We recently compiled a list of 10 AI News Investors Can’t Afford to Miss. In this article, we’ll take a look at where Vertiv Holdings Co (NYSE: VRT) stacks up to other AI stocks that investors can’t afford to miss.
According to Goldman Sachs, a famous Wall Street brokerage, the S&P 500 index will reach 6,500 by the end of 2025. The US economy and corporate profits are expected to continue to grow, a key factor for optimism which underlies this forecast. Another brokerage, Morgan Stanley, made a similar forecast, saying that U.S. profits will continue to grow in 2025. This can be expected if the Federal Reserve cuts interest rates next year and if it there are signs of a stronger economic cycle. Stocks of the “Magnificent 7,” which are key technology giants in AI innovation, are expected to outperform the rest of the 493 companies in the benchmark index next year, Goldman notes. However, the outperformance is expected to be only 7 percentage points, the lowest margin in seven years.
As businesses increasingly leverage artificial intelligence to drive growth, the central role AI technology plays in influencing market trends becomes increasingly undeniable. The latest news is that AI-powered search engine Perplexity is reportedly taking on some tech giants by launching its own shopping feature which it says is a “one-stop solution where you can search and buy products”.
“You can use it to research and shop for anything like building your library, buying electronics to throw a party, and more. »
The shopping tool allows users to enter queries, refine results, and includes features like one-click checkout. Its main point of differentiation, however, is that it describes its results as AI-powered “unbiased recommendations” based on reviews made on the platform.
“When you ask Perplexity a purchasing question, you’ll always get the accurate, objective answers you expect, along with easy-to-read product sheets showing the most relevant items, along with key details presented in a simple, straightforward format. visual.”
Separately, Coca-Cola is facing backlash with an AI-created ad. Originally intended to pay homage to a classic 1995 ad, many creatives drew criticism, saying it was not in good taste for the company to use AI technology to create the video instead of the work of artists. According to Forbes, the video was created by three AI studios, namely Secret Level, Silverside AI and Wild Card, and used four different generative AI models.
For this article, we selected AI stocks by looking through news articles, stock analyses, and press releases. These stocks are also popular among hedge funds.
Why are we interested in stocks that hedge funds are piling into? The reason is simple: our research has shown that we can outperform the market by imitating the stocks selected by the best hedge funds. Our quarterly newsletter strategy selects 14 small- and large-cap stocks each quarter and has returned 275% since May 2014, beating its benchmark by 150 percentage points (see more details here).
A close-up of a group of technicians working on complex data center systems.
Market capitalization: $46.17 billion
Vertiv Holdings Co (NYSE: VRT) provides digital infrastructure technologies and services for data centers, communications networks, and commercial and industrial facilities.
On November 18, global provider of critical digital infrastructure and continuity solutions, Vertiv Holdings Co (NYSE: VRT), and Compass Datacenters, a multinational data center company, announced a collaboration that will enable future configurations of AI to switch between air and liquid cooling to support high-density computing. The two companies collaborated together on this vision, with Vertiv developing and manufacturing the technology solution. The first units are expected to be installed at a Compass facility in the first quarter of 2025, as part of a planned multi-year, multi-billion dollar supply agreement.
“AI is not only bringing changes to data centers, it is also changing the way major industry players work together to drive growth. Data center operators, customers, chipmakers, infrastructure providers, utilities and others must work together to innovate and reduce barriers to AI adoption. Compass Datacenters and Vertiv engineers worked together to make this important project a reality. Vertiv™ CoolPhase Flex helps support today’s IT and quickly implement the data center of the future. With our deep expertise and understanding of the complexity of AI applications, Vertiv was uniquely able to bring this solution to market.
Overall VRT ranks 2nd on our list of AI stocks that investors can’t afford to miss. While we recognize the potential of VRT as an investment, our conviction lies in the belief that certain AI stocks hold more promise in terms of higher returns and in a shorter time frame. If you’re looking for an AI stock that’s more promising than VRT but is trading at less than 5x earnings, check out our report on cheapest AI stock.
