The trade in technology stocks is growing volatile. The shares of microchip and semiconductor companies, which had led the market higher in this year’s first half, are selling off as we near the end of June. At the same time, several other well-known technology stocks are in the red this year. Whether due to disappointing earnings, competitive threats or being viewed as overvalued and expensive, several tech stocks are down right now and missing out on the bull run in equities. Shrewd investors will see the ...

OpenAI has already changed the tech industry in big ways. Indeed, this technology has even started to impact blue-collar sectors after ChatGPT came out. That said, it has now been more than a year and a half since ChatGPT’s release. And while there have been better and better AI chatbots being released, you’d be forgiven for thinking that the AI magic is starting to wear off. People are no longer surprised by what AI can do these days.I think that could change once OpenAI releases its Sora text-to-video AI ...

The creator economy is an ecosystem surrounding content creators on platforms like YouTube and TikTok, who monetize their content through sponsorships, affiliate marketing, subscription models, merchandise sales and more. It’s a burgeoning new industry caused by the rapid rise in digital media consumption and the various monetization methods made possible in recent years. In fact, over 50% of the Generation Z surveyed said they want to be content creators; it’s a job that has been ridiculed in the past but ...

AI helped power results in the quarter.Shares of Adobe (ADBE 2.01%) rebounded after the maker of creative software programs such as Photoshop reported solid revenue growth for its fiscal second quarter. Despite the solid post-earnings gains, the stock is still down about 12% year to date.Let's take a closer look at the company's most recent quarterly results and guidance and whether it is too late to buy the stock.Solid revenue growthAdobe solidly grew its fiscal Q2 revenue by 10% to $5.31 billion topping t ...

Core Viewpoint - The artificial intelligence (AI) sector presents significant investment opportunities, with spending on generative AI expected to rise from $67 billion in 2022 to $1.3 trillion by 2032, indicating substantial growth potential for companies in this space [1]. Company Summaries Adobe - Adobe is a leading provider of design and document management software, with a growing suite of tools for digital marketers [2]. - The introduction of Firefly AI across its creative cloud software enhances user experience and drives conversions from free to paid users [2][3]. - Adobe's competitive advantage stems from its network effect and lock-in effect, making it difficult for users to switch to inferior tools [3]. - Shares are trading around $500, reflecting a forward P/E of 25x for fiscal 2025 earnings, which is considered a fair price given the company's growth and cash flow from subscriptions [4]. Salesforce - Salesforce is the leading provider of customer-relationship management (CRM) software, integrating its products with a new Data Cloud that consolidates data into a unified platform [5]. - The company leverages its vast proprietary data to enhance its AI capabilities, with features like Einstein Copilot improving task efficiency for employees [5][6]. - Shares are currently priced around $240, with a forward P/E of 24.4x, supported by strong free cash flow and a share repurchase program [6]. Meta Platforms - Meta Platforms is heavily investing in generative AI, with plans to spend between $35 billion and $40 billion this year on AI data centers and necessary technology [7][8]. - The company aims to integrate AI into its existing products to enhance user engagement and provide new features for marketers [8]. - Shares are trading around $500, with a forward P/E of 25.3x, and analysts project a 30% compound annual growth rate in earnings per share over the next five years [8].

These three growth stocks look set to ride the artificial intelligence trend to report higher revenue and net income.The era of artificial intelligence (AI) is upon us, and this new technology promises to unleash a new wave of creativity and convenience the likes of which has never been witnessed. AI offers an enticing promise to help automate tasks and achieve feats never accomplished by humans. Investors excited about AI's prospects and wish to ride on this long-term wave can seek growth stocks that utili ...

Certain stocks have seen big moves higher this year. Some of those stocks have risen based on better-than-expected financial results. However, a fair number have increased based on hype surrounding hot corners of the market such as artificial intelligence (AI) and cryptocurrencies. It’s become a running joke that executives are not allowed to hold an earnings call these days without mentioning the ways in which their company benefits from AI.The challenge for investors is to determine which stock prices are ...

Alphabet and Adobe have been crushing it recently.Nvidia (NVDA -3.22%) is a great artificial intelligence (AI) stock. However, it has gotten a bit expensive from a valuation standpoint, which has some investors looking elsewhere for AI investments. I'm in that camp, but fortunately, plenty of AI companies are worth buying right now.Two that come to mind are Alphabet (GOOG 1.44%) (GOOGL 1.89%) and Adobe (ADBE 2.01%). Both companies' shares are trading at reasonable valuations, and both are always fantastic b ...

Artificial intelligence is both an opportunity and a potential risk for this digital media giant.Shares of Adobe (ADBE 0.13%) rallied sharply following a better-than-expected second-quarter earnings report, sending shares to a three-month high.The update helped brush aside some market fears that the digital media software giant may be losing its step amid the emergence of competing artificial intelligence (AI) applications representing a threat to its core business. The stock is still down about 13% in 2024 ...

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