Largest AI companies by market capitalization (2024)

FAQs

What is the largest AI company by market cap? ›

1. Microsoft (NASDAQ:MSFT) In addition to the reported billions Microsoft is committed to investing in OpenAI, the technology behemoth has built its own AI solutions based on the chatbot creator's technology: Bing AI and Copilot. OpenAI officially licensed its technologies to Microsoft in 2020.

Nvidia Corp.

High-end chipmaker Nvidia provides the massive processing power needed to run advanced AI applications. Nvidia was the best-performing stock in the entire S&P 500 in 2023, and it's largely due to the company's AI exposure.

Largest AI companies by market cap as of February 2024:

Microsoft. Alphabet. NVIDIA. Meta Platforms (Facebook)

“The U.S. drafted the resolution on international cooperation on AI ethics, adopted by the General Assembly, and remains a leader in R&D in the area, whereas China has taken the lead in investment into AI and sees it as a top business, technological development, and national security priority,” Tsukerman added.

Microsoft

Having been one of the figureheads of the digital revolution, Microsoft's goal is to empower every person and business to achieve more with the power of technology. It believes that technologies like AI can be used as a force for good, with meaningful innovation leading to a brighter future.

Buffett owns two AI stocks in his Berkshire Hathaway portfolio. He has positions in six other AI leaders thanks to Berkshire subsidiary New England Asset Management.

Nvidia Corporation (NVDA)

NVDA is the best-performing AI stock over the past year. Earnings per share, or EPS, had a big leap higher in 2023, and analysts project strong EPS growth going forward. It has the highest forecasted 5-year EPS growth on the list.

Which AI stock should I buy? ›

Arista Networks ANET, Amazon AMZN, Advanced Micro Devices AMD and NVIDIA NVDA are a few stocks that investors may find wise to buy ahead of the first-quarter earnings thanks to their growing AI prowess. While ANET sports a Zacks Rank #1 (Strong Buy), AMZN, AMD, and NVDA carry a Zacks Rank #2 (Buy) each, at present.

When Elon Musk created his artificial-intelligence startup xAI last year, he said its researchers would work on existential problems like understanding the nature of the universe. Musk is also using xAI to pursue a more worldly goal: joining forces with his social-media company X.

AI Stocks: Cloud Computing Giants

They include ServiceNow (NOW), Adobe (ADBE) and Workday (WDAY). Cloud computing giants Amazon.com (AMZN), Microsoft and Google sell AI services to business customers. So far, the biggest demand for AI chips has come from cloud computing giants and internet companies.

Many successful private companies decide to conduct an initial public offering (IPO) to raise additional capital to fuel their growth. However, going public doesn't appear to be on the horizon for OpenAI. In June 2023, OpenAI CEO and co-founder Sam Altman said that his company has no plans to conduct an IPO.

Three of the most expensive AI stocks to own right now are Nvidia (NASDAQ: NVDA), SoundHound AI (NASDAQ: SOUN), and MicroStrategy Incorporated (NASDAQ: MSTR). Are these shares worth their inflated valuations, or is it time to step away from these high-priced stocks?