2 days ago
6 Best 6 AI Stocks To Buy Now For Future Returns
Nvidia was one of the first companies to monetize the AI revolution, but it will not be the last. As AI innovation reshapes business processes, there is ample room for AI software, service and hardware providers to generate meaningful value and wealth — for customers and investors.
Identifying which stocks will rise to prominence is the AI investor's big challenge. Below are six strong contenders that are worth a deeper dive.
Based on market opportunity, projected results and competitive positioning, one or more of these six AI stocks may be the future star of your growth portfolio:
A review of each company follows. For more investing ideas, see best stocks for 2025.
Upstart Holdings operates an AI-powered lending marketplace that overhauls the traditional credit-scoring model. The company's streamlined, all-digital loan applications identify more creditworthy borrowers, improves access to affordable debt and lowers costs for lenders. According to Upstart data, its technology approves 43% more applicants at 33% lower APRs.
Upstart quantifies the global credit market at over $25 trillion, with $1 trillion available to origination and servicing platforms.
Upstart generated 2024 revenue of $637 million and recorded a net loss of $137 million. In 2025, the company expects $1 billion in revenue and a net loss of $80 million. Per analysts expect the company to generate positive EPS of $1.49 in 2025, rising to over $4.50 by 2029.
Upstart stock trades for about $57 per share and is up 138% over the past year.
Snowflake operates a cloud-based data warehouse and a platform to access the data for AI and other applications, analytics and collaboration. A Contino review says Snowflake's platform "enables data storage, processing, and analytic solutions that are faster, easier to use, and far more flexible than traditional offerings."
According to Snowflake's 2025 Investor Day presentation, the company expects its market opportunity to reach $355 billion by calendar year 2029. That's more than double the estimated market size of $170 billion in 2024.
Snowflake serves a diverse customer group that includes meal kit company Hello Fresh, German automaker BMW Group and transportation services provider Penske. Customers use Snowflake to support a range of objectives, from cost efficiency to improved customer experiences.
In fiscal 2025, Snowflake generated $3.4 billion in revenue and recorded a GAAP operating loss of $1.4 billion. The company expects first-quarter 2026 revenue growth of 21% to 22% with an operating margin of 5%. Analysts expect Snowflake to reach $10 billion in revenue and EPS over $4 in fiscal 2030, according to
Snowflake stock trades for about $212 per share and is up 70% over the past year.
CrowdStrike operates a cybersecurity solution called Falcon that uses AI to detect and block malware and other digital threats. The company recently announced the release of a new agentic AI with autonomous reasoning and investigative capabilities for faster threat mitigation.
CrowdStrike serves more than 70% of Fortune 100 companies and 18 of the top 20 U.S. banks, according to a 2024 investor presentation. The company values the AI-native security platform market at $116 billion.
In fiscal 2025, CrowdStrike produced revenue of $3.95 billion and a GAAP operating loss of $120 million. Analysts expect the company to eclipse $10 billion in revenue and $8 in EPS in fiscal 2030, according to
CrowdStrike stock trades for about $486 per share and has gained 28% over the past year. The gain is despite a steep stock-price decline last summer, following a failed update that crashed more than 8.5 million systems.
Ambarella designs and sells low-power vision processors for use in edge AI applications such as autonomous driving systems, drive recorders, vehicle safety features, surveillance systems and more. Edge AI applications process data locally, rather than sending data to the cloud for processing. As a result, they can produce faster responses with lower power consumption. Power efficiency is a focus for Ambarella—the company says its chips deliver the same or better results while being up to five times more efficient than competitor solutions.
A research report from S&S Insider values the edge AI chips market at $21.4 billion in 2024 and projects a CAGR of 33.93% from 2025 to 2032. That translates to a 2032 edge AI chip market worth $221.5 billion.
For fiscal 2025, Ambarella reported $284.9 million in revenue and a GAAP net loss of $117 million. Analysts expect the company's revenue to surpass $500 million and EPS to approach $1.50 in fiscal 2029, according to
AMBA stock trades for about $54 and is down 2% over the last year.
Arm Holdings designs high-performance, energy-efficient CPUs and GPUs, and then licenses the architecture. Licensees customize Arm designs to suit their applications. According to Arm, its technology is trusted and tested by more than 22 million software developers globally. Arm partners include Nvidia, Google, Microsoft, Meta, Mercedes-Benz and Fujitsu.
Arm's foundational role in chipmaking expedites innovation and time-to-market while lowering hardware acquisition costs for data centers.
Prior to its 2023 U.S. IPO, Arm estimated its total addressable market (TAM) was $202.5 billion. The company also projected that its TAM would grow to $246.6 billion by December 31, 2025.
In fiscal 2025, Arm reported revenue of $4 billion and diluted EPS of $0.75. Analysts expect the company will produce revenue of $9.8 billion and EPS of $3.95 in fiscal 2030, per
ARM stock trades for about $139 per share and is down 8.4% over the past year.
The Trade Desk runs an ad-buying platform that offers highly targeted and global audiences across multiple digital channels, including smart TVs. The company uses AI to analyze millions of ad opportunities each second to identify the most valuable and cost-efficient placements. According to company data, the Trade Desk's AI can increase advertiser reach by three times and reduce cost-per-action by 34%.
Current customers include McDonald's, Ikea, New York Post, Audi and Kellogg's.
The total addressable global advertising market is nearing $1 trillion, according to The Trade Desk's first quarter 2025 investor presentation.
In 2024, The Trade Desk delivered revenue of $2.4 billion and GAAP diluted EPS of $0.78. Analysts expect the company to double its revenue to $5.9 billion and more than quintuple its EPS to $4.42 in 2029, according to
TTD stock trades for about $71 per share, after a 26% decline over the past year.
Bottom Line
The AI revolution is still in its infancy, which means disciplined investments today could pay off handsomely over the next three to five years. Opt for companies using their competitive advantages to establish leadership positions in big markets. From there, be patient, but also ready to adjust your portfolio as this industry evolves.
