Looking back, 2023 may well mark a turning point for artificial intelligence (AI). The latest developments in large language models have given birth to next-generation technology, including OpenAI's ChatGPT -- but that's likely just the beginning. The capabilities of these AI systems have sparked imaginations, and the brightest minds in business are looking for ways to employ this groundbreaking technology to automate repetitive tasks, improve customer service, and create new opportunities.

The ongoing AI revolution has investors searching high and low to profit from the massive potential afforded by this state-of-the-art technology. While estimates vary wildly, one of the most bullish forecasts comes from Cathie Wood's Ark Investment Management, which suggests that the global AI software market will grow at 42% annually, topping $14 trillion by 2030. Even if this estimate turns out to be overly bullish, it helps show that the market for AI-enabled software could grow at a blistering pace for years to come.

Let's look at two high-flying stocks that are well positioned to benefit from the AI revolution.

The letters AI emblazoned on a glowing circuit board.

Image source: Getty Images.

1. HubSpot

HubSpot (HUBS -2.58%) made its fortune by disrupting traditional advertising. It pioneered the concept of inbound marketing, which builds relationships with potential customers with compelling content offered online, via social media, and in blog posts.

The company has since expanded its empire to encompass the entire spectrum of customer relationship management (CRM), with a vast ecosystem of interconnected offerings. These include solutions for marketing, sales, service, content management, and operations teams, with tools that help to manage data, commerce, reporting, automation, content, messaging, and payments. 

CEO Yamini Rangan laid out the case for what the latest advances in AI means to HubSpot and its customers in the company's first-quarter earnings call, saying, "HubSpot is [a] powerful, yet easy to use ... all-in-one CRM platform powered by AI." He noted that the company is integrating generative AI across its offerings, going on to say that the company is differentiated by its "unique data and broad distribution." 

"HubSpot CRM data is unified and cohesive, making it easier for AI to ingest and drive relevance," Rangan said. Finally, the chief executive points out that HubSpot customers "don't have to become AI experts to reap the transformational benefits" available on its platform. 

HubSpot's first-quarter results provide a glimpse at its potential. Even in the middle of a challenging economy, revenue grew 27% year over year, while adjusted earnings per share (EPS) of $1.25 more than doubled. The results were fueled by solid customer gains, which grew 23%. Perhaps more importantly is the expanding relationships with existing customers, as 45% of the company's annual recurring revenue is generated by clients using three or more hubs.

The stock is currently selling for 10 times next year's sales, so it isn't cheap in terms of traditional valuation measures. That said, in less than nine years, HubSpot stock has gained more than 1,600% -- and is still well off its peak. Given its history of strong growth, is valuation seems much more reasonable.

2. MongoDB

MongoDB (MDB -2.05%) made a name for itself by disrupting the traditional database paradigm. While most databases are limited to rows and columns, MongoDB's Atlas cloud-native platform can handle this and much more, including video and audio files, social media posts, and even entire documents, providing users with much more robust database solutions. This provides developers with a much greater degree of flexibility to create software applications.

When announcing the company's first quarter of fiscal 2024 results, CEO Dev Ittycheria explained what the shift to AI means to MongoDB, saying: "We believe the recent breakthroughs in AI represent the next frontier of software development. The move to embed AI in applications requires a broad and sophisticated set of capabilities, while enabling developers to move even faster to create a competitive advantage." He went on to say the company was "well positioned to benefit from the next wave of AI applications in the years to come." 

MongoDB's results from the first quarter of fiscal 2024 help tell the tale. Revenue of $368 million grew 29% year over year -- even in the face of economic headwinds -- while its adjusted EPS of $0.56 soared 180%. Fueling the results was the most net new customer additions in more than two years. The results were led by Atlas, the company's fully managed, database-as-a-platform service platform, which grew 40% year over year and now makes up 65% of MongoDB's total revenue. 

The stock might seem expensive at 14 times next year's sales, but consider this: In just over five years, MongoDB stock has gained more than 1,000% -- even after its downturn-induced drubbing -- so its valuation shouldn't be viewed in a vacuum. 

As new customers seek out platforms offering the greatest capacity to build and run new AI applications, MongoDB's Atlas is a top choice.