AI-Powered Investing: 3 Stocks Poised for Astronomical Returns in 2024

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As 2023 comes to a close, investors are probably wondering what kinds of equities might do well next year. Artificial Intelligence (AI) has received an incredible amount of attention due to the release of OpenAI’s advanced chatbot, ChatGPT. These chatbots are not only useful for productivity, but they can also give opinions on the market. Whether or not these chatbots are correct is a completely other story, but for this article I decided to ask Microsoft Bing’s Copilot, Sydney, for its top 3 stock picks for 2024.

All in all, the results from Sydney were insightful but not extraordinary. Let’s take a look at these AI-generated stock predictions.

Microsoft (MSFT)

Microsoft (NASDAQ:MSFT) was Sydney’s first entry. One of the world’s largest software companies and a leader in cloud computing, artificial intelligence, gaming, and productivity tools, making a buy-list probably shouldn’t come as a surprise to anyone. Particularly since the Copilot chatbot is part of the company’s empire.

That said, the software company has delivered some impressive results this year as well. Most recently, Microsoft released its third quarter results and beat Wall Street’s revenue as well as EPS estimates. Moreover, revenue generated from the Azure cloud services platform jumped to 27% year-over-year growth after suffering declining growth for two years. Another bright spot for Microsoft going into 2024 will be OpenAI. The start-up firm received $13 billion from Microsoft and its AI, ChatGPT, will be integrated in a variety of Microsoft products going forward.

Tesla (TSLA)

Tesla (NASDAQ:TSLA) was Syndey’s second candidate for astronomic growth in 2024. You may know this company as the world’s most valuable automaker and a pioneer in electric vehicles, battery technology, and autonomous driving.

Tesla has been defying skeptics and breaking records in 2023. In particular, Tesla’s quarterly earnings have come in above analysts’ estimates, and the price-cut strategy the automaker began to pursue in the beginning year has increased quarterly deliveries while also placing pressure on gross margins. All of that to say, demand for Tesla’s vehicles remains steady and can improve over time.

While there are fears that EV demand is waning amongst consumers, for the long-run, Tesla will continue to be a key player in the space. Therefore, any investor looking to allocate to the vibrant EV sector should probably have Tesla in their portfolio.

Shopify (SHOP)

Shopify (NYSE:SHOP) is the final stock Copilot’s Sydney recommended for this list. The e-commerce platform enables merchants to create their own online stores, manage their inventory, accept payments, fulfill orders, and access various tools and apps to grow their businesses.

During the pandemic and post-pandemic eras, Shopify has been thriving with strong double-digit revenue growth, particularly in both 2020 and 2021. While growth rates have stabilized, the trend is clear: more people have shifted to online shopping and selling, and this will provide ample growth opportunities for SHOP in the future.

In 2023, Shopify has continued to deliver strong financial performance. Most recently, in their third quarter results, the company beat both revenue and earnings estimates. On top of that, management gave encouraging guidance for the remainder of 2023. These events coupled with the strong secular tailwinds guiding Shopify’s growth trajectory should keep investors interested in what’s to come in 2024.

On the date of publication, Tyrik Torres did not have (either directly or indirectly) any positions in the securities mentioned in this article. The opinions expressed in this article are those of the writer, subject to the Publishing Guidelines.

Tyrik Torres has been studying and participating in financial markets since he was in college, and he has particular passion for 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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