Top Defense Stocks

 

Some investors are opposed to purchasing stocks that benefit from the manufacture of weapons, and that’s completely understandable. If you fall into that category, then this post is probably not for you.

The defense industry is currently in a state of flux. On the one hand, there is a growing demand for defense products and services, as the world becomes increasingly unstable. On the other hand, there are also growing concerns about the cost of defense spending, and the need to reduce military budgets.

As a result, defense companies are facing a number of challenges. They need to find ways to reduce their costs, while also developing new products and services that meet the changing needs of the military. They also need to be prepared for the possibility of a decline in defense spending, and the need to diversify their businesses.

Despite these challenges, the defense industry is still a major economic force. In the United States, the defense industry employs over 2 million people and generates over $400 billion in annual revenue. The industry is also a major source of innovation and has been responsible for the development of many of the world’s most advanced technologies.

The future of the defense industry is uncertain, but it is likely to remain a major player in the global economy. The industry will need to adapt to the changing needs of the military and the growing concerns about the cost of defense spending. However, the industry also has a number of strengths, including its strong research and development capabilities, and its ability to adapt to new market conditions. As a result, the defense industry is likely to remain a major economic force for many years to come.

Here are some of the key trends that are shaping the defense industry today:

• The rise of new technologies. The defense industry is constantly evolving, as new technologies are developed. These technologies are changing the way that wars are fought, and they are also creating new opportunities for defense companies. For example, the development of drones and other unmanned systems is changing the way that the military conducts surveillance and strikes.
• The growing importance of cybersecurity. Cybersecurity is becoming increasingly important in the defense industry. As militaries become more reliant on digital systems, they are also becoming more vulnerable to cyberattacks. Defense companies are developing new technologies to protect military systems from cyberattacks.
• The need for greater international cooperation. The defense industry is becoming increasingly globalized. As militaries around the world face similar threats, they are increasingly working together to develop new technologies and share resources. This is creating new opportunities for defense companies that are able to operate in multiple markets.

The defense industry is a complex and ever-changing industry. However, it is also a major economic force that is likely to remain important for many years to come.

Lockheed Martin (LMT) is an American aerospace, arms, defense, information security, and technology corporation with worldwide interests. It is the world’s largest defense contractor by revenue for the past 43 years. Lockheed Martin is headquartered in Bethesda, Maryland, and employs approximately 114,000 people worldwide.

This $119 billion market cap company trades at 21 times trailing earnings and 17 times forward earnings. The long-term annual earnings per share growth estimate over the next five years is anticipated to be 10.9%. The company pays a dividend yield of 2.57%.

Raytheon Technologies (RTX) is an American multinational aerospace and defense corporation with worldwide interests. It was formed in 2020 by the merger of Raytheon and United Technologies. Raytheon Technologies is headquartered in Waltham, Massachusetts, and employs approximately 190,000 people worldwide.

The stock has a trailing price-to-earnings ratio of 26 and a forward P/E of 17. Earnings per share this year grew by 35.9%, and long-term annual earnings per share growth estimate over the next five years is predicted to be 10.8%. The yield is 2.43%.

The Boeing Company (BA) is an American multinational corporation that designs, manufactures, and sells airplanes, rotorcraft, rockets, satellites, telecommunications equipment, and missiles worldwide. It is the world’s largest aerospace company by revenue for the past 26 years. Boeing is headquartered in Chicago, Illinois, and employs approximately 160,000 people worldwide.

The company has been generating negative earnings but has a forward P/E of 41. The stock does not pay a dividend.

General Dynamics (GD) is an American multinational defense, information technology, and aerospace company that is headquartered in Falls Church, Virginia. General Dynamics is the world’s fifth-largest defense contractor by revenue. The company employs approximately 100,000 people worldwide.

The stock trades at 18 times trailing earnings and 15 times forward earnings. The long-term annual earnings per share growth estimate over the next five years is predicted to be 10.8%. The yield is 2.43%.

Northrop Grumman (NOC) is an American global aerospace and defense technology company with worldwide interests. It is the world’s sixth-largest defense contractor by revenue. Northrop Grumman is headquartered in Falls Church, Virginia, and employs approximately 90,000 people worldwide.

The stock trades at 15 times trailing earnings but 19 times forward earnings. The long-term annual earnings per share growth estimate over the next five years is expected to be only 1.9%. The stock pays a yield of 1.64%.

These companies are responsible for developing and manufacturing a wide range of defense products, including aircraft, ships, missiles, and weapons systems. They also provide a variety of services, such as maintenance, repair, and overhaul.

The defense industry is a major economic force, and it is expected to continue to grow in the coming years. This is due to a number of factors, including the increasing threats posed by terrorism and cyberwarfare, and the growing demand for new technologies.

Disclosure: The author didn’t own any of the above at the time the article was written.

The Artificial Intelligence Semi-Pure Play Stocks

 I originally wrote about the pure-play artificial intelligence stocks earlier this year in an article called Top Five Pure Play AI stocks.

Unfortunately, those stocks have very low market capitalizations and are very speculative. I figured it may be worthwhile to cover a couple of the semi-pure plays in AI.

AI: What It Is

Artificial Intelligence, commonly referred to as AI, has become a revolutionary force in our modern world. It encompasses various technologies that enable machines to perform tasks that typically require human intelligence. From learning and reasoning to problem-solving and decision-making, AI has the potential to transform multiple aspects of our lives. In this blog post, we will delve into two intriguing applications of AI: Chat AI and image creation with DALL-E.

Chat AI: Transforming Customer Service and Beyond

One of the most widely used AI services today is Chat AI, which leverages natural language processing (NLP) and machine learning to enable machines to communicate with humans through chat interfaces. This technology has found a place in numerous settings, including customer service, healthcare, education, and business operations.

The key advantage of Chat AI lies in its ability to provide 24/7 support to customers without human intervention. Chatbots can efficiently handle frequently asked questions, offer information, troubleshoot issues, and even provide personalized support. By automating routine tasks, organizations can save costs and improve customer engagement.

Developers working on Chat AI face the challenge of creating algorithms that understand and interpret natural language while delivering appropriate responses. Achieving this requires a combination of NLP and machine learning techniques, as well as continuous training and improvement of the chat AI system.

Creating Images with AI: The DALL-E System

AI has ventured into the realm of visual arts with the creation of images using systems like DALL-E. Developed by OpenAI, DALL-E harnesses machine learning techniques, including NLP and computer vision, to generate images based on textual descriptions.

DALL-E’s name is a fusion of the renowned artist Salvador Dali and the beloved Pixar character Wall-E. The system has been trained on vast amounts of data, consisting of text-image pairs gathered from various sources, allowing it to understand the relationship between textual descriptions and their visual representations.

The potential applications of DALL-E are far-reaching. It offers avenues for artists, designers, and advertisers to streamline the creative process and bring ideas to life more quickly. By simply inputting a description, one can obtain an automatically generated image, even depicting non-existent objects or scenes.

However, as with any powerful technology, there are concerns associated with the misuse of AI image creation. Issues such as the production of fake images and the perpetuation of harmful stereotypes require careful consideration and ethical practices.

The Future of AI

Artificial Intelligence continues to shape our world, and its potential is boundless. Chat AI has already made significant strides, revolutionizing customer service and various industries by providing automated support and streamlining operations. As developers enhance algorithms and machine learning techniques, the capabilities of Chat AI will continue to expand.

In the realm of image creation, DALL-E showcases the remarkable progress AI has made. Allowing machines to generate images based on textual descriptions has implications for art, design, and advertising. While this technology opens new doors for creativity, it is crucial to approach it responsibly to mitigate potential risks.

As AI advances further, it is important for society to stay informed and engage in discussions surrounding its development and applications. By fostering a collaborative approach, we can ensure that AI technologies like Chat AI and image creation systems are used ethically and for the betterment of humanity.

Palantir Technologies (PLTR) is a software company that specializes in data analysis and artificial intelligence. Founded in 2003 by Peter Thiel, Alex Karp, and others, Palantir focuses on developing software platforms that enable organizations to integrate, analyze, and interpret large amounts of data.

Artificial Intelligence plays a significant role in Palantir’s offerings. The company’s flagship product is called Palantir Gotham, which is an AI-powered platform designed for data integration and analytics. Palantir Gotham utilizes advanced AI algorithms to extract insights from complex and diverse data sources, helping organizations make informed decisions and gain a deeper understanding of their data.

The AI capabilities of Palantir Gotham enable it to handle vast amounts of structured and unstructured data, including text, images, and sensor data. The platform incorporates machine learning and natural language processing techniques to uncover patterns, detect anomalies, and generate predictive models. By leveraging AI, Palantir Gotham provides users with powerful tools for data exploration, visualization, and collaboration.

Palantir also offers another product called Palantir Foundry, which is an AI-driven data integration and management platform. Foundry enables organizations to ingest, transform, and analyze data from various sources, making it accessible and actionable. Through AI technologies, Foundry automates data processing tasks, enhances data quality, and provides intelligent recommendations for data governance and security.

In addition to their software products, Palantir has developed AI applications for various industries and sectors. They have worked with government agencies, law enforcement, and intelligence communities, providing AI-powered solutions for data-driven decision-making, risk analysis, and security operations. Palantir’s AI capabilities have also found applications in healthcare, finance, and manufacturing, among other sectors, where they help organizations optimize processes, detect fraud, and improve operational efficiency.

However, it’s worth noting that Palantir’s use of AI has also raised concerns regarding data privacy, ethics, and potential biases in decision-making. As with any AI technology, responsible development, transparency, and accountability are essential considerations to mitigate these concerns.

Overall, Palantir utilizes AI as a core component of its software platforms and applications, enabling organizations to harness the power of data for improved decision-making and operational efficiency.

The stock trades at a fairly high forward price to earnings ratio of 65, however, the company has no long term debt. Quarterly revenue growth year-over -year increased by 17.7%, and the long term annual growth estimate of earnings per share over the next five years is 73%.

Verint Systems (VRNT) is a well-established software company that provides solutions for customer engagement, workforce optimization, and security intelligence. While Verint is not primarily known as an artificial intelligence company, they have integrated AI technologies into some of their offerings to enhance their capabilities.

Verint’s AI-powered solutions are designed to help organizations extract valuable insights from large volumes of data, automate processes, and improve decision-making. They utilize machine learning, natural language processing, and other AI techniques to analyze and interpret data from various sources.

In the customer engagement domain, Verint offers AI-driven solutions for voice and text analytics. These solutions can analyze customer interactions, such as calls, emails, chat conversations, and social media posts, to identify sentiment, extract key insights, and detect patterns. By leveraging AI, Verint enables organizations to understand customer behavior, optimize customer service operations, and personalize customer interactions.

Verint also provides AI-powered workforce optimization solutions, which help organizations manage and optimize their workforce performance. These solutions leverage AI algorithms to analyze employee data, identify training needs, and provide recommendations for improving workforce efficiency and productivity.

In the realm of security intelligence, Verint incorporates AI technologies to enhance their offerings. Their security solutions utilize AI-based video analytics to detect and alert on suspicious activities, automate the monitoring of security cameras, and enable real-time incident response.

While Verint Systems is not exclusively an AI-focused company, they have recognized the value of incorporating AI technologies into their solutions to enhance their capabilities and provide value to their customers. By leveraging AI, Verint aims to help organizations improve customer engagement, optimize workforce performance, and enhance security intelligence.

The stock trades at a very reasonable 11.7 times forward earnings, and the quarterly earnings growth year-over-year was 61.2%. The long term annual growth estimate of earnings per share over the next five years is 9.75%.

Disclosure: The author owns PLTR and VRNT. This article contains Amazon affiliate links whereby I would receive a small commission on any sale through those links at no additional cost to you.

Should You Invest In Convertible Bonds?

 A convertible bond (often referred to as a convertible note or a convertible debenture) is a type of corporate bond that gives the bondholder the option to convert the bond into a predetermined number of the issuing company’s common stock or other securities, typically at a predetermined conversion price. In simpler terms, it is a bond that can be converted into shares of stock.

Do not confuse convertible bonds with convertible preferred stocks, which are a completely different type of security, and the subject of another article.

Here’s how a convertible bond works:

1. Issuance: The company issues the convertible bond to investors, typically at a fixed interest rate and with a maturity date.
2. Bondholder receives interest payments: Similar to regular bonds, the bondholder receives periodic interest payments (coupon payments) based on the bond’s face value and the fixed interest rate.
3. Conversion option: The bondholder has the right, but not the obligation, to convert the bond into a specified number of shares of the issuing company’s stock. The conversion price is the predetermined price at which the bond can be converted into stock.
4. Stock price appreciation: If the company’s stock price rises above the conversion price, the bondholder can convert the bond into stock and potentially benefit from the stock’s price appreciation.

Advantages of convertible bonds:

1. Potential for capital appreciation: Convertible bonds offer the potential for investors to benefit from an increase in the issuing company’s stock price. If the stock price rises significantly, the bondholder can convert the bond and profit from the capital appreciation.
2. Income generation: Before conversion, the bondholder receives regular interest payments, providing a steady income stream.
3. Reduced downside risk: Unlike pure equity investments, convertible bondholders have a bond floor or a minimum value. If the company’s stock price declines, the bond retains some value as a fixed-income instrument.
4. Priority: If the company goes out of business, the bondholders get paid off before the stockholders.

Disadvantages of convertible bonds:

1. Lower coupon rates: Convertible bonds typically have lower coupon rates compared to regular bonds due to the additional value derived from the conversion feature. This means the bondholder may receive lower interest income compared to non-convertible bonds with similar risk profiles.
2. Dilution risk: When bondholders convert their bonds into equity, new shares are issued, which can dilute the ownership stakes of existing shareholders.
3. Limited potential upside: While convertible bondholders can benefit from stock price appreciation, the conversion feature may limit their potential gains compared to holding the company’s stock outright.
4. Interest rate sensitivity: Convertible bond prices can be sensitive to changes in interest rates. If interest rates rise, the value of the bond may decline, affecting its attractiveness to investors.
5. Liquidity: They can be illiquid, with most not traded on any exchange. Not all brokers offer them.

It’s important to note that the specific terms and features of convertible bonds can vary, so investors should carefully review the bond’s prospectus.

Tesla (TSLA) issued 2.00% Convertible Senior Notes due May 15, 2024. The bonds, which were issued in 2019, had an Initial Conversion Price of approximately $309.83 per share of Common Stock and an Initial Conversion Rate of 3.2276 shares of Common Stock per $1,000 principal amount of Notes.

Since that time, Tesla had a three-for-one stock split in 2022, so based on the prospectus, it appears that the conversion rate would be adjusted.

It is very difficult to find these bonds or even get a price.

The utility Southern Company (SO) issued its Series 2023A 3.875% Convertible Senior Notes due December 15, 2025.

Interest on the Convertible Notes will be paid semiannually at a rate of 3.875% per annum. The Convertible Notes will have an initial conversion rate of 11.8818 shares of Southern Company’s common stock per $1,000 principal amount of the Convertible Notes

PPL Capital Funding, Inc., a wholly-owned subsidiary of PPL Corporation (PPL), issued 2.875% Exchangeable Senior Notes due 2028.

The notes will be senior, unsecured obligations of PPL Capital Funding and will be fully and unconditionally guaranteed on a senior, unsecured basis by PPL Corporation. The notes will bear interest at a rate of 2.875% per year, payable semi-annually in arrears on March 15 and September 15 of each year, beginning on September 15, 2023. The notes will mature on March 15, 2028, unless earlier exchanged, redeemed or repurchased.

The notes will be exchangeable at an initial exchange rate of 29.3432 shares of PPL Corporation’s common stock per $1,000 principal amount of notes.

General Motors (GM) issued a mini-convertible bond at $25 par value. The General Motors, 5.25% Series B Convertible Senior Debentures due 3/5/2032 have a conversion rate of 0.3852. It appears that the bonds were formally exchange listed but have since been delisted, and from what I can tell, it appears that the bond interest payments have been suspended.

If you are considering converting a portion of your portfolio to convertibles, beware of the risks, and lack of liquidity.

Disclosure: Author didn't own any of the above at the time the article was written.

Top 5 Pure Play AI Stocks

 Please note: Our primary website https://WStNN.com is currently down and we hope to have it up shortly. This site has some of the relatively recent articles.

by Fred Fuld III

You’ve seen it on TV, you’ve read about it on news websites. Artificial Intelligence, commonly referred to as AI, is now the hottest industry. Stocks that are involved in this industry are taking off. 

I originally wrote about a form of artificial intelligence back in October of 2021 in an article called The Future of Artificial Intelligence: Can You Invest In It Now?

So you may be wondering what companies are the purest plays.

WHAT AI IS

Artificial Intelligence, or AI for short, refers to the ability of machines to perform tasks that typically require human intelligence, such as learning, reasoning, problem solving, and decision-making. AI algorithms are designed to analyze data, recognize patterns, and make predictions or recommendations based on that analysis.

In other words, AI is a way to teach machines to perform tasks that would normally require human intelligence, and to improve their performance over time based on the data they analyze. This technology has the potential to revolutionize many aspects of our lives, from healthcare to transportation to entertainment. AI is even being used to write articles and books. 

WHAT CHAT AI IS

One of the most popular types of AI services is Chat AI. 

Chat AI refers to the use of artificial intelligence technologies, such as natural language processing (NLP) and machine learning, to enable machines to communicate with humans via chat interfaces, such as chatbots or virtual assistants.

Chat AI is used in a variety of settings, such as customer service, where chatbots can be used to answer frequently asked questions, provide information, or help customers troubleshoot issues. Chat AI can also be used in healthcare to provide personalized support and advice, in education to assist with learning, and in business to streamline operations and improve customer engagement.

The key advantage of Chat AI is that it enables organizations to provide 24/7 support to their customers, without the need for human intervention. Additionally, Chat AI can help organizations save costs by automating routine tasks and reducing the need for human labor.

To enable effective Chat AI, developers must ensure that the algorithms are capable of understanding and interpreting natural language, as well as providing appropriate responses to user queries. This requires a combination of NLP and machine learning techniques, as well as ongoing training and improvement of the chat AI system.

Overall, Chat AI is an increasingly popular technology that has the potential to transform the way we interact with machines and automate routine tasks in various industries.

CREATING IMAGES WITH AI

Yes, artificial intelligence is now being used to create images, such as book covers, logos, album covers, and many other purposes. You just need to type in a simple description, and a picture will automatically be created. One of the most popular AI image services is called DALL-E.

DALL-E is an artificial intelligence system developed by OpenAI that is capable of generating images from textual descriptions. The name “DALL-E” is a combination of the artist Salvador Dali and the Pixar character Wall-E.

The DALL-E system uses a combination of machine learning techniques, including natural language processing and computer vision, to interpret textual descriptions and generate corresponding images. It is capable of creating images of objects and scenes that do not exist in the real world, such as a teapot made of giraffe or a snail-shaped harp.

THE BIG PLAYERS

The DALL-E system was trained on a dataset of text-image pairs, which enabled it to learn the relationship between textual descriptions and their corresponding visual representations. The system was trained on a massive amount of data, including images from the internet and text descriptions from a variety of sources.

The potential applications of DALL-E are numerous, including in the fields of art, design, and advertising. It has the potential to streamline the creative process and help artists and designers bring their ideas to life more quickly and easily. However, there are also concerns about the potential misuse of this technology, such as the creation of fake images or the propagation of harmful stereotypes.

First, let’s get the large stocks out of the way. There are many companies involved in AI, ranging from startups to large corporations. However, some of the biggest companies involved in AI are:

Google (GOOG) (GOOGL) is known for its search engine, but it’s also heavily invested in AI, with products like Google Assistant, Google Photos, and Google Translate all utilizing machine learning.

Amazon (AMZN) is using AI in many areas, such as its recommendation engine, its Alexa voice assistant, and its Amazon Go stores, which use computer vision to enable a checkout-free shopping experience.

Microsoft (MSFT) has been investing heavily in AI and has developed several AI-powered products, including Cortana, Skype Translator, and Microsoft Cognitive Services.

IBM (IBM) has a long history of developing AI technologies, and its Watson platform is one of the most well-known examples of AI in action.

Meta/Facebook (META) uses AI in a variety of ways, including facial recognition technology for tagging photos and content moderation.

Apple (AAPL) has been incorporating AI into many of its products, including Siri and Face ID.

NVIDIA (NVDA) is a leading manufacturer of GPUs, which are essential for training and running AI models.

Baidu (BIDU) is a Chinese search engine that is heavily investing in AI, with projects ranging from self-driving cars to voice recognition.

Tesla (TSLA) is using AI in its autonomous driving technology and is working to develop a fully self-driving car.

Alibaba (BABA), the Chinese e-commerce company, is investing in AI to improve its recommendation engine and other areas of its business.

THE PURE PLAYS

Now let’s get to the purer plays in artificial intelligence.

C3.AI

C3.ai, Inc. (AI) is a software company, located in Redwood City, California, that provides enterprise AI solutions for a variety of industries, including energy, healthcare, and finance. The company was founded in 2009 by Dr. Thomas M. Siebel, who is also the CEO of the company.

Before founding C3.ai, Dr. Siebel was the founder and CEO of Siebel Systems, a leading enterprise software company that was acquired by Oracle Corporation in 2006. After the acquisition, Dr. Siebel focused on developing AI-based solutions for the enterprise market and founded C3.ai.

Initially, C3.ai focused on developing predictive maintenance and energy management solutions for the energy industry. The company’s first product, C3 Energy Management, was designed to help utilities optimize their energy generation and distribution systems using machine learning algorithms.

Over time, C3.ai expanded its focus to other industries, including healthcare, financial services, and manufacturing. The company’s current product offerings include C3 AI Suite, which is a platform that enables organizations to develop and deploy AI applications, and C3.ai Ex Machina, which is an AI-powered data science platform for data scientists and developers.

C3.ai has received funding from several prominent investors, including Breyer Capital, TPG Growth, and the Rise Fund. In December 2020, the company went public on the New York Stock Exchange under the ticker symbol “AI,” raising $651 million in its initial public offering.

The stock has a market capitalization of $2.45 billion. This debt-free company has $6.76 in cash per share.

SOUNDHOUND AI

SoundHound AI, Inc. (SOUN) is a Silicon Valley-based technology company that specializes in developing sound recognition and voice-enabled AI solutions. The company was founded in 2005 by Dr. Keyvan Mohajer, who is also the CEO of the company.

Initially, the company started as a music recognition app called “Midomi,” which allowed users to hum or sing a song, and the app would identify the song. Later on, the company expanded its focus to voice-enabled AI technology and changed its name to SoundHound Inc.

In 2015, SoundHound Inc. launched its flagship product, Hound, which is an AI-powered voice assistant. Hound uses a natural language processing (NLP) technology that enables users to speak complex and specific queries in a conversational manner. The Hound voice assistant is available as a mobile app and can be integrated into other devices and applications.

In addition to Hound, SoundHound AI, Inc. also offers a suite of AI-based products and services, including sound recognition technologies for speech-to-text and music identification, and voice-enabled AI solutions for automotive, hospitality, and other industries.

The company has received funding from several prominent investors, including NVIDIA, Samsung, and Tencent Holdings. By 2021, SoundHound AI, Inc. had raised over $250 million in funding.

SoundHound has a market cap of $580 million. The company is debt-free and quarterly sales increased by over 79% year-over-year.

BIGBEAR.AI

BigBear.ai Holdings, Inc. (BBAI) is a technology company that develops and provides artificial intelligence (AI) solutions for defense and intelligence organizations, as well as for commercial customers. The company was founded in 2018 and is headquartered in Reston, Virginia.

BigBear.ai’s technology solutions use AI and machine learning to help customers make sense of large and complex data sets, as well as to automate decision-making processes. The company’s AI-driven solutions are designed to improve situational awareness, increase operational efficiency, and support decision-making across a range of industries and applications.

The company’s solutions cover a range of capabilities, including computer vision, natural language processing, and data analytics. BigBear.ai’s solutions are used in a variety of applications, such as intelligence analysis, threat detection, predictive maintenance, and supply chain optimization.

BigBear.ai has a broad customer base that includes government agencies and commercial customers in various industries. The company has received funding from several venture capital firms, including Riverside Partners, Chart National, and Blu Venture Investors.

In 2021, BigBear.ai announced that it had entered into a definitive agreement to merge with GigCapital4, a special purpose acquisition company (SPAC), in a deal that valued the combined company at $1.57 billion. The merger was completed in August 2021, and the combined company is now publicly traded on the NASDAQ under the ticker symbol “BBAI” as “BigBear.ai”.

This debt-free company has a market cap of $458 million. 

T STAMP

T Stamp Inc. (IDAI) is an identity authentication software company that uses artificial intelligence (AI) to develop solutions for government, enterprise partners, and peer-to-peer markets in the United States, the United Kingdom, and Malta.

T Stamp’s AI-powered solutions leverage biometric science, cryptography, and data mining to deliver identity and trust predictions, protect sensitive user information, and extend the reach of digital services through global accessibility. The company’s solutions include converting biometric and other identifying data into an Irreversibly Transformed Identity Token that serves as a secure tokenized identity. T Stamp also offers solutions for privacy and data protection, document validation, identity verification, geolocation, duplicate detection, and biometric capture.

T Stamp’s solutions serve a variety of industries, including banking/fintech, humanitarian and development services, KYC/AML compliance, government and law enforcement, P2P transactions, social media, and sharing economy, and real estate, travel, and healthcare. The company was incorporated in 2016 and is headquartered in Atlanta, Georgia.

Overall, T Stamp’s mission is to provide secure and scalable identity authentication solutions that leverage AI and advanced technologies to protect user privacy and combat identity fraud.

This is a microcap stock with an extremely low market cap of $18 million, and should therefore be considered extremely speculative. 

MARPAI

Marpai, Inc. (MRAI) is a software company that specializes in developing and deploying artificial intelligence (AI) systems for the enterprise market. The company was founded in 2016 by a team of experienced entrepreneurs and AI researchers, including CEO and Co-founder Mark Sears.

Marpai’s platform, called “Cortex,” is designed to help businesses leverage AI to automate processes, extract insights from data, and improve decision-making. Cortex uses advanced machine learning algorithms to analyze large amounts of data and provide actionable insights to users.

The company has received funding from prominent venture capital firms, including Bain Capital Ventures, Crosslink Capital, and SVB Capital, among others. In May 2021, Marpai announced that it had raised $30 million in a Series A funding round led by M12, Microsoft’s venture fund, with participation from other investors.

Marpai has a range of customers across different industries, including finance, healthcare, and retail. The company’s solutions are used for a variety of applications, such as fraud detection, customer service automation, and supply chain optimization.

Overall, Marpai’s mission is to democratize AI and make it more accessible to businesses of all sizes, by providing a scalable and user-friendly platform for deploying AI solutions.

The stock is debt-free and quarterly revenue growth year-over-year was 28.8%. This is another microcap stock with an extremely low market cap of $40 million, and should therefore also be considered extremely speculative.

AI SUMMARY

According to Fortune Business Insights, “The Artificial Intelligence market is projected to grow from $387.45 billion in 2022 to $1394.30 billion by 2029, at a CAGR of 20.1%.”

Just remember, that there are many ups and downs in new industries, and all the pure play stocks in this list should be considered speculative. Remember, no recommendations are expressed or implied. 

If you want to learn more about artificial intelligence, you should get the book Artificial Intelligence: What AI Is and How You Can Use It to Make Your Life Easier: A Guide to AI for Beginners, available in both paperback and Kindle.

Disclosure: Author didn’t own any of the above at the time the article was written. Some of these stocks are very low cap and should therefore be considered extremely speculative. This article contains Amazon affiliate links whereby a small commission would be paid on any book sale through those links at no additional cost to you.