Artificial intelligence (AI) is a sector that continues to hold significant potential, even as some of the initial hype may be dwindling. While many AI startups are struggling with operational costs and marketability, there are hidden gems with promising long-term prospects.
One such company is Evolv Technologies (NASDAQ:EVLV), which specializes in threat detection technology. Their AI-driven screening tech can identify concealed weapons and prevent harmful acts, processing security screening queues much faster than traditional methods. Although Evolv is still new and not yet profitable, last year saw a 120% growth in annual recurring revenue, showcasing its market potential.
Riot Platforms (NASDAQ:RIOT), known for its role in Bitcoin mining, also has untapped potential as an AI stock. With the increasing power demands of AI operations, Riot’s surplus energy sales and existing infrastructure position it well for future partnerships in the AI sector. Investors in Riot also benefit from exposure to the booming cryptocurrency market.
Lastly, Parsons (NYSE:PSN), a defense tech company, stands out among AI competitors like Palantir (NYSE:PLTR) with its focus on hardware-centric AI solutions. From missile site development to drone technology for infrastructure inspections, Parsons leverages AI to enhance its diverse range of products. This AI-driven approach sets Parsons apart in the defense tech industry and positions it as a key player in deploying AI solutions to challenging environments.
While these AI stocks may not be household names yet, their innovative technologies and strategic positioning make them intriguing investment opportunities for those willing to wait for long-term growth. As the AI sector continues to evolve, companies like Evolv, Riot Platforms, and Parsons could very well be the next big thing in the tech world.
