The Motley Fool·2025-06-16 07:45Core Viewpoint - The first half of the year saw a turbulent stock market, particularly affecting growth-dependent sectors like artificial intelligence (AI), but recent progress in U.S. trade talks has improved market sentiment and AI spending remains strong [1][2]. AI Stocks to Buy - Nvidia: The company has seen over 800% growth in the past two years, dominating the AI chip market with record revenue and a commitment to innovation through a chip update calendar extending to 2028. Currently trading at 33 times forward earnings estimates, down from over 50 earlier this year [5][6][7]. - Amazon: As trade tensions ease, Amazon benefits from AI through operational efficiencies and its cloud unit, AWS, which has reached a $117 billion annual revenue run rate. The stock is currently valued at 34 times expected earnings, down from over 40 earlier this year [9][10]. - SoundHound AI: Despite a 50% drop in shares this year, the company has seen over 150% revenue growth in the latest quarter, driven by demand for its voice AI technology. The total addressable market for voice AI exceeds $140 billion, indicating significant growth potential [12][14]. - Palantir Technologies: The stock has surged over the past year, trading at over 200 times forward earnings estimates. The company has raised its revenue and cash flow guidance due to strong demand, particularly from commercial customers, making it a compelling growth stock [16][18]. - Apple: Despite concerns over tariffs affecting its production, Apple has a strong brand and a growing services revenue stream. The stock is trading at 27 times forward earnings estimates, positioning it as a strong buy ahead of the second half of the year [19][21].