AI is a leading-edge technology that is becoming increasingly important across many sectors. Automating tasks, customizing customer experiences, and optimizing operations are some of the ways in which it has the potential to transform business and improve efficiency. The AI sector in Stocks is growing fast, with a number of businesses utilizing AI for diverse purposes ranging from health care to finance and even retailing or making things.
What are AI Stocks?
Shares of companies in artificial intelligence are what AI stocks are. There are various applications for AI, hence the different types of AI stocks. For instance, some companies dealing with AI produce software for voice recognition, while others design pilotless aircraft. AI shares generally fit one of the following two groups: those high-quality technology companies concerned with investment in or collaborations with AI developers; and small-scale experimental firms totally devoted to AI creation.
How to make investments in stocks?
For those who have little experience in stock trading but are interested in investing in artificial intelligence shares, the initial stage is to establish a brokerage account. Following that, one must determine the type of exposure they wish to have to artificial intelligence stocks. Individually-traded AI stocks can yield high profits; however, it comes with greater risks as well as expending initial capital and putting in more research work. Instead, an alternative to this would be investing in pooled exchange-traded funds concentrating on AI.
Top Stocks in AI:
1. Affle India
It is a multinational technology firm that was founded in 1994. The main goal of this company is to help marketers identify, reach, and gain possible users by turning their ads into recommendations. There are two segments in the business: consumer and enterprise platforms. The enterprise platform provides a range of digital transformation solutions for audience-focused digital assets. Among other things, it includes MAAS, Appnext, RevX, Jampp as well as Vizury platforms.
2. Zensar Technologies
Zensar Technologies Limited is a digital solutions and technology services provider based in Pune. The company provides services in 5 segments namely advanced engineering services, data engineering & analytics, foundation, application, and experience services. Digital engineering, cloud strategy, operating model, cloud transformation, and operations are all part of the advanced engineering services. Zensar’s data engineering & analytics consists of automation, AI and ML, visualization and analytics, and generative AI services among others.
3. Oracle Financial Services Software Limited
It is an IT company that offers information technology services to the finance industry. The company provides solutions like AML and financial crime compliance banking, payments, risk and finance, revenue management, insurance, human capital management, cloud infrastructure, data management, customer acquisition, etc. Its Products section manages banking software products. Some of the banking products the company offers include Oracle FLEXCUBE for Islamic Banking etc.
4. Kellton Tech Solutions Pvt Ltd
It is a small-cap company on the stock exchange, develops software and offers IT solutions, strategic technology consulting, and product development services. As of April 26th, 2024, the market capitalization of the company is Rs. 969.14 crores while the present stock price is Rs. 99.5. The one-year return for Kellton Tech Solutions Ltd stands at 16.22% whereas net profit margin is at 32.15%.
Before purchasing any stock, an investor should make clear and cautious decisions. When you buy stocks with a specific focus, they tend to carry more risk compared with broader investments which are known to have an annual average return rate. One way to contain this additional risk is not to invest more than 10% of your total portfolio in individual equities.
