April 28, 2025

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NVIDIA, Palantir, Amazon, Meta, xAI Holdings, Taiwan Semiconductor, SoundHound AI, The Trade Desk

The AI industry continues to experience significant growth, with various companies positioning themselves to benefit from the trend. Taiwan Semiconductor Manufacturing, the world's biggest contract semiconductor, has seen its stock drop 27% from its peak earlier this year, presenting a potential buying opportunity. Meanwhile, tech giants like Amazon and Meta Platforms are leveraging AI to drive growth, with Amazon's revenue growing 11% to $638 billion last year and Meta's revenue and earnings increasing by 21% and 60%, respectively. Other companies, such as SoundHound AI and The Trade Desk, are also showing promise in the AI space. Additionally, Elon Musk's xAI Holdings is seeking $20 billion in new funding, which could further accelerate the development of AI technologies. As the industry continues to evolve, companies like NVIDIA, Palantir, and others are making significant strides in AI-driven solutions, from data centers to public sector applications.

Key Takeaways

  • Taiwan Semiconductor Manufacturing's stock has dropped 27% from its peak, presenting a potential buying opportunity.
  • Amazon and Meta Platforms are leveraging AI to drive growth, with significant increases in revenue and earnings.
  • SoundHound AI and The Trade Desk are under-the-radar AI stocks with market-beating potential.
  • xAI Holdings is seeking $20 billion in new funding to further accelerate AI development.
  • NVIDIA's price target has been cut to $125 due to uncertainty surrounding AI-related capital expenditures.
  • Palantir Technologies' deal with NATO could revolutionize the use of AI in the public sector.
  • Taiwan Semiconductor Manufacturing is building new plants around the world to diversify its manufacturing base.
  • Amazon is using AI to optimize inventory placement and delivery routes, while Meta is using AI to place ads in front of users.
  • The Trade Desk is expected to see strong growth, with revenue expected to grow 17% in 2025 and 20% in 2026.
  • Palantir's partnership with NATO could help the company grow beyond the US and expand its presence overseas.

Taiwan Semiconductor Stock Down 27%

Taiwan Semiconductor Manufacturing is trading down 27% from its peak earlier this year, presenting a buying opportunity for investors. The company is the world's biggest contract semiconductor and has delivered impressive growth through the AI era. Its revenue jumped 41.6% to $25.5 billion in the first quarter, with operating income at $12.4 billion. TSMC is building several new plants around the world, including in the US, to diversify its manufacturing base. The company's growth strategy is based on the explosion in AI demand and its own impressive revenue growth.

Taiwan Semiconductor Stock Down 27%

Taiwan Semiconductor Manufacturing is trading down 27% from its peak earlier this year, presenting a buying opportunity for investors. The company is the world's biggest contract semiconductor and has delivered impressive growth through the AI era. Its revenue jumped 41.6% to $25.5 billion in the first quarter, with operating income at $12.4 billion. TSMC is building several new plants around the world, including in the US, to diversify its manufacturing base. The company's growth strategy is based on the explosion in AI demand and its own impressive revenue growth.

Top AI Stocks to Buy

Amazon and Meta Platforms are two leading tech companies that are well-positioned to benefit from AI. Amazon's revenue grew 11% to $638 billion last year, driven by double-digit growth in non-retail services. Meta Platforms' revenue and earnings were up 21% and 60%, respectively, last year. Both companies are using AI to reduce costs and grow profits, with Amazon using AI to optimize inventory placement and delivery routes, and Meta using AI to place ads in front of users. Analysts expect Amazon's earnings to grow at an average annual rate of 20% in the coming years.

Top AI Stocks to Buy

Amazon and Meta Platforms are two leading tech companies that are well-positioned to benefit from AI. Amazon's revenue grew 11% to $638 billion last year, driven by double-digit growth in non-retail services. Meta Platforms' revenue and earnings were up 21% and 60%, respectively, last year. Both companies are using AI to reduce costs and grow profits, with Amazon using AI to optimize inventory placement and delivery routes, and Meta using AI to place ads in front of users. Analysts expect Amazon's earnings to grow at an average annual rate of 20% in the coming years.

Under-the-Radar AI Stocks

SoundHound AI and The Trade Desk are two under-the-radar AI stocks with market-beating potential. SoundHound AI is focused on using audio inputs for AI models and has seen impressive growth, with revenue up 101% in Q4. The Trade Desk is a digital advertising company that assists buy-side parties in placing ads in the most opportune spots. Wall Street analysts expect strong growth from The Trade Desk, with revenue expected to grow 17% in 2025 and 20% in 2026. Both stocks are well off their all-time highs, presenting a buying opportunity for investors.

xAI Holdings Seeks $20 Billion Funding

Elon Musk's xAI Holdings is seeking $20 billion in new funding, which could push the combined value of its AI and social media platform to $120 billion. The funding would bring relief to X, which is struggling under a huge debt load. xAI's task with respect to AI could bring new avenues, including tailored content and advanced automation tools. The increasing attention to investment in AI coincides with the market at large, as AI advances and spreads to industrial sectors such as healthcare, finance, and transportation.

NVIDIA Price Target Cut to $125

NVIDIA Corporation's price target has been cut to $125 due to rising uncertainty surrounding AI-related capital expenditures. The company specializes in AI-driven solutions, offering platforms for data centers, self-driving cars, and cloud services. While the IMF reports that economic gains from AI are likely to outweigh the costs of rising carbon emissions, NVIDIA's valuation is at a meaningful discount versus historical averages. The company's potential as an investment is acknowledged, but some AI stocks may hold greater promise for delivering higher returns.

Palantir's NATO Deal to Revolutionize AI

Palantir Technologies' new deal with NATO could revolutionize how artificial intelligence is used in the public sector. The company's AI software applications are used by large enterprises, and its partnership with NATO could represent a strategic channel for international lead generation. Palantir's revenue is split into government and commercial categories, with 55% of its total revenue coming from the government in 2024. The company's presence overseas is still in early stages, but its deal with NATO could help it grow beyond the US.

Sources

AI Semiconductor Stocks Investment Technology NVIDIA Palantir