Artificial intelligence (AI) and its subsectors like machine learning are set to transform the way we do business. Some companies are already leveraging these advanced technologies to carry out complex tasks instantaneously, removing the need for countless hours of human input.
But that’s just the beginning. AI offers predictive capabilities unlike any tools we’ve seen in the past, helping organizations anticipate critical failures in their equipment, software, and overall processes.
The AI industry had an estimated addressable market of $93 billion in 2021, but that’s expected to soar tenfold to $997 billion annually by 2028. These five stocks can help you ride that explosive AI industry growth and turn it into stock price growth.
C3.ai ( AI 7.50% ) is a first-of-its-kind enterprise AI company. It sells both ready-made and custom AI applications to companies that want to access the benefits of the technology, but may not have the expertise to build it from scratch. It currently serves 14 different industries including oil and gas, financial services, manufacturing, and healthcare.
Companies in the oil and gas industry, for example, use C3.ai’s applications to predict costly equipment failures, preventing catastrophic production shutdowns. Additionally, they use it to improve efficiency and reduce carbon emissions. Oil giant Shell currently monitors over 10,000 devices and 23 large-scale assets using C3.ai, making 1.3 trillion predictions per month.
The company just signed a blockbuster deal with the U.S. Department of Defense worth $500 million over five years, and also has expansive collaborative agreements with tech giants like Microsoft and Alphabet‘s ( GOOG 0.92% )( GOOGL 0.74% ) Google to build advanced artificial intelligence applications.
C3.ai currently trades at a market valuation of just $2.2 billion, with over $1 billion in cash and short-term investments on its balance sheet,