Prediction: Buying This Artificial Intelligence (AI) Stock Will Set You Up for Life (And It's Not Palantir)

Palantir Technologies stock has been on a monster run since going public in 2020, with shares up close to 1,000%. I am here to tell you the stock is now overvalued. Shares of Palantir currently trade at a trailing price-to-sales (P/S) ratio of 79. No matter how fast the company grows its artificial intelligence (AI) services, the stock will take decades to catch up to this extreme valuation.If not Palantir, which AI stocks are set up for success over the next few years? One of my top choices is Taiwan Semiconductor Manufacturing (NYSE: TSM). Known simply as TSMC, the manufacturer of computer chips can help set investors up for life who buy today. Here's why.The leading AI chipmaker is Nvidia, with over $100 billion in annual revenue in 2024. However, Nvidia doesn't make its own computer chips. It leaves the dirty work to TSMC, which is a third-party provider of manufacturing and assembly for semiconductors, and the leading player in this space by a wide margin. Without TSMC, Nvidia would not be able to sell its advanced AI chips at its current scale.Continue readingWeiter zum vollständigen Artikel bei MotleyFool Weiter zum vollständigen Artikel bei MotleyFool