Artificial intelligence (AI) has been termed humanity’s most significant invention in recent years. Others have argued that AI has the potential to enrich consumers’ lives through new channels for self-expression and creativity. The best part is that this is not wishful thinking; big things are already happening. In fact, some believe the world is on the cusp of an AI technology that can reason and act at the same level as humans.

According to Nathan Myhrvold, former Microsoft CTO and current CEO of Intellectual Ventures, humanity is less than five miracles away from creating AI with human-like cognitive abilities. “We’ll get there eventually… Two years ago, nobody would have predicted how far we’ve come today,” he said.

But before AI can match or even surpass human intelligence, the technology is already showing great promise in various applications. For instance, one of Africa’s wealthiest individuals is tapping the tech to build the continent’s first AI factory. According to a Bloomberg report, Strive Masiyiwa’s company will provide the infrastructure for African businesses, researchers, and startups to “turn their bold ideas into real-world breakthroughs, and now they don’t have to look beyond Africa to get it.”

Across the Indian Ocean to Asia, AI is revolutionizing agriculture in China. Recent reports suggest that the government has initiated the development of an AI platform to support intelligent agricultural machines. Regional authorities have released a policy draft that outlines measures to encourage R&D in AI-based agricultural tools. This includes setting up innovation hubs to provide services like R&D, testing, exhibitions, and access to AI resources. The AI platform will assist companies in data verification, AI model implementation, and enhancing human-machine interaction.

India, too, is keen on leveraging the AI wave. The country is working on an indigenous AI chip that should be ready in three years. This massive undertaking is under the purview of the Ministry of Electronics and Information Technology (MeitY). The objective is to reduce reliance on foreign semiconductor technology and strengthen India’s position in the global AI ecosystem.

Many other countries in North America and Europe have similar projects already underway or at the deliberation stage. The most exciting part of these developments is that the private sector is at the center of the revolution. Most, if not all, of these AI-focused projects may be government initiatives but it is the private sector that is doing the heavy lifting.

To create this list, we reviewed the latest AI-focused news reports, press releases, and stock analysis. We have also mentioned the hedge fund sentiment around each stock, as of Q4 2024.

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 373.4% since May 2014, beating its benchmark by 218 percentage points (see more details here).

9. Koninklijke Philips N.V. (NYSE:PHG)

Number of Hedge Fund Holders: 12

Koninklijke Philips N.V. (NYSE:PHG) is a global health technology company that works on meaningful innovation to improve people’s lives. On March 25, the company confirmed it was the leading applicant of medical technology patents at the European Patent Office in 2024, with 1231 applications. The company continues to grow its patent portfolio, hoping to generate long-term value.

The patent filing underscores Koninklijke Philips N.V.’s (NYSE:PHG) commitment to integrating informatics and artificial intelligence to improve workflows, enhance patient care and lower costs. The US Food and Drug Administration cleared some of its AI tools integrated into EPIQ CVx and Affiniti CVx ultrasound systems to enhance cardiovascular imaging. While the AI tools increase automation and productivity, they also strengthen Philips’ position in the cardiovascular ultrasound segment.

“To continue driving greater impact, we have shifted our innovation closer to customers. We want to help healthcare professionals improve patient care and empower people everywhere to take care of their health and well-being,” Roy Jakobs, CEO of Royal Philips, said.

8. CGI Inc. (NYSE:GIB)

Number of Hedge Fund Holders: 16

CGI Inc. (NYSE:GIB) provides information technology (IT) and business process services. Its services include business and strategic IT consulting, systems integration, and software solutions. On March 26, the company moved to enhance its ability to serve clients with a broader range of artificial intelligence capabilities with the acquisition of Momentum Technologies.

Headquartered in Québec City, Momentum Technologies is an IT consulting services company that offers data analytics and business intelligence solutions. It also provides innovative solutions designed to drive digital transformation and operational efficiencies for businesses across various industries.

“This is also a natural evolution of our historically strong collaborations with Momentum Technologies over the years. By blending our expertise, we are enhancing our ability to serve our clients with an even broader range of AI capabilities to provide deeper insights and stronger analytics that enable clients to drive smarter decision-making,” says Jalil El Mejjad, Senior Vice-President, Québec City, CGI.