AI stocks, particularly Nvidia and SoundHound AI, were significant market winners last year, despite recent fluctuations due to tariff announcements and economic concerns. Analysts predict that the AI market could reach trillions in the upcoming years, making early investments potentially lucrative.
Nvidia (NASDAQ: NVDA) shares soared 800% over two years, though performance weakened recently. The company reported a 69% revenue increase to $44 billion, driven by strong AI demand. SoundHound AI (NASDAQ: SOUN), which initially rose over 800% last year, has seen a 50% decline in recent months but reported a revenue surge of 151% to over $29 million.
Both companies are positioned well for growth, with Nvidia trading at 33x forward earnings estimates, down from 50x earlier this year, and SoundHound potentially addressing a $140 billion market as companies integrate AI technologies.
