We recently published a list of 10 Buzzing AI Stocks on Latest News and Ratings. In this article, we are going to take a look at where AppLovin Corporation (NASDAQ:APP) stands against other buzzing AI stocks on latest news and ratings.
Predictions of artificial intelligence reaching human-level intelligence have been made for over 50 years. Regardless, the quest to achieve it continues even today, with almost everyone working in the AI field being too focused on achieving it. According to Sam Altman, CEO of OpenAI, reaching AGI isn’t a milestone we can define by a particular date.
“I think we’re like in this period where it’s going to feel very blurry for a while. People will wonder if is this AGI yet, or is this not AGI, or it’s just going to be this smooth exponential. And probably most people looking back in history won’t agree when that milestone was hit. And we’ll just realize it was like a silly thing”.
In the latest innovations in artificial intelligence, new research has revealed how the upcoming AIs are capable of human deceit. Joint experiments conducted by AI Company Anthropic and the nonprofit Redwood Research reveal how Anthropic’s model, Claude is capable of strategically misleading its creators during the training process in order to avoid being modified. According to Evan Hubinger, a safety researcher at Anthropic, this will make it harder for scientists to align “AI systems” to human values.
“This implies that our existing training processes don’t prevent models from pretending to be aligned”.
Researchers have also found evidence that as AIs become more powerful, their capability to deceive their human creators also increases. Consequently, it means scientists would be less confident about the effectiveness of their alignment techniques as AI becomes more advanced.
A similar research conducted by AI safety organization Apollo Research revealed how OpenAI’s latest model, o1, also intentionally deceived its testers during an experiment. The test required the model to achieve its goal at all costs, where it lied when it believed that telling the truth would ultimately lead to its deactivation.
“There has been this long-hypothesized failure mode, which is that you’ll run your training process, and all the outputs will look good to you, but the model is plotting against you. The paper, Greenblatt says, “makes a pretty big step towards demonstrating what that failure mode could look like and how it could emerge naturally”.
For this article, we selected AI stocks by going through news articles, stock analysis, and press releases. These stocks are also popular among hedge funds.
Why are we interested in the stocks that hedge funds pile into? The reason is simple: our research has shown that we can outperform the market by imitating the top stock picks of the best hedge funds. Our quarterly newsletter’s strategy selects 14 small-cap and large-cap stocks every quarter and has returned 275% since May 2014, beating its benchmark by 150 percentage points (see more details here).
AppLovin (APP) Gets Buy Rating from Jefferies with $400 Target, Highlighting AI-Driven Growth
A close-up of a mobile device, showing an advertiser reaching out to a consumer via a software-based platform.
AppLovin Corporation (NASDAQ:APP) operates a leading marketing platform powered by AI technology. On December 17, James Heaney CFA from Jefferies issued a “Buy” rating on AppLovin with a price target of $400.00. Several factors have led to the buy rating, predominantly the company’s market position, and growth potential. The advertising and marketing technology company has demonstrated significant effectiveness across various marketing channels, as evidenced by the company’s ability to secure a significant portion of advertising budgets that largely stem from high spenders. In particular, the company’s share of e-commerce revenue is growing, with its performance nearing that of industry giants such as Google. This revenue is significantly driven by Applovin’s AI-powered technologies, which the company uses for analyzing consumer revenue, enhancing ad relevance, and even boosting e-commerce outcomes.
Furthermore, the analyst has also pointed out significant improvements in the company’s innovative marketing strategies, such as the use of Halo Effects. This has allowed the company to attribute consumer interest back to initial advertisements, boosting brand awareness. The company did experience a slight dip in key shopping events like Black Friday and Cyber Monday, but its absolute spend increased, reflecting strong confidence from top brands. The company also plans to expand its e-commerce platform to more advertisers, with the company’s AI targeting model expected to continue refining its effectiveness.
Overall, APP ranks 7th on our list of buzzing AI stocks on latest news and ratings. While we acknowledge the potential of APP as an investment, our conviction lies in the belief that some AI stocks hold greater promise for delivering higher returns and doing so within a shorter time frame. If you are looking for an AI stock that is more promising than APP but that trades at less than 5 times its earnings, check out our report about the cheapest AI stock.
