Are These 2 Artificial Intelligence Stocks Really Worth $2 Trillion? Find out why you should buy them and keep them forever!

In the field of artificial intelligence, some stocks stand out for their colossal value, reaching $2 trillion. But what are these major investments really hiding? Let’s discover together the reasons that could push you to acquire them and keep them forever.

Large companies are often seen as having less growth potential than small ones. This is why some investors are hesitant to put their money in stocks with a market capitalization of more than $2 trillion. Yet tech giants like Microsoft And Meta Platforms have assets that can enable them to generate solid returns in the medium term through**artificial intelligence (AI)**.

Microsoft: An Innovative Parent Company

Microsoft has largely contributed to Wall Street’s recent obsession with AI, which began with the arrival of ChatGPT. As a long-time investor in OpenAI, the company behind ChatGPT, Microsoft recently increased its stake to 49%, strengthening their collaboration. This alliance allows Microsoft to offer services allowing other companies to build their own generative AI platforms via Azure, its cloud computing arm.

According to Microsoft management, more than 65% of Fortune 500 companies now use the services Azure OpenAI. These services promise particularly positive results, especially in the area of ​​cloud computing, which was already a major growth factor for the company.

In terms of financial results, Microsoft showed a solid performance. In the third quarter of fiscal 2024, its revenue rose 17% year-over-year to $61.9 billion, while net income climbed 20% to $21.9 billion.

Microsoft’s Competitive Advantages

Microsoft remains an innovative company, which is crucial to remaining relevant and successful in the long term. Here are three reasons why Microsoft can be considered a action to keep forever :

• Strong competitive advantages thanks to high switching costs and a strong brand.
• Attractive growth opportunities, particularly in the areas of AI and cloud computing.
• Attractive dividend payment history, having grown nearly 168% over the past decade.

Meta Platforms: A Gigantic Digital Ecosystem

Meta Platforms, Facebook’s parent company, launched last year Llama, a language model that has gained popularity. Recently, Meta introduced new versions of Llama in an open-source form. Llama is at the heart of Meta AI, a virtual assistant recently unveiled by the company. Meta also uses AI algorithms on Facebook and Instagram to encourage users to watch Reels longer, which increases advertising revenue.

As of now, AI is not yet a significant contributor to Meta’s revenue, but the company is well positioned to become a leader in this area. Meta also has one of the largest digital ecosystems in the world, with 3.24 billion daily active users at the end of the first quarter.

Despite a drop in ad spending a few years ago, Meta has navigated this storm well and bounced back thanks to its large user base. In the first quarter, revenue increased 27% year-over-year to $36.5 billion, while net income more than doubled to $12.4 billion.

The Advantages of Meta Platforms

Meta benefits from the network effect: the more people there are on a platform like Instagram, the more useful and attractive it becomes, thus encouraging more people to join. In addition, Meta is also one of the leaders in the field of virtual reality, thus proving its innovation beyond AI.

The factors that make Meta attractive are:

• Constant innovation and economic network effect.
• Growth potential in the areas of AI and online advertising.

Should you invest in Microsoft and Meta Platforms?

Although these two tech giants have impressive stock values, their innovations in artificial intelligence, strong competitive advantages, and vast growth opportunities make them well-considered choices for investors looking to buy and hold them. forever. For those who wish to invest for the long term, Microsoft and Meta Platforms offer remarkable potential.

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