One way to make money as an investor, and possibly become a millionaire or multimillionaire in the process, is to pay attention to growing trends and expanding technologies — and to invest in the companies that seem likely to dominate in those areas. Keep in mind, though, that this strategy won’t always work out as you might hope, and that it can be safer and also powerful to just stick to low-fee, broad-market index funds. They can make you a millionaire, too.

Artificial intelligence (AI) is growing more prevalent quickly these days, and many investors reasonably wonder where they might invest in order to capitalize on AI. Here are 10 stocks to consider. Each is playing a significant role in the world of AI.

10 artificial intelligence stocks that could make you a millionaire

1. Nvidia

Most investors have heard of semiconductor giant Nvidia (NASDAQ: NVDA) by now and either own it or wish they did. Originally known for gaming chips, now it’s not only a leader in graphics processing units (GPUs) for games but also in chips for data centers. That bodes well for Nvidia’s future, as data centers are booming, with much of our AI activity running through them. Nvidia recently carried a market value topping $2.5 trillion — and that’s after a 24% drop from its 52-week high!

2. Meta Platforms

Meta Platforms (NASDAQ: META), parent of Facebook and Instagram, among other platforms, is another player in the AI arena, spending billions on AI research and incorporating AI into many of its offerings. The company has also raised eyebrows by making its Llama AI model open-source.

3. Dell Technologies

You may not think of hardware specialist Dell Technologies (NYSE: DELL) as an AI company, but remember that the proliferation of AI has meant the proliferation of servers and storage systems — which Dell supplies. The company has reported robust growth in its AI-related sales.

4. Palantir Technologies

Palantir Technologies (NYSE: PLTR) is being added to the S&P 500, and for good reason, as it has grown into a specialist in AI software with a recent market value topping $67 billion. It began with a focus on serving governmental customers but has been expanding into the commercial realm.

5. Broadcom

Broadcom (NASDAQ: AVGO) is a semiconductor specialist offering wireless, optical, and AI processing chips, among other things. Its AI business is doing quite well, as revenue from AI-focused optical and networking chips jumped 280% in the second quarter, hitting $3.1 billion. Some expect it to profit handsomely from custom AI chips, as well.

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6. Micron Technology

Just as the boom in AI requires lots of servers and data centers, it also requires a lot of memory, which is where memory specialist Micron Technology (NASDAQ: MU) comes in. Micron is a cyclical stock, so expect it to go up and down along with the economy.

7. Microsoft

Microsoft is involved in all kinds of technologies, from its widely used Office productivity software to its Azure cloud computing platform to the Xbox gaming platform and the Windows operating system, among others. Microsoft has also invested billions in ChatGPT creator OpenAI and it has been incorporating AI into many of its offerings.

8. Qualcomm

Qualcomm is a chipmaker that supplies many chips inside smartphones — not to mention cars and even household appliances. It’s been developing AI-focused chips recently and it’s poised to benefit as more AI computing starts being done within devices instead of in the cloud.

9. Alphabet

Alphabet dominates the search world with its Google engine, and it has been incorporating AI into Google successfully — without having to outsource its AI technology. Better still, unlike many of the other companies in this list, Alphabet’s stock seems attractively valued at recent levels, with its recent forward-looking price-to-earnings (P/E) ratio of 17.4 well below its five-year average of 23.6.

10. Advanced Micro Devices

Advanced Micro Devices is an AI chip maker, and it’s getting into the server business, as well, with a recent $4.9 billion acquisition of ZT Systems.

These are just 10 of many solid AI-related and AI-focused companies out there.

Artificial intelligence stocks in perspective

You might be wondering why I listed 10 stocks instead of the best one or two. Well, it’s because I don’t know which AI-involved stocks will end up dominant in the future. It’s easy to guess, and the companies above certainly stand to prosper from AI, but no one really knows how things will play out. Also, these stocks are often not cheap, including many of the ones above.

Given that, you might consider favoring a fund of AI stocks. Or just a fund focused on technology stocks, as that would invariably have a lot of exposure to AI. That’s a good way to avoid missing out on most of tomorrow’s big winners. Some possibilities with terrific track records:

Data source: Morningstar.com, as of Sept. 6, 2024.

If you know a lot about AI, you might do well investing in the stocks you think will be the best long-term performers. If not, consider buying a basket of AI companies, either individually or via a fund. You can ride the AI boom to millionaire status choosing any of these routes.

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Suzanne Frey, an executive at Alphabet, is a member of The Motley Fool’s board of directors. Randi Zuckerberg, a former director of market development and spokeswoman for Facebook and sister to Meta Platforms CEO Mark Zuckerberg, is a member of The Motley Fool’s board of directors. Selena Maranjian has positions in Advanced Micro Devices, Alphabet, Broadcom, Meta Platforms, Micron Technology, Microsoft, Nvidia, Qualcomm, and iShares Trust – iShares Semiconductor ETF. The Motley Fool has positions in and recommends Advanced Micro Devices, Alphabet, Meta Platforms, Microsoft, Nvidia, Palantir Technologies, Qualcomm, and iShares Trust – iShares Semiconductor ETF. The Motley Fool recommends Broadcom and recommends the following options: long January 2026 $395 calls on Microsoft and short January 2026 $405 calls on Microsoft. The Motley Fool has a disclosure policy.

10 Artificial Intelligence Stocks That Could Make You a Millionaire was originally published by The Motley Fool