Market Recovery Highlights: A few major artificial intelligence (AI) stocks remain below their all-time highs despite market recovery from April lows. Key companies mentioned include Amazon (NASDAQ: AMZN), Taiwan Semiconductor Manufacturing (NYSE: TSM), and Alphabet (NASDAQ: GOOG, GOOGL), all currently trading at least 10% below their peak valuations.
Key Data: Amazon is approximately 14% off its all-time high, with its cloud division (AWS) experiencing a 17% year-over-year revenue growth in Q1. Taiwan Semiconductor projects a 45% compound annual growth rate (CAGR) in AI-related revenue over the next five years, trading at 21.1 times forward earnings. Alphabet trades at 18 times forward earnings, reporting a 12% revenue growth and 49% growth in diluted earnings per share in Q1.
