Wedbush, a leading financial services firm, predicts that 2024 will be the year in which artificial intelligence (AI) solidifies its position as a dominant theme in investing. The firm’s veteran tech analyst, Dan Ives, believes that tech stocks could surge by up to 33% as a result, with the Nasdaq Composite index potentially reaching 20,000 points in a bullish scenario.
Ives asserts that the Street and the tech world are eagerly anticipating the Year of AI, which he believes will drive tech stocks to new heights. He argues that the market is underestimating the rapid pace at which the AI monetization cycle is unfolding. In his bullish outlook, Ives predicts a 25% increase in tech stocks in 2024, with the Nasdaq Composite potentially reaching the 20,000 mark.
The battle for AI dominance is expected to intensify between tech giants Microsoft and Google’s parent company, Alphabet. Both companies have already launched AI-powered chatbots, and they are likely to invest further in AI technologies. Other major players such as Apple, Amazon, Nvidia, and Meta Platforms are also set to channel billions of dollars into this field.
Ives’ optimistic view follows a year in which the Nasdaq Composite defied market predictions by soaring 43%. The explosion of interest in ChatGPT, an AI technology, played a significant role in this surge. Chipmaker Nvidia, in particular, experienced tremendous success and became a trillion-dollar company. The Magnificent Seven group, consisting of leading tech companies, also achieved dominant returns.
Ives is not the only analyst predicting a big year for AI in 2024. Kathleen Brooks, founder of Minerva Analysis, believes that AI will continue to be a dominant theme, with Nvidia and Microsoft already leading the charge. These tech giants have substantial resources and a strong financial position to support their AI endeavors.
In conclusion, the Wedbush report suggests that 2024 will be a pivotal year for AI, solidifying its position as a dominant investing theme. Tech stocks are expected to surge as a result, with the Nasdaq Composite potentially reaching new heights. The battle for AI supremacy between major tech players will likely intensify, with significant investments being made in this field. As we enter the Year of AI, the potential for technological advancement and market growth seems promising.
References:
– Business Insider
