Be warned! 3 machine learning stocks you'll regret forever if you don't buy them now.

Machine Learning


Machine learning (ML) Algorithms are the key foundation of modern artificial intelligence technology.

Advanced pattern recognition and inference techniques enable speech recognition, recommendation systems, autonomous vehicles, and more. Large-scale language models (Master of LawsMachine learning efforts like OpenAI's ChatGPT are an example of this. They demonstrate that machine learning can be used to generate human-like text, code, images, and videos. Machine learning is a form of generative artificial intelligence (AI).artificial intelligence) has increased investor interest in public companies, which have made great strides in technological advancements.

So let's take a look at three machine learning stocks investors should buy now before they regret it.

Microsoft (MSFT)

ChatGPT logo on smartphone, Microsoft (MSFT) logo on laptop. Microsoft Copilot

Image source: Ascannio / Shutterstock.com

Software giant Microsoft (Nasdaq:MSFT) is key to the development of machine learning technology. In the race to develop cutting-edge AI products, Microsoft invested $1 billion in OpenAI in 2019.

Over a series of funding rounds, investment in the software company swelled from $1 billion to more than $13 billion. In early 2024, OpenAI attracted more equity investors in a highly publicized equity funding round. Ultimately, ChatGPT's developers were valued at $89 billion.

Beyond ChatGPT, Microsoft is developing its own generative AI models that leverage ML as an operational linchpin. Microsoft's Copilot is more than just a chatbot built into the browser. The software giant aims to give LLMs access to all other aspects of the Microsoft ecosystem, which includes Microsoft 365 and Azure, to unlock powerful efficiencies across businesses.

Shares of Microsoft, currently the world's most valuable company, have risen by more than 20% since January. What's more, the company's cloud division's strong performance is being driven by demand for AI processing power. That could give MSFT stock even more upside.

Alphabet (GOOG, GOOGL)

Alphabet (GOOGL) - Quantum Computing Stocks to BuyAlphabet (GOOGL) - Quantum Computing Stocks to Buy

Google's parent company alphabet (Nasdaq:GoogleNasdaq:Google) is also a major investor in ML technologies. Since its inception, Google has marketed itself as an AI business. A real-world use case for machine learning emerged in Google Search. The company leveraged these algorithms to “provide better spelling suggestions to users searching the web,” according to its FY23 SEC 10K filing. In 2017-2017, Google CEO Sundar Pichai announced a strategic shift for the company, moving from “mobile first” to “AI first.” This meant adopting ML algorithms in all of the company's major products.

Recently, Google's large-scale language model Gemini has been gaining attention. Like Microsoft's Copilot, Gemini is integrated into all sorts of Google products. Google Cloud is another business that is leveraging the power of cloud computing to help companies write and implement ML algorithms and LLMs.

GOOG is up 31.8% year to date (YTDHowever, the company's market capitalization is the lowest among major technology companies, making it an attractive investment opportunity for potential long-term investors.

Meta Platform (META)

The photo illustration shows the Meta logo on a smartphone with the Facebook logo in the background.

Source: rafapress / Shutterstock.com

Meta Platform (Nasdaq:Meta(officially known as “Facebook”) is a major player in the internet industry. It builds and manages large social media platforms, including Facebook, Instagram, and WhatsApp.

The social media giant's use of machine learning and its efforts in developing AI technologies began more than a decade ago. META has also contributed to the development of various research centers and clusters to enhance scientific collaboration on the development of machine learning algorithms. The AI ​​Research Supercluster is a supercomputer developed by the technology company to pave the way for AI research on advanced LLMs.

In addition, Meta Platforms has developed a special LLM called Llama, which has already begun to be integrated into various social media platforms. Meta AI, which uses Llama, is expected to contribute to an increase in users in the future due to its usefulness and functionality.

And while META's stock price has a 2024 upside and is up 44.5% so far, like Alphabet, Meta Platforms doesn't boast a particularly high valuation: The social giant is valued at 25.0 times forward earnings.

As of the date of publication, Tyrik Torres did not hold (either directly or indirectly) any positions in the securities mentioned in this article. The opinions expressed in this article are those of the author and are subject to InvestorPlace.com's publication guidelines.

Tyrik Torres has been studying and participating in financial markets since his college days. He is particularly passionate about helping people understand complex systems. His areas of expertise are semiconductor and enterprise software equities. He has work experience in both investing (public and private markets) and investment banking.



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