Is artificial intelligence (AI) really a lasting trend? Is the bubble about to burst?
AI accounts for a massive percentage of the market today. The eight most valuable companies in the U.S. are all AI companies, and they have market caps that dwarf nearly any other company.
Whether there's an AI bubble, boom, or bust, I recommend Amazon (AMZN 2.14%) as a top AI giant that should remain stable and growing over the next 10 years. Here's why.
Image source: Getty Images.
More than AI
Ten years is a long time to correctly predict anything. However, if you're an investor, that's precisely what you want to be doing: finding stocks that you believe will be bigger and better in 10 years, turning your investment into a multibagger.
Although many experts predict that AI will continue to grow and add value to many different areas over the next few years, it could go in so many ways that no one anticipates. There are the classic black swan events, as well as just general change that's inevitable.
NASDAQ: AMZN
Key Data Points
Amazon is at the forefront of AI innovation today, but because it also has a massive e-commerce business and an enormous cloud business, even without the AI part, it's a much safer bet for longevity and growth in 10 years than businesses only focused on AI.
Of course, the opportunity in AI is hugely compelling as well. AWS sales growth accelerated in the third quarter to 20% over last year, driven by interest in and engagement with AI. The AI business already has a $132 billion run rate, and that keeps increasing. Amazon should be in great shape over the next 10 years, and it looks like a great stock candidate today.
