JPMorgan Raises Meta Platforms, Inc. (META) Price Target to $725, Highlights AI Investment Growth for 2025

We recently compiled a list of 9 Trending AI Stocks on Latest News and Notes. In this article, we’ll take a look at where Meta Platforms, Inc. (NASDAQ:META) stands in relation to other AI stocks.

A Bloomberg report from December 13 AI wants more data. No more chips. No more real estate. More power. More water. More of everythingexplores the resource-intensive nature of artificial intelligence, focusing on its requirements for electricity, water and infrastructure. ChatGPT and similar AI systems require large amounts of energy, far outpacing traditional services like Google Search. AI models require enormous amounts of energy, materials, and specialized hardware like GPUs. This is leading to a global race for resources, with companies seeking efficient solutions, including nuclear power and synthetic data generation, the report said.

The infrastructure required to support AI, from data centers to power grids, faces significant challenges, with growing demand for energy and materials like copper, silicon and rare metals. While AI presents a tremendous opportunity, the article highlights potential environmental impacts, talent shortages and increasing infrastructure costs. As AI companies compete to meet the growing needs of generative AI, the global ecosystem is reshaping itself.

ALSO READ: 10 Companies Hoarding Bitcoin Like There’s No Tomorrow And 10 important AI announcements for investors.

Byron Deeter, Partner at Bessemer Venture recently joined CNBC “Additional closing hours” and discussed continued strong investor interest in AI, with support from the U.S. government further supporting the country’s leadership in the sector. He highlighted the role of energy in the development of AI, emphasizing the need for nuclear power in the United States due to the growing demand for computing power. Deeter also talked about Service Titan, a company providing software for industries like plumbing and HVAC, which recently went public. He views the IPO as a sign that more companies will follow suit in 2025, with a strong pipeline of potential filings for the year ahead.

For this article, we selected AI stocks by looking through news articles, stock analyses, and press releases. We’ve listed stocks in ascending order of their hedge fund sentiment, taken from the Insider Monkey database of 900 hedge funds.

Why are we interested in stocks that hedge funds are piling into? The reason is simple: our research has shown that we can outperform the market by imitating the stocks selected by the best hedge funds. Our quarterly newsletter strategy selects 14 small- and large-cap stocks each quarter and has returned 275% since May 2014, beating its benchmark by 150 percentage points (see more details here).