Lizhi (NASDAQ:LIZI) is rising today after announcing progress regarding its implementation of artificial intelligence (AI) technology. A microcap penny stock that garners little media attention, Lizhi has been highly volatile since the new year began. But LIZI stock began the day by shooting up after the company reported significant progress regarding its use of AI tech.
Lizhi isn’t just leveraging AI tools to boost its products; it is using them to successfully drive business growth. More than that, it is showing investors why it’s well-positioned to keep rising as enthusiasm for AI stocks continues growing.
Will Lizhi be among the new generation of AI boom winners? Let’s take a look at the company and what investors can expect in 2023.
What’s Happening with LIZI Stock
As markets opened today, LIZI stock surged, rising 15% in the first hour of trading. Since then, it has lost some momentum. But despite suffering a slight dip, it remains firmly in the green. As of this writing, it is up 14% for the day and looks poised to start rising again. While LIZI has been highly volatile throughout recent months, it is still up an impressive 91% year-to-date (YTD).
Lizhi is best known for its “audio-based social ecosystem,” which has achieved a global presence of late. The company offers multiple product portfolios aimed at catering to users’ social media and audio-entertainment interests. Now it is incorporating voice technology powered by AI into its audio and video streaming services. Per a statement released by the company:
“Incorporating AI and voice technology into the Company’s platforms also supports the continued innovation of LIZHI’s audio products and improvements to the user experience. At the same time, LIZHI will continue to conduct in-depth research on AI-generated content (AIGC) and language processing technologies (such as OpenAI’s ChatGPT) in order to explore the application and expansion of these groundbreaking technologies in LIZHI products.”
Many experts are touting large cap companies as the best AI stocks to buy. But if the company continues scaling operations in this way, LIZI stock could easily be among the winners of the market’s new boom. Investors should be watching carefully as the AI gold rush creates new opportunities for previously unknown companies.
On the date of publication, Samuel O’Brient did not have (either directly or indirectly) any positions in the securities mentioned in this article. The opinions expressed in this article are those of the writer, subject to the InvestorPlace.com Publishing Guidelines.