2 Artificial Intelligence (AI) Stocks I'd Buy Over Nvidia Right Now
What role does Google Cloud play for AI start-ups?
Google Cloud provides AI start-ups with computing power to create models tailored to their business, as purchasing a supercomputer would be overkill. By renting computing power from Google Cloud, start-ups can efficiently utilize AI technology. It is a popular choice among start-ups, with 60% of funded generative AI start-ups and 90% of generative AI unicorns being Google Cloud customers2.
What makes Alphabet and Adobe preferable to Nvidia currently?
Alphabet and Adobe are preferable to Nvidia currently due to their reasonable valuations and strong growth prospects. Alphabet is investing in its AI capabilities, with its generative AI platform, Gemini, being used for various purposes. Adobe is providing AI tools for the digital media market, with its generative AI tools cutting down on the time needed to create media assets. Both companies are trading at more attractive prices compared to Nvidia, which has become relatively expensive.
Why are investors considering AI stocks other than Nvidia?
Investors are considering AI stocks other than Nvidia due to its high valuation and the desire to diversify their portfolios. While Nvidia has been a strong performer in the AI chip market, other companies like Alphabet and Adobe are also making significant advancements in AI technology, offering potentially attractive investment opportunities at more reasonable valuations.