Top 10 Artificial Intelligence Stocks to Watch in 2025

Are artificial intelligence stocks the future? No one is sure what the AI age will bring, but one thing is certain — AI stocks are very hot!

That’s why everyday traders want to know which artificial intelligence stocks to watch.

Let’s break down the basics first…

Artificial intelligence (AI) is an advanced form of computer processing. This technology includes machine learning and neural networks. AI is what allows computers to learn and solve problems like humans. It’s used in voice recognition, voice assistant technology, self-driving vehicles, and beyond.

It’s pretty clear in 2025 that AI will play a big role in the future of tech. So which AI stocks are worth watching? No doubt, there are plenty of players … but they’re far from equal.

Read on to uncover some of the best artificial intelligence stocks for your watchlist!

List of 10 Hot Artificial Intelligence Stocks to Watch in 2025

My best AI stocks to watch are:

• NASDAQ: MLGO — MicroAlgo Inc — The Short Squeeze AI Penny Stock 
• NASDAQ: APLD — Applied Digital Corp — The AI Penny Stock That NVIDIA Is Still Invested In
• NASDAQ: SOUN — SoundHound AI Inc — The AI Voice Stock That NVIDIA Sold Its Shares In
• NASDAQ: AIFF — Firefly Neuroscience Inc — The NVIDIA Partnership AI Biotech Penny Stock 
• NASDAQ: RGTI — Rigetti Computing Inc — The Former Quantum Supernova That Could Go Either Way
• NYSE: BABA — Alibaba Group Holding Ltd — The Chinese Earnings Winner With DeepSeek and Apple News
• NASDAQ: NVDA — NVIDIA Corp — The AI Earnings Winner That Couldn’t Stop the Sell-Off
• NASDAQ: APP — Applovin Corp — The Earnings Winner Falling Off a Cliff
• NASDAQ: PLTR — Palantir Technologies Inc — The Earnings Winner That Might Be Hit By Trump’s Cutbacks
• NASDAQ: AAPL — Apple Inc — The Tech Leader That’s Looking Smart for Not Pegging Its Hopes on AI

I focus on predictable patterns on small companies more than the big companies we list here. That said, we’re all about education. And news about one of the bigger AI stocks could lead to sympathy plays. Remember to do your homework.

Here’s the AI stock cheatsheet:

• What is the most promising AI stock?

A sector leader like NVIDIA Corp (NASDAQ: NVDA) is the best bet for the most promising AI stock. But remember, we’re traders, not investors. So the stocks on this list are ones we’re watching for short-term moves, not predictions of which will lead stock exchanges in 2030.

• What are the top 3 AI stocks to buy now?

My top 3 AI stocks to buy now (as long as their price action is strong) are Microsoft Corporation (NASDAQ: MSFT), Super Micro Computer, Inc (NASDAQ: SMCI), and CrowdStrike Holdings, Inc. (NASDAQ: CRWD).

• Which company is most advanced in AI?

NVIDIA is the most advanced publicly traded company in AI, that’s why it’s the sector leader. But other leading tech stocks like Apple, Microsoft, Google, and Facebook are all safe bets to pull ahead at some point.

• Which Artificial Intelligence stocks have a “Strong Buy” analyst rating?

Analysts tend to love these tech leaders — NVIDIA, Microsoft, Google, and Facebook. Most analysts have rated all of these stocks as “strong buys.”

10 AI Stocks to Watch

My top AI stock picks for 2025 — rated on chart pattern, price action history, and catalyst — include the following:

Stock Ticker	Company	Performance (YTD)
NASDAQ: MLGO	MicroAlgo Inc	+ 389.50%
NASDAQ: APLD	Applied Digital Corp	– 27.63%
NASDAQ: SOUN	SoundHound AI Inc	– 57.69%
NASDAQ: AIFF	Firefly Neuroscience Inc	+ 76.95%
NASDAQ: RGTI	Rigetti Computing Inc	– 58.00%
NYSE: BABA	Alibaba Group Holding Ltd	+ 55.19%
NASDAQ: NVDA	NVIDIA Corp	– 13.10%
NASDAQ: APP	Applovin Corp	– 5.62%
NYSE: PLTR	Palantir Technologies Inc	+ 11.10%
NASDAQ: AAPL	Apple Inc	– 2.14%

Before you send in your orders, take note: I have NO plans to trade these stocks unless they fit my preferred setups. This is only a watchlist.

The best traders watch more than they trade. That’s what I’m trying to model in this article. Pay attention to the work that goes in, not the picks that come out.

Sign up for my NO-COST weekly watchlist to get my latest picks!

Now, here are 10 AI stocks to watch, in no particular order…

1. MicroAlgo Inc (NASDAQ: MLGO) — The Short Squeeze AI Penny Stock 

My first AI penny stock pick is MicroAlgo Inc (NASDAQ: MLGO).

On Friday, February 21, we watched MicroAlgo Inc. (NASDAQ: MLGO) spike 910%*!

From less than $2 per share to over $11 per share … 

It quickly fell back into the $2 range. That’s what penny stocks do.

Then — it happened again!

The price spiked 500%* on March 24 after the company announced a plan to issue new shares the day before.

It was initially a bearish catalyst that caused share prices to drop … 

But the bearish momentum quickly lured in short sellers and turned the move into a huge short squeeze.

I wasn’t surprised. We see a massive short squeeze like this every month, among smaller squeezes from week to week.

There are too many short sellers in the market right now. When they all focus on one crappy stock, it can push the price even higher as they’re squeezed out.

Why I Like It

Short squeezes can offer perfect trade opportunities for long-biased traders.

But it can be difficult for new traders to recognize a short squeeze.

Usually, there isn’t a visible catalyst. That’s what causes so many short sellers to target the stock. It’s spiking without any news … Logically the price should fall lower.

As it spikes higher, short sellers get even more stubborn about their positions. They keep reentering at the highs and keep blowing up.

Look for stocks spiking more than 100% on the day without any news.

• There wasn’t any news during the MLGO spike.

It also helps when the stock has a low float. The low supply of shares will exacerbate the short squeeze issue.

• StocksToTrade shows that the MLGO float was only 6.3 million shares.

This was a perfect short squeeze candidate.

Study this stock and get ready for the next one.

2. Applied Digital Corp (NASDAQ: APLD) — The AI Penny Stock That NVIDIA Is Still Invested In

My second AI penny stock pick is Applied Digital Corp (NASDAQ: APLD).

On September 5, 2024, APLD started moving with news that NVIDIA (among other investors) bought a stake in the stock.

We’ve seen NVIDIA investments act as strong catalysts before … 

• Serve Robotics Inc. (NASDAQ: SERV)
• SoundHound AI Inc. (NASDAQ: SOUN)
• I’ll give more details further in this watchlist … 

NVDA is still arguably the most popular AI stock in the U.S. market.

It holds a $3 trillion valuation. And it’s positioned to continue its dominance in the microchip industry.

Penny stocks like APLD have a lot to gain from NVIDIA’s investment announcements.

Why I Like It

APLD was trading under $4 in September 2024, before the market learned of the NVIDIA investment.

Share prices reached $12 a few months later, on February 21, 2025. It spiked 280%* in total.

The price fell from those highs in late February, but NVIDIA is still holding onto APLD shares. 

That bullish sentiment means that we could see a rally from this stock in March.

3. SoundHound AI Inc (NASDAQ: SOUN) — The AI Voice Stock That NVIDIA Sold Its Shares In

My third AI penny stock pick is SoundHound AI Inc (NASDAQ: SOUN).

SOUN spiked 350%* after the market learned of NVIDIA’s stake in the penny stock on July 19, 2024.

And the stock made new all-time highs toward the end of 2024.

But on February 14 during premarket hours, we learned that NVIDIA was no longer holding shares of SOUN.

The stock dropped 30% that day.

Why I Like It

There’s a stark difference between ongoing NVIDIA investments like APLD, and stocks that didn’t make the cut like SOUN.

SOUN isn’t the NVIDIA winner that it once was. But this is still a cheap stock in an overall bullish AI sector that’s in full swing.

Don’t count SOUN out. Look for bullish price action and wait for our trade patterns to develop.

4. Firefly Neuroscience Inc (NASDAQ: AIFF) — The NVIDIA Partnership AI Biotech Penny Stock 

My fourth AI penny stock pick is Firefly Neuroscience Inc (NASDAQ: AIFF).

On February 11, we learned that AIFF was accepted into an NVIDIA connect program.

The price spiked 450%* in less than 3 days after the news was announced.

And StocksToTrade shows that the float is only 3.2 million shares. The low supply will help prices spike higher when demand increases.

Why I Like It

The reasons listed above are enough to keep AIFF on this watchlist. Past spikers can spike again, especially spikers with NVIDIA news.

But remember, AIFF isn’t the only NVDA stock that we’re watching. I’ve already named several in this watchlist.

Look at the post below from StocksToTrade with chart examples:

AIFF wasn’t the first NVIDIA spiker … and it likely won’t be the last.

Get ahead of the curve. Study these examples and keep an eye out for the next penny stock to announce news with NVIDIA!

5. Rigetti Computing Inc (NASDAQ: RGTI) — The Former Quantum Supernova That Could Go Either Way

My fifth AI penny stock pick is Rigetti Computing Inc (NASDAQ: RGTI).

This is a quantum stock that plunged in early January, alongside the rest of the sector. The selloff on these quantum computing stocks came after Jensen Huang’s comments about the industry on January 8, when the NVDA CEO said practical quantum computing is still many years away. That hit the entire sector hard.

But among all the quantum names, RGTI bounced back the strongest — which made it the clear sector leader for a while.

That leadership is being tested again after IonQ’s earnings report on February 26. IonQ beat revenue expectations, but the numbers also reminded traders that real profits are still way off in the future. RGTI dropped immediately in sympathy — falling from the low $10s to just above $8 — a level it hasn’t traded at since mid-January.

Why I Like It

It’s not just about one earnings report. This is a gut check moment for the whole quantum sector. Traders ran these stocks up huge in late 2024, betting on breakthroughs and hype. But now, we’re seeing reality creep back in.

Even so, I’m not counting RGTI out. It’s still one of the most recognizable names in the space, and it has a history of big moves. Past spikers can spike again — especially in a sector with this much speculative interest.

And don’t forget the bullish catalyst from Microsoft on February 19. That’s when they announced the Majorana 1, the world’s first quantum processor powered by topological qubits. Microsoft says this chip could bring real quantum computing to the market in years, not decades.

That news gave the sector a quick bounce, but it wasn’t enough to fully reverse the downtrend. It could still spark a fresh wave of momentum — especially if Rigetti can land a new contract or partnership to get traders excited again.

6. Alibaba Group Holding Ltd (NYSE: BABA) — The Chinese Earnings Winner With DeepSeek and Apple News

My sixth AI penny stock pick is Alibaba Group Holding Ltd (NYSE: BABA).

One of the hottest stocks in the market right now is Alibaba Group Holding Limited (NYSE: BABA).

Ever since China’s DeepSeek climbed to the top of the Apple app store, China’s major companies (like Alibaba) started to work on their own AI software.

Look at the heading below from January 29:

Why I Like It

On January 29, BABA was trading around $100 per share.

Look what happened next:

Alibaba is also reportedly working with Apple to bring AI features to iPhones in China. There are at least two big catalysts to push BABA higher.

As a result, this is one of the hottest stocks from the Chinese AI sector. We’ve already seen huge trade opportunities from the price action …

For example, did you see the trade that Jack Kellogg made on BABA last week? Jack is a well known trader in our community.

Look at his trade below:

Use our AI swing-trading bot, Iris, to build smart positions on the market’s favorite stocks!

7. NVIDIA Corp (NASDAQ: NVDA) — The AI Earnings Winner That Couldn’t Stop the Sell-Off

My seventh AI penny stock pick is NVIDIA Corp (NASDAQ: NVDA).

We’ve already spoken about NVDA in this watchlist as a catalyst. Now let’s talk about it as a trade opportunity.

Why I Like It

On February 26 during after hours, NVDA announced quarterly earnings that beat expectations.

• An earnings per share of $0.89, which beat expectations by $0.04.
• And revenue of $39.33 billion, which beat expectations by $1.17 billion.

The data is extremely bullish.

But we’ve seen NVDA stock reject bullish earnings before, simply because the market’s expectations were far greater than analyst’s.

Even though NVDA’s numbers looked strong, the stock couldn’t escape the gravity of a broader AI sector sell-off. On February 27, NVIDIA shares dropped more than 8%, dragging the entire semiconductor and AI space down with it.

This wasn’t just about NVIDIA. It was about sky-high expectations finally meeting reality — and traders realizing that AI spending might not keep accelerating forever.

We saw the Nasdaq Composite drop nearly 3%, with the semiconductor index itself falling 6%. Other big names like Super Micro Computer (NASDAQ: SMCI) and Palantir (NASDAQ: PLTR) took a beating, down double digits on the day.

Part of this sell-off is tied to growing fears about tighter U.S. restrictions on AI chip exports to China. That would directly hit NVIDIA’s revenue — and the uncertainty alone is enough to rattle traders.

The entire AI industry is shifting. We’re not just talking about training huge models anymore. The focus is increasingly on inference — the process of actually using those models in real-world applications. And inference demands different kinds of hardware.

NVIDIA saw this coming.

Their new Blackwell platform is designed with inference in mind. It’s bigger, faster, and optimized for reasoning models — the type of AI that “thinks” through complex problems step by step. Blackwell’s ability to link together in massive networks gives it a serious edge in inference, and early sales of Blackwell are already leaning toward inference-heavy workloads.

This is a classic NVIDIA move — they saw where the industry was going and adjusted before anyone else. But staying ahead won’t be easy. Startups like Cerebras, Groq, and SambaNova are building specialized inference chips. Big tech companies like Google and Meta are working on their own custom hardware. Even AMD is trying to carve out a bigger role in inference.

NVIDIA is still the king — but the crown isn’t as secure as it used to be.

That’s why this earnings beat wasn’t enough to satisfy Wall Street. Traders see a tougher road ahead, filled with regulatory risks, competitive pressures, and changing technology.

For traders, this is a perfect wait-and-see situation. Look for a clear momentum direction during the first few days after NVDA’s earnings announcement. And use IRIS to build smart positions using AI.

There’s a solid breakout level at $150 per share. Keep an eye on that resistance.

8. Applovin Corp (NASDAQ: APP) — The Earnings Winner Falling Off a Cliff

My eighth AI penny stock pick is Applovin Corp (NASDAQ: APP).

APP gapped higher in November after announcing bullish earnings and revenue. 

And it pushed higher again after announcing earnings during after hours on February 12.

But a few days later, on February 18, the stock started a long downtrend. With two well-timed short reports attacking its business model, the stock fell to levels it hadn’t seen since November. 

Why I Like It

APP works in the software industry, specifically to connect businesses with customers via mobile applications. And on the company’s homepage, it details the utilization of AI to achieve these business goals:

“AI-powered user targeting delivers the high-quality users you care about and uncovers new, incremental audiences to fuel further growth.”

This is a legitimate business in the AI sector. It’s not a random penny stock that spiked with AI hype.

Yes, the recent selloff was drastic, but that means it’s in a prime position to bounce.

We don’t need the stock to make new highs, we just want to see some bullish momentum develop off of a major support level.

Use IRIS to pinpoint an entry.

9. Palantir Technologies Inc (NASDAQ: PLTR) — The Earnings Winner That Might Be Hit By Trump’s Cutbacks

My ninth AI penny stock pick is Palantir Technologies Inc (NASDAQ: PLTR).

PLTR joined the S&P 500 ETF Trust (NYSE: SPY) on September 23, 2024.

That’s a big deal … The SPY is composed of 500 publicly-traded companies that lead the market.

Before the AI boom began, PLTR was trading below $10 per share. And it was significantly beat down due to the overall tech-sector weakness in 2022.

In March 2025 … this is a sector leader in the software industry that launched past $100 per share in early February. And it’s included in one of the market’s most popular indices!

But one glance at the chart will show you that the stock dropped drastically starting February 19.

This is likely due to the overall market weakness and Trump tariff fears.

Why I Like It

The Q4 earnings report announced after hours on February 3 showed that the company posted a Q4 2024 revenue growth of 36%, year over year.

PLTR shot to new all-time highs after the revenue announcement.

Prices fell below that level toward the end of February. But the bullish financial data still stands.

Plus, this company is a key AI provider for systems utilized by the U.S. military, among other major customers.

The recent stock sell-off was scary for investors, but PLTR is still in a perfect position to rally this year.

10. Apple Inc (NASDAQ: AAPL) — The Tech Leader That’s Looking Smart for Not Pegging Its Hopes on AI

My tenth AI penny stock pick is Apple Inc (NASDAQ: AAPL).

AAPL is a big name, no doubt, and it’s always on our radar.

But let’s focus on how to trade it, rather than get caught up in the ‘big tech’ story.

Why I Like It

AAPL has strong fundamentals, huge cash reserves, and consistent growth.

Plus, it has a diversified business that doesn’t fully rely on AI prowess. That makes it a smart hedge for anyone who’s worried about U.S. AI supremacy. Hint: The Alibaba partnership.

When it comes to trading, the key is to treat it like any other stock. We have to focus on price action rather than falling into the long-term loyalty trap.

Yes, investment positions are a healthy part of a balanced portfolio, but on this watchlist we’re interested in calculated trades.

AAPL moves more slowly than a penny stock. That means we’re looking to hold positions longer than usual. But make sure to keep your stops tight. Again, we want AAPL to follow specific patterns.

This is a great swing-trade opportunity in the AI industry.

With a large stock like AAPL, act fast and avoid emotional attachment. Don’t fall into the trap of thinking Apple is always a “safe” stock.

Treat it like any other ticker. Trade the spikes, and don’t let the size or story of the company cloud your judgment.

Use our AI to find smart swing-trade entries on AAPL!

 

*Past performance does not indicate future results

How to Find Up-and-Coming AI Stocks

You don’t have to be a super genius or computer scientist to find artificial intelligence stocks. You just need the right tools and education to find the best setups. 

It’s crucial to make a watchlist, create a trading plan, and maintain a trading journal. This helps you to refine and improve over time. You will make trading mistakes — what’s important is that you learn from them.

No one knows when AI stocks will become crazy hot. But when the sector starts running, its momentum will be tough to stop. More and more traders and investors will see the potential and jump on the bandwagon.

Keep an eye on artificial intelligence news for new developments. We developed the Breaking News chat feature just for this purpose. See how two skilled stock market pros can help you find the news with the most potential to move stocks. Here’s where you can learn more and sign up TODAY. 

Conclusion

These are the heavy hitters of artificial intelligence stocks. There’s so much room for growth in this sector … The technology is still in its infancy. And that will bring more promising AI penny stocks to trade. 

Today, your smartest AI move is to start by watching these stocks. And it’s only that — a starting point. This list of stocks to watch is NOT a recommendation to buy … It’s a guide to help learn to spot those big movers and hot opportunities.

There are a ton of ways to build day trading careers… But all of them start with the basics.

Before you even think about becoming profitable, you’ll need to build a solid foundation. That’s what I help my students do every day — scanning the market, outlining trading plans, and answering any questions that come up.

You can check out the NO-COST webinar here for a closer look at how profitable traders go about preparing for the trading day!

What do you think about trading artificial intelligence stocks? Comment below, I love to hear from all my readers!