Several developments highlight the dynamic state of AI across various sectors. Hong Kong banks are leveraging AI to boost profits, reporting a 7.8% increase in 2024, and manage risks, while Surge AI, a data labeling company that supports firms like Google, OpenAI, and Meta, has reached $1 billion in revenue without venture capital. Venture capital firms are also increasing their focus on AI, as seen with Crosslink Capital hiring Mary D’Onofrio to lead AI investments with a strategy of fewer, larger investments. Wall Street analysts are optimistic about AI data center stocks, with Mizuho Securities analyst Vijay Rakesh raising price targets for Nvidia, Advanced Micro Devices (AMD), Arm Holdings, and Broadcom, anticipating strong performance from Nvidia's Blackwell processor in the second half of 2025. Beyond Nvidia, companies like CoreWeave, Palantir Technologies, Snowflake, and Meta Platforms are also benefiting from the rise of generative AI. Alphabet (Google) is recognized as a key AI player with its transformer architecture and AlphaFold program, and its Google Cloud division is experiencing rapid growth. However, there are also concerns about AI hiring strategies, with Helen Toner, a former OpenAI board member, questioning Meta's approach. AI is also poised to impact the real estate sector, potentially saving the industry $34 billion by 2030 through solutions like virtual assistants. In Canada, OpenText, Coveo Solutions, and BlackBerry are identified as promising AI stocks to watch. Finally, BigBear AI's stock saw a jump after its Virtual Anticipation Network (VANE) platform was used in a major international military exercise.
Key Takeaways
- Hong Kong banks increased profits by 7.8% in 2024 by using AI to improve operations and manage risks.
- Crosslink Capital hired Mary D’Onofrio to lead AI investments, focusing on larger investments in AI software and infrastructure.
- Mizuho Securities analyst Vijay Rakesh raised price targets for Nvidia, AMD, Arm Holdings, and Broadcom, expecting strong performance from Nvidia's Blackwell processor in H2 2025.
- Surge AI, a data labeling company for AI models, reached $1 billion in revenue without venture capital, supporting companies like Google, OpenAI, and Meta.
- Palantir Technologies' stock price has risen 81.3% as it helps clients with data analysis.
- Google Cloud, part of Alphabet, experienced 28% revenue growth.
- Former OpenAI board member Helen Toner questioned Meta's expensive AI hiring strategy.
- AI adoption in real estate could save the industry $34 billion by 2030 through virtual assistants and other solutions.
- OpenText, Coveo Solutions, and BlackBerry are identified as Canadian AI stocks to watch.
- BigBear AI's stock jumped 13.7% after its VANE platform was used in a large international military exercise.
Hong Kong Banks Thrive with AI and Smart Trade Moves in 2024
Hong Kong banks saw a 4.5% increase in assets and a 7.8% rise in profits in 2024, despite economic challenges. This growth was due to cost control and more customer deposits. Banks are using AI to improve operations and manage risks. Hong Kong's goal to become a virtual asset hub may also help banks grow. They plan to use new technologies to handle future economic problems.
Crosslink Capital Hires Mary D’Onofrio to Lead AI Investments
Mary D’Onofrio, formerly of Bessemer Venture Partners, joined Crosslink Capital to lead AI investments. She will manage a fund focused on AI software and infrastructure. D’Onofrio plans to make fewer, bigger investments in AI companies. This move shows the growing importance of AI in venture capital. Crosslink Capital uses a three-part investment strategy to support companies at different stages.
Nvidia and AI Data Center Stocks See Price Target Increases
A Wall Street analyst raised price targets for AI data center stocks, including Nvidia. Mizuho Securities analyst Vijay Rakesh increased targets for companies like Advanced Micro Devices, Arm Holdings, and Broadcom. Rakesh expects Nvidia to perform well in the second half of 2025 due to its Blackwell processor. Nvidia stock is listed on four IBD stock lists. Other analysts are also recommending chip stocks like Monolithic Power Systems and Micron.
Nvidia and AI Data Center Stocks See Price Target Hikes
A Wall Street analyst raised price targets for AI data center stocks, including Nvidia. Mizuho Securities analyst Vijay Rakesh increased targets for companies like Advanced Micro Devices, Arm Holdings, and Broadcom. Rakesh expects Nvidia to perform well in the second half of 2025 due to its Blackwell processor. Nvidia stock is listed on four IBD stock lists. Other analysts are also recommending chip stocks like Monolithic Power Systems and Micron.
Surge AI Reaches $1 Billion in Revenue Without Venture Capital
Surge AI, a data labeling company, has reached over $1 billion in revenue without venture capital funding. CEO Edwin Chen, age 37, previously worked at Facebook, Google, and Twitter. Surge AI focuses on complex data labeling for AI models. The company uses an algorithm to match data labelers with the right projects. Surge AI helps companies like Google, OpenAI, and Meta improve their AI tools.
Five Growing AI Stocks Beyond Nvidia to Watch Now
Nvidia is well-known, but other AI stocks are also growing. CoreWeave's stock has increased 308% since March, partnering with Nvidia and OpenAI. Palantir Technologies helps clients with data analysis, with its stock price rising 81.3%. Snowflake integrates AI into its services, partnering with OpenAI and Anthropic. Meta Platforms uses AI to improve digital ads. These companies are benefiting from the rise of generative AI.
Is Alphabet a Good AI Stock to Buy Now?
Alphabet, Google's parent company, is a key player in AI development. It created the transformer architecture and the AlphaFold program. Google Cloud is Alphabet's fastest-growing part, with revenue up 28%. Some worry AI tools could hurt Google Search, but there's no sign of that yet. Alphabet stock seems undervalued compared to other big tech companies. It has strong AI capabilities and a growing cloud business.
Zuckerberg's AI Hiring Questioned by Former OpenAI Board Member
Helen Toner, a former OpenAI board member, questions Meta's expensive AI hiring. She says high salaries don't guarantee success, especially with Meta's past team issues. Toner notes China's DeepSeek is now a strong competitor to Meta. She wonders if Zuckerberg can change Meta's work environment fast enough to keep top engineers. Toner also highlights the global AI race between the US and China.
AI Could Boost Real Estate Sector Profits
AI adoption is growing, especially in financial services and healthcare. AI could also greatly benefit the real estate sector. AI solutions like virtual assistants can handle showings and maintenance requests. This could save the real estate industry $34 billion by 2030. AI can also help reduce infrastructure costs and identify risks for real estate firms.
Top 3 Canadian AI Stocks to Buy on the Dip
When the market drops, it can be a good time to buy AI stocks. Three Canadian AI stocks are worth watching after recent pullbacks. OpenText is a large software company expanding its AI with automation and cybersecurity. Coveo Solutions builds AI-powered search and personalization tools. BlackBerry focuses on cybersecurity and AI for threat detection. These stocks offer different opportunities for investors.
BigBear AI Stock Jumps After Military Exercise Participation
BigBear AI's stock rose 13.7% after it joined a large international military exercise. The exercise tests advanced technologies for future defense. BigBear AI's Virtual Anticipation Network (VANE) platform helped forces understand situations and find threats. The company is proud VANE is useful in real-world tests. Feedback from the exercise will help improve the platform.
Sources
- Hong Kong Banks Boost Profits with AI and Strategic Trade Moves
- Mary D’Onofrio Joins Crosslink Capital to Spearhead AI Investments
- Nvidia, AI Data Center Stocks Get Price-Target Hikes
- Nvidia, AI Data Center Stocks Get Price-Target Hikes
- Bootstrapped to $1 Billion: Surge AI CEO Edwin Chen on How He Did It
- Beyond Nvidia: 5 Lesser-Known AI Stocks Poised For Growth To Buy Now
- This Stock Is Shaping the Future of Artificial Intelligence (AI), but Is It a Buy Right Now?
- Former OpenAI Board Member Questions Zuckerberg AI Hiring Spree
- AI Could Have Tangible Benefits for This Income-Heavy Sector
- Buy the Dip: The 3 Best AI Stocks in Canada Right Now
- BigBear AI (BBAI) Takes Part in Huge International Military Exercise, Soars 13.7%