery, and consumer data support.
While we acknowledge the potential of ZETA to grow, our conviction lies in the belief that some AI stocks hold greater promise for delivering higher returns and have limited downside risk. If you are looking for an AI stock that is more promising than ZETA and that has 100x upside potential, check out our report about the cheapest AI stock.
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