Analysts suggest better AI stock options than Nvidia

Artificial intelligence (AI) stocks have faced challenges recently, with notable sell-offs affecting major companies. Nvidia, a leader in AI technology, saw its shares decline over 20% due to disappointing financial results and concerns about trade policies. While some might consider Nvidia stock a bargain, there are other AI-related stocks that also deserve attention. Micron Technology is one of these compelling options. It produces high-bandwidth memory (HBM), a crucial component for AI chips like those from Nvidia. As AI models become more complex, the demand for advanced memory increases. Although competitive pressures exist, Micron's innovative edge and current valuation make it an attractive buy. Analysts anticipate significant earnings growth for Micron in the coming years. Another stock worth considering is Oracle. The company has transitioned successfully to the cloud computing sector, providing essential database software for AI and big data. Recently, Oracle reported a 92% increase in revenue from its cloud services. Its strong customer retention and the growing need for AI infrastructure make it well-positioned for future growth, despite current valuations. Meta Platforms is also a key player. It is heavily investing in AI infrastructure, with plans to spend up to $65 billion this year. AI powers many of its services, from personalized feeds on social media to ad placements that improve monetization. Although Meta's stock has been affected by market conditions, the long-term potential of its AI initiatives appears promising, which may not be reflected in its current stock price. In summary, while Nvidia is a popular choice, investors may want to explore Micron, Oracle, and Meta for potential gains in the AI sector. Each company offers unique advantages that could lead to solid returns in the future.