As technology advances, more and more specific areas are appearing within the sector, specialized in specific tasks, such as data analysis, artificial intelligence (AI) and machine learning. The last category, by the way, is completely indispensable for our technological development and the simplification of complex tasks. There are companies doing incredible work within machine learning and have a growth worthy of respect. Here are three multibagger machine learning stocks worth considering for your portfolio.
Palantir Technologies (PLTR)
Palantir Technologies (NYSE:PLTR) is like the behind-the-scenes brains of the AI, machine learning and data analytics world. In Q3 2023, it rocked the charts with a net income of $72 million, marking its fourth consecutive profitable quarter. The company’s commercial revenue, especially in the U.S., soared 23% to $251 million, and its government revenue grew 12% to $308 million. The number of customers increased by 34% overall and by 37% in the U.S. commercial segment.
But it’s not just about numbers. The company earned a gold star in Dresner Advisory Services’ 2023 AI, Data Science, and Machine Learning Wisdom of Crowds Market Study. PLTR received accolades for its analytical prowess, model performance and ease of use.
And guess what? The U.S. Army sees Palantir as a secret weapon. The military awarded the company a contract worth up to $250 million to dive into the world of AI and machine learning. It’s as if Palantir is the military’s technological superhero ally, helping it predict maintenance needs and deploy a sleek new system, Global Force Information Management, to keep everything under control.
With its financial success, industry recognition and role in national defense, Palantir Technologies isn’t just a stock, it’s the underdog hero you want on your team.
Snowflake (NYSE:SNOW) is a data cloud powerhouse changing the way organizations manage their data. In the second quarter of fiscal 2024, it reported stellar financial results, with revenue of $674.0 million, a remarkable 36% year-over-year growth. With 402 clients reaching over $1 million in revenue and 639 Forbes Global 2000 clients, Snowflake’s client base soars, reflecting year-over-year growth of 62% and 17%, respectively.
What makes the company stand out is Snowflake Cortex, a fully managed service that changes the rules of the game and makes generative AI available to everyone, regardless of technical expertise. That innovation allows teams to dive into serverless functions and industry-leading language models, accelerating analytics and enabling the rapid creation of AI applications within the Data Cloud. It’s about democratizing the power of AI for everyone.
But Snowflake isn’t stopping there. At the Snowday 2023 event, SNOW presented enhancements that simplify machine learning model development and complete application creations in the Data Cloud. With a focus on Python capabilities through Snowpark, the company isn’t limiting itself to data; it is empowering developers to create, collaborate and accelerate end-to-end AI and ML workflows.
Micron Technology (NASDAQ:MU) is a leading technology company that excels in developing memory solutions for a wide range of electronic devices. Its primary focus is innovation in storage technologies, especially DRAM and NAND Flash, essential for computers, servers and mobile devices. The company is considered a machine learning stock with the potential to deliver significant returns to investors due to its leadership in the memory industry and its constant innovation.
As for fiscal Q4 2023 results, the company reported revenue of $4.01 billion, with improvements in operating cash flow. For the full fiscal year, revenue reached $15.54 billion, although a GAAP net loss was reported. Despite this, operating cash flow was solid, totaling $1.56 billion.
Micron has excelled with technology breakthroughs, such as its 128 GB DDR5 RDIMM memory, designed for critical applications in data center and cloud environments. Micron’s 1β technology has demonstrated improvements in bit density, power efficiency, latency and AI performance compared to competitors.
In addition, the collaboration with Qualcomm Technologies (NASDAQ:QCOM) highlights Micron’s role in developing low-power LPDDR5X memory for mobile devices. That collaboration seeks to drive performance and power efficiency in mobile devices, which is essential for unlocking breakthrough AI technologies at the edge of these devices.
As of this writing, Gabriel Osorio-Mazzilli did not hold (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.