Artificial intelligence (AI) is already being utilized in multiple applications. From image recognition to healthcare, e-commerce to advertising to credit scoring and many other industries – all are making use of AI’s human-like capabilities. And with computing power continuously improving, it is set to get more prevalent over time.
One recent example of its impact is ChatGPT – the AI chatbot developed by OpenAI and launched last November. The tool has quickly caught the public’s imagination with its ability to perform different tasks such as write articles, songs and even write code and its success has only highlighted how AI will keep on impacting our lives.
Of course, with any fledgling industry, investors will get an opportunity to buy in and there are publicly traded companies basing their entire value proposition around AI.
With this in mind, we delved into the TipRanks database and pulled out two AI-focused stocks that have the experts singing their praises. Let’s see what makes them appealing investment choices right now.
SoundHound AI (SOUN)
The first AI stock we’re looking at is SoundHound AI, a voice assisting specialist. Via speech, its voice AI platform enables consumers to interact with products. This is not some esoteric segment of the market we’re talking about. The company sees a huge TAM (total addressable market) of $160 billion ahead; by 2024, there are expected to be 8 billion voice assistants in use with 75 billion connected devices operating worldwide the following year. SoundHound has some big-name clients on its roster such as Mercedes-Benz, Hyundai, Mercedes-Benz, Kia, Deutsche Telekom, Snap, Stellantis and Vizio.
SoundHound only became a public entity this year, entering the market via the SPAC route back in April. It has been a trial by fire, to say the least. The shares are down by 88% since the debut as SPACs went seriously out of favor in 2022’s bear.
Nevertheless, despite worries about the company being able to withstand the tough macro conditions amidst continued losses, it has been posting some impressive growth. In Q3,…