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Uncovering Around Three Million Dollar-Generator Artificial Intelligence (AI) Shares

Visual representation of mechanized artificial intelligence entity.
Visual representation of mechanized artificial intelligence entity.

Uncovering Around Three Million Dollar-Generator Artificial Intelligence (AI) Shares

AI, hailed as a generational opportunity by tech industry leaders, is still in its early stages of evolution, offering numerous opportunities for businesses and investors eager to jump on the bandwagon. Let's take a look at three stocks that could help build a millionaire-making portfolio: NVIDIA, Alphabet, and Salesforce.

1. NVIDIA

With a solid track record as one of the largest AI winners, NVIDIA continues to shine. Computing power is essential for large language models (LLMs) and AI inference, and NVIDIA's graphics processing units (GPUs) excel in these tasks. With an almost 90% market share in the GPU space, NVIDIA leverages its CUDA software platform to simplify programming GPUs across various AI tasks.

NVIDIA's GPUs serve as the backbone of AI data centers, which are expanding at a rapid pace. As companies aim to train more sophisticated LLMs, they require exponentially more computing power. Advanced AI models now require 10 times the GPUs of earlier versions to accomplish their computationally-intensive tasks. In the near future, there could be LLMs requiring up to 1 million AI chip clusters.

Large tech players such as Microsoft are investing heavily in data centers, committing $80 billion to this endeavor in 2025. Meanwhile, NVIDIA's stock is attractively priced, with a forward price-to-earnings (P/E) ratio below 30 and a price-earnings-to-growth ratio (PEG) under 1, suggesting undervalued potential.

2. Alphabet

Alphabet has strong ambitions in multiple AI areas, from cloud computing and AI search to emerging technologies like quantum computing and autonomous vehicles. Alphabet's cloud computing unit, Google Cloud, has seen strong growth, with revenue up 35% in the last quarter, while the high-fixed-cost business is now profitable, generating segment income of $1.95 billion in Q3 2024.

Alphabet's investment in custom AI chips, in partnership with Broadcom, improves the speed and cost-efficiency of AI inference processing. Alphabet's AI search and Gemini AI assistant app present promising revenue opportunities in the future. In the field of multimodal AI, Alphabet ranks as a leader, with innovations such as text-to-video generation and visual search.

Alphabet's stock is also attractively valued, with a forward P/E of 19 times.

3. Salesforce

Agentic AI, wherein AI agents autonomously perform tasks without excessive human supervision, represents a significant growth opportunity. Salesforce aims to be a leading player in this field with its Agentforce solution. Salesforce's CRM software user base is a natural target for upselling Agentforce, which boasts AI agents capable of handling customer service, sales, and marketing, among other tasks.

Agentforce had more than 1,000 deals in place by mid-December, with plans to have 1 billion agents in force by FY 2026. At $2 per conversation, Agentforce's pricing model means that the more valuable customers find its agent solutions, the more growth potential it holds.

Salesforce currently trades at a modest forward price-to-sales (P/S) ratio of 7.4 times FY 2026 analyst estimates, making it an attractive pick for AI-focused investors.

  1. Investors interested in the finance aspect of AI might consider the undervalued potential of NVIDIA's stock, given its low forward price-to-earnings (P/E) ratio below 30 and a price-earnings-to-growth ratio (PEG) under 1, as its GPUs serve as the backbone for expanding AI data centers.
  2. Alphabet's investment in custom AI chips, in partnership with Broadcom, is another financial opportunity for those interested in investing in the AI sector, as it aims to improve the speed and cost-efficiency of AI inference processing.

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