Investing in AI: Use Zacks Thematic Screens to Find Top AI Stocks Like NVIDIA

Zacks Thematic Screens allows you to explore 30 dynamic investment themes shaping the future. Whether you're interested in cutting-edge technology, renewable energy, or healthcare innovations, our themes help you invest in ideas that matter to you.

For those interested in viewing the Thematic lists, please click here: Thematic Screens – Zacks Investment Research.

Let’s take a closer look at the Artificial Intelligence theme and analyze a stock that the screen returned, such as beloved NVIDIA (NVDA).

Artificial Intelligence

Artificial Intelligence (AI) refers to the technology that enables computers and machines to simulate human intelligence and problem-solving capabilities to perform the cognitive functions usually associated with human minds. In general, AI systems work by ingesting large amounts of data with fast, iterative processing and intelligent algorithms. It then analyzes the data using neural networks for correlations and patterns and allows the software to learn automatically from these patterns to make predictions.

Please click here for a direct link to the Zacks Artificial Intelligence Thematic Screen.

NVIDIA

NVIDIA’s recent success story has been fueled by unrelenting demand for its Data Center products. The tech titan continued to perform well throughout its latest release concerning its Data Center, with sales of $39.1 billion, up 73% from the $22.5 billion print in the same period last year.

As shown below, NVDA’s Data Center results have regularly surpassed our consensus Data Center expectations over recent periods.

Image Source: Zacks Investment Research

CEO Jensen Huang provided a bullish statement in the latest release, stating:

"Global demand for NVIDIA’s AI infrastructure is incredibly strong. AI inference token generation has surged tenfold in just one year, and as AI agents become mainstream, the demand for AI computing will accelerate. Countries around the world are recognizing AI as essential infrastructure — just like electricity and the internet — and NVIDIA stands at the center of this profound transformation."

The stock still reflects one of the strongest AI plays out there, with shares not overly expensive. Shares currently trade at a 30.1X forward 12-month earnings multiple, a fraction of the 106.3X five-year highs and well beneath the 50.0X five-year median.

The current PEG ratio works out to a fair 1.1X, again well beneath five-year highs and the five-year median.

Image Source: Zacks Investment Research

Bottom Line

Zacks Thematic Screens lets you dive into 30 dynamic investment themes shaping the future. Whether you're interested in cutting-edge technology, renewable energy, or healthcare innovations, our themes help you invest in ideas that matter to you. Upon running the Zacks Artificial Intelligence Thematic screen, NVIDIA (NVDA) was returned.

Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report: NVIDIA Corporation (NVDA) : Free Stock Analysis Report.

This article originally published on Zacks Investment Research.