Piper Sandler calls generative A.I. the next $100 billion tech revolution, names stocks to play it

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Generative artificial intelligence may only be in the early stages of its full potential, but these stocks should benefit long term, Piper Sandler says

Generative artificial intelligence may only be in the early stages of its full potential, but Piper Sandler expects these stocks to benefit from this trend slated to upend the technology industry long term. "We see Generative AI as the next major revolution in technology that could have far reaching implications across both consumer and enterprise sectors," wrote analyst Brent Bracelin in a Friday note to clients, calling generative AI the "next $100B+ technology revolution.

mountain Alphabet shares so far this week According to Piper Sandler, Google and Bing combined have seen 13% higher search traffic volumes so far this year, with Bing's daily mobile downloads rising to more than 100,000 versus 13,000 a year ago. That still trails Google Search, the firm noted. Nvidia 's taken center stage in the AI battle in recent months given its near monopoly and long bet on making the graphics processing units now needed to fuel these growing models.

mountain Duolingo shares so far this year "We are bullish on its abilities to harness recent industry wide advancement in generative AI to enhance in its content creation: both improving existing content, and introducing advanced-level content," Ramnani wrote. Despite the run up in shares, Piper Sandler expects nearly 7% downside for the stock from Thursday's close.

 

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