Experts Agree: AI Stocks Are Not in a Bubble and Are on the Rise

Artificial Intelligence (AI) stocks are on a tear this year, with companies such as chipmaker Nvidia’s stock seeing an increase of over 200%, and AI software provider C3 AI’s stock up by over 250%. Other companies investing in AI have also seen their stock prices surge, including Microsoft and Google parent Alphabet. While some analysts have categorized the rise in AI stocks as a baby bubble due to overvalued assets, many market watchers say that AI stocks likely aren’t in a bubble headed for a pop. Experts say that the companies investing in AI today have much stronger fundamentals than they did during previous instances of market bubbles. While AI is a game changer and will change industries, it is still in its early stages of development. Investors should expect some ups and downs, and may want to invest across a wide range of companies in the industry rather than just a handful. It is important to learn about the practical implications of the technology and how it might impact the economy before investing in AI.