The stock market has surged, influenced by excitement over artificial intelligence (AI), which according to McKinsey, could add $13 trillion to the global economy by 2030. While some stocks may seem overvalued, there are still promising AI stocks worth investment. Three Fool. com contributors recommend Taiwan Semiconductor Manufacturing (NYSE: TSM), Tesla (NASDAQ: TSLA), and Qualcomm (NASDAQ: QCOM) as worthy AI investments. **Taiwan Semiconductor (Justin Pope):** The world's largest semiconductor foundry, Taiwan Semiconductor, manufactures chips for major companies like Nvidia and AMD, holding an estimated 62% of the global market as of Q2 2024. AI chip demand is expected to grow significantly, positioning the company well for future growth. Despite geopolitical concerns with China, moves to reduce risk, such as investing $65 billion in new U. S. foundries, make it a strong investment. **Tesla (Jake Lerch):** While primarily known for electric vehicles, Tesla's investments in AI are noteworthy. Its vehicles are platforms equipped with sensors sending data to supercomputers for improving its Full Self-Driving system.
Successful development of autonomous driving could significantly increase Tesla's market cap. Tesla's AI initiatives, like its Optimus robot and robotaxis, present further growth opportunities. **Qualcomm (Will Healy):** Qualcomm leads in AI chip technology with its Snapdragon and Elite Mobile Platform chipsets. It has expanded into automotive, industrial, and PC segments, with its automotive sector seeing substantial growth. Despite challenges in its handset business and a legal dispute with Arm Holdings, Qualcomm's AI-driven diversification shows promise. It continues to grow revenue and maintain competitive stock pricing. Don't miss potential opportunities in the market. Historically, doubled investment in promising stocks like Amazon, Apple, and Netflix has yielded substantial returns. Currently, "Double Down" stock alerts are available for three promising companies. Investors should consider these AI-focused stocks for their potential to drive significant growth and returns, despite some market uncertainties.
Top AI Stocks to Watch: Taiwan Semiconductor, Tesla, and Qualcomm
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