Artificial intelligence, automation and robotics are changing nearly every industry. In recent years, the world has gotten a firsthand look at remarkable advances in AI technology, including OpenAI’s ChatGPT chatbot, Google’s Gemini model and DeepSeek’s AI assistant.
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Whether it be machine learning, large language models, smart applications and appliances, digital assistants, synthetic media software or autonomous vehicles, companies that aren’t investing in AI products and services risk becoming obsolete. Countless companies stand to benefit from AI, but a handful of stocks have AI and automation as a central part of their businesses. Here are 10 of the best AI stocks to buy, according to Argus:
| Stock | Upside Potential From Sept. 2 Close |
| Microsoft Corp. (ticker: MSFT) | 22.7% |
| Nvidia Corp. (NVDA) | 28.8% |
| Alphabet Inc. (GOOG, GOOGL) | 4.1% |
| Amazon.com Inc. (AMZN) | 19.8% |
| Meta Platforms Inc. (META) | 15.6% |
| Taiwan Semiconductor Manufacturing Co. Ltd. (TSM) | 26.9% |
| ASML Holding NV (ASML) | 37.7% |
| Adobe Inc. (ADBE) | 44.6% |
| International Business Machines Corp. (IBM) | 40.7% |
| Arista Networks Inc. (ANET) | 28.7% |
Microsoft Corp. (MSFT)
Microsoft has invested nearly $14 billion in OpenAI and has integrated ChatGPT into its Bing search engine. Microsoft has also combined all its AI copilots into a single AI experience called Microsoft Copilot. In July, Microsoft pledged to make $4 billion in cash and technology donations to educational, philanthropic and labor organizations over the next four years to enhance AI education. Analyst Joseph Bonner says investments in AI technology have Microsoft positioned for long-term growth, and Microsoft is even diversifying its AI exposure by investing in outside startups. Argus has a “buy” rating and $620 price target for MSFT stock, which closed at $505.12 on Sept. 2.
Nvidia Corp. (NVDA)
High-end chipmaker Nvidia provides the massive processing power needed to run advanced AI applications. Nvidia has been one of the best-performing stocks in the entire market in recent years, and it’s largely due to the company’s AI exposure. In August, CEO Jensen Huang said the AI investment boom is far from over and projected $3 trillion to $4 trillion in AI infrastructure spending by 2030. Analyst Jim Kelleher says Nvidia’s 56% growth in data center revenue in the second quarter was driven by strong AI networking sales. Argus has a “buy” rating and $220 price target for NVDA stock, which closed at $170.74 on Sept. 2.
Google and YouTube parent company Alphabet uses AI and automation in virtually every facet of its business, from ad pricing to content promotion to Gmail spam filters. Google launched its Bard AI chatbot in March 2023 and its Gemini general AI model in December 2023. In August, Google announced it will be providing U.S. colleges and universities access to $1 billion worth of AI education and job training tools, including student access to Gemini 2.5 Pro. Bonner says Alphabet is constantly improving and expanding Gemini. Argus has a “buy” rating and $220 price target for GOOGL stock, which closed at $211.35 on Sept. 2.
Amazon.com Inc. (AMZN)
Amazon has integrated AI into every aspect of its business, including its targeted advertisements, its marketplace search and recommendation algorithms, and its Amazon Web Services cloud computing division. Amazon offers a wide range of AI and machine learning services to its AWS cloud customers, including advanced text analytics, automated code reviews and chatbots. In August, Amazon announced it will be making OpenAI’s latest AI models available to AWS cloud customers. Kelleher says Amazon’s leading position in the public cloud market makes it a key AI player. Argus has a “buy” rating and $270 price target for AMZN stock, which closed at $225.34 on Sept. 2.
Meta Platforms Inc. (META)
Meta Platforms is a market leader in social media and online advertising and is the parent company of Facebook, Instagram and other platforms. CEO Mark Zuckerberg has adopted a bold strategy of making Meta’s AI technology free and open to the public in an effort to gain market share and drive down competitors’ prices. In August, Meta reportedly implemented a hiring freeze in its AI division following a months-long spending spree that involved hiring more than 50 AI researchers and engineers. Bonner is bullish on Meta’s AI opportunities. Argus has a “buy” rating and $850 price target for META stock, which closed at $735.11 on Sept. 2.
[Read: 6 of the Best AI ETFs to Buy for 2025]
Taiwan Semiconductor Manufacturing Co. Ltd. (TSM)
Taiwan Semiconductor Manufacturing is the world’s largest pure-play semiconductor foundry. Taiwan Semi manufactures all the advanced AI semiconductors for Nvidia and other AI chipmakers. In July, the company announced its “10 Major AI Infrastructure Projects” initiative, which is aimed at investing in silicon photonics, quantum technology and AI robots, and could create a significant tailwind for Taiwan Semi in the next decade. Kelleher says AI demand is supporting Taiwan Semi’s growth, even amid significant tariff-related uncertainties. He says demand for the company’s 3- and 5-nanometer chips remains strong. Argus has a “buy” rating and $290 price target for TSM stock, which closed at $228.39 on Sept. 2.
ASML Holding NV (ASML)
ASML produces photolithography systems and other processing equipment used in semiconductor fabrication. ASML is the only major producer of the extreme ultraviolet (EUV) lithography equipment necessary to produce advanced AI chips. Taiwan Semiconductor and Samsung Electronics are two of ASML’s largest customers. In July, ASML chief financial officer Roger Dassen said any easing of U.S. restrictions on the sale of certain AI processors to China would be a major bullish catalyst for chip demand. Kelleher says generative AI application demand has supported leading-edge EUV equipment sales. Argus has a “buy” rating and $1,000 price target for ASML stock, which closed at $725.85 on Sept. 2.
Adobe Inc. (ADBE)
Adobe produces creative content software and other applications used for marketing and e-commerce. The company’s Firefly generative machine learning model is generating customer interest across Photoshop, Illustrator and other platforms. Adobe has also applied its Sensei AI and machine learning technology to its Adobe Analytics, Campaign and Target products. In June, Adobe launched its Firefly mobile app, its all-in-one platform for Adobe’s Firefly generative AI models, including features such as text-to-video, text-to-image and image-to-video tools. Bonner says Adobe is successfully integrating popular AI innovations throughout its product portfolio. Argus has a “buy” rating and $500 price target for ADBE stock, which closed at $345.63 on Sept. 2.
International Business Machines Corp. (IBM)
For years, IBM has been developing ways to adapt its AI supercomputer Watson to revolutionize health care, finance, law and academia. IBM’s portfolio of Watson AI solutions includes applications to improve customer service, automate workflow processes and predict outcomes. IBM’s Watson Studio even helps enterprise customers build AI applications. In June, IBM announced the first software integrating watsonx.governance and Guardian AI Security to help customers keep AI systems and agents safe and secure. Kelleher says IBM’s AI and hybrid cloud solutions will benefit from its HashiCorp acquisition. Argus has a “buy” rating and $340 price target for IBM stock, which closed at $241.50 on Sept. 2.
Arista Networks Inc. (ANET)
Arista Networks supplies cloud networking solutions to internet companies, cloud services providers and enterprise data centers. Arista’s high-performance cloud networking solutions and high-throughput data center switches provide the processing power required for intensive AI workloads. In July, Arista acquired the VeloCloud SD-WAN portfolio from Broadcom and expanded its AI-driven enterprise offerings with the launch of new switching, Wi-Fi 7 access points and WAN capabilities. Kelleher says accelerating demand for cloud networking and AI solutions has Arista on track for 25% revenue growth in 2025. Argus has a “buy” rating and $175 price target for ANET stock, which closed at $135.87 on Sept. 2.
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Artificial Intelligence Stocks: The 10 Best AI Companies originally appeared on usnews.com
Update 09/03/25: This story was previously published at an earlier date and has been updated with new information.
