The success of ChatGPT has sparked a rally in artificial intelligence stocks.
Shares of AI tech suppliers like Nvidia and Ambarella have jumped since the launch of ChatGPT.
Here’s a list of five AI stocks that have surged since OpenAI launched ChatGPT on November 30.
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Everyone is talking about ChatGPT, and investors are trading on the hype, sending both notable and under-the-radar artificial intelligence stocks soaring since the bot launched. On November 30, OpenAI unveiled ChatGPT, and since then it has shown a capacity for a range of tasks, such as writing stock stories, layoff emails, and even dating-app messages.The buzz has exploded, and OpenAI is getting a reported $10 billion investment from Microsoft. While OpenAI isn’t traded on public markets, artificial intelligence stocks that are public have been riding the wave.Here’s a list of five AI stocks that have seen a surge since November 29, the last trading day before ChatGPT launched.
Nvidia Ticker: NVDAPercent gain: 23%Nvidia, best known for its design and production of graphics-processing chips, is embedded in the artificial intelligence craze, and the firm’s technology is used for various AI integrations from self-driving cars to robots.The Nvidia stock rally has also made founder and CEO Jensen Huang considerably richer as his wealth has grown by more than $5 billion so far this year, Bloomberg data shows.
Wall Street is also bullish. Citigroup analysts recently estimated that a boom in ChatGPT usage could translate to $3 billion-$11 billion in sales for Nvidia in the next 12 months. “We believe Nvidia has in ChatGPT a potentially meaningful compute demand driver,” the bank said.Meanwhile, analysts at Bank of America said Nvidia is a top potential winner from generative AI growth, and Wells Fargo said new chips from Nvidia are poised to gain from greater computing needs of AI tools like ChatGPT.AmbarellaTicker: AMBAPercent gain: 26%
Ambarella is another chip company that serves the AI market. It designs semiconductors that are used in everything from entertainment consoles in cars to cellphones.It also specializes in “system on a chip” semiconductors that combine multiple central processors on one logic board to provide artificial intelligence computing.Ambarella chips are used in self-driving functions, and the company recently partnered with German auto supplier Continental on an autonomous driving venture. Mobileye Ticker: MBLY
Percent gain: 39%Mobileye was spun off by Intel and focuses on self-driving technology and driver-assistance systems, including chips and cameras. Volkswagen, Ford, and GM are among its customers. The company has a near-fully autonomous system called SuperVision, and its Chauffeur product is designed to convert a car into a Level 4 self-driven vehicle.Last week, the company beat quarterly forecasts and gave an upbeat 2023 revenue projection. CEO Amnon Shashua touted roughly $17 billion worth of bookings that extends through 2030. “We expect SuperVision to be a very large growth driver in 2023 and beyond,” he told analysts on an earnings call.
C3.aiTicker: AIPercent gain: 61%C3.ai is an artificial intelligence software suite provider, and has the success of ChatGPT to thank for its recent stock surge. Shares soared roughly 28% on Tuesday alone on news that it would integrate ChatGPT into its product suite.”The C3 Generative AI Product Suite integrates the latest AI capabilities from organizations such as Open AI, Google, and academia, and the most advanced models, such as ChatGPT and GPT-3 into C3 AI’s enterprise AI products,” C3.ai said in a Tuesday press release.
AlteryxTicker: AYXPercent gain: 28%Alteryx’s software is best known for data and analytics, and the firm is also focused on furthering automation. The firm specializes in artificial intelligence integration, although on a smaller scale compared peers like Google and Meta. The company will report quarterly results on February 9.