Three AI Stocks That Are Trading at a Discount in April
The AI market is rapidly evolving, becoming an integral part of the digital era’s infrastructure. With advancements in hardware, software solutions, and cloud-based integration, AI technology now spans various fields such as computer vision, natural language processing, machine learning, and generative AI.
As the AI market continues to expand and infiltrate different sectors like manufacturing, healthcare, finance, and media, research suggests that it could reach a staggering $1.3 trillion market size by 2032, growing at an impressive CAGR of 43%.
Despite the considerable growth potential, the AI market can experience fluctuations due to various factors. For instance, recent events like the earthquake in Taiwan, a prominent semiconductor manufacturing hub, can influence market sentiment and impact AI-related stocks.
Here are three AI stocks that are currently undervalued but show promising potential:
SoundHound AI Inc (NASDAQ:SOUN)
– While SOUN stock has decreased by 17% over the month, it has seen a significant 152% increase over the past three months.
– SoundHound aims to provide a robust voice AI developer platform for content creators, enhancing voice generation and recognition capabilities.
– The company has secured partnerships with leading automotive brands like Honda, Hyundai, and Mercedes-Benz to power interactive features through voice-controlled navigation.
– Despite reporting negative earnings per share, SoundHound’s strong revenue growth and improved net loss position it well for future growth opportunities.
– Analysts project an average price target of $7.15 for SOUN, indicating a potential upside for investors.
Symbotic Inc (NASDAQ:SYM)
– SYM stock has dropped nearly 10% year-to-date but has a 52-week average price of $40.65, with the current price at $44.78 per share.
– Based in Massachusetts, Symbotic offers AI-powered warehouse logistics and distribution solutions to major retail chains like Target, Walmart, and Albertsons.
– The company’s partnership with GreenBox joint venture, in collaboration with Softbank, aims to automate supply chain services through warehouse-as-a-service (WaaS) solutions.
– Symbotic reported improved financial performance in Q1 FY24, with a reduction in net loss and an increase in gross profit margin.
– Analysts forecast an average price target of $53.44 for SYM, with a potential upside for investors.
Beamr Imaging Ltd (NASDAQ:BMR)
– BMR stock has surged by 233% year-to-date but experienced a 17% decrease recently. The current price stands at $5.97 per share compared to the lowest 52-week price of $0.91.
– Beamr specializes in AI-trained computer vision for video compression, collaborating with Nvidia to offer video processing, encoding, and optimization solutions.
– The company aims to cater to online video editors, podcasters, and large corporations like Walmart and Netflix by leveraging advanced video compression technology.
– Beamr’s strategic focus on Beamr Cloud expansion and financial improvement indicate a promising growth trajectory for the future.
– Analysts project a price target range of $44 to $62 per share for BMR, offering significant potential returns for investors.
As the AI market continues to evolve, these undervalued AI stocks present compelling investment opportunities for those looking to capitalize on the growth potential of disruptive technologies. Considering the forecasted market expansion and the innovative solutions these companies offer, investing in these AI stocks could yield substantial returns in the long run.
