Today, there are quite a few companies engaged in developments in the field of artificial intelligence (AI) on the financial market. Some companies regulate their activities as related to this area, but in reality only a small percentage of such assets are available for purchase.
Today, the development of AI intelligence is still not enough to classify it as one of the spheres of the world economy. However, technologies are already widespread and are actively used in medicine, education, automotive and mechanical engineering, as well as in industry and finance. Literally in 10 years, changes in these and other areas are inevitable.
According to analysts' forecasts, by 2030, artificial intelligence will add almost $15.7 trillion to the global GDP, which is 14% of the current figure in percentage terms. The maximum contribution will be provided by China - about 7 trillion dollars and America-up to 3.6 trillion.
Contrary to the opinion of the majority, GDP growth will not lead to an increase in costs, but in most areas of activity it will reduce them, as well as free people from any routine tasks, which will allow them to focus on added value, creativity or strategy. Perhaps the only negative aspect in this case is the loss of jobs by those who previously performed this routine work.
Next, for example, let's consider several companies that successfully conduct their activities in the field of AI development and implementation.
Palo Alto
Let's start our review with Palo Alto Networks, one of America's leading developers in the field of network security. The company has organized a platform that functions through advanced firewalls and cloud applications designed to protect network attacks by hackers. The main task is to ensure the round-the-clock security of customer data and the protection of the network based on the help of AI.
It is the latter factor that allows you to predict possible threats, and the platform can instantly respond to them. The AI developed by this company is capable of self-learning, which significantly increases the level of protection of the system, blocking threats. In the process, self-learning takes place, which allows you to prevent and even predict the probability of hacker attacks in the future.
It is the efficiency of the platform that has become the basis for a systematic increase in the company's revenue. For the 3rd quarter of this year, this indicator increased by 24% compared to the same reporting period last year. In monetary terms, it amounted to just over $3 billion. Against the background of income, there is a noticeable increase in the expenditure part. In its net form, the issuer's loss amounted to 380 million, whereas a year ago this figure varied within 210 million.
The company's losses are fully explained by current purchases and non-monetary expenses. In accordance with non-GAAP indicators, the issuer's net profit for the reporting period amounted to $452 million. After the last financial report, management raised its forecast and expects revenue of 4.2 billion by the end of the year, which is 23% more than the previous reporting year.
Today, the price-to-sales ratio is about 10 units, which encourages shareholders to further acquire assets that are currently considered a profitable investment. In addition, it should be said that the sales coefficient has remained unchanged for a long time. Against the background of increased demand for security in the network, the growth of the issuer's profitability will only increase.
UiPath Inc
Another company notable for its success in the field of the artificial intelligence industry. The company is engaged in software development, specializes in robotic automation of RPA processes. The main component of the work is AI. All interaction is carried out through the operation of an integrated platform for automating robotic processes. The platform's work is based on innovative RPA solutions and AI capabilities.
Despite the promising developments and high demand for them, the company's shares made an unexpected drop in price, and then froze sideways. Is there a reason why they should be bought now?
Experts recommend taking a risk, especially since recently the company's activities have been in full view and have become much more active. Not so long ago, the company announced a cooperation with Smartsheet, which, according to analysts, will only benefit both companies. For UiPath Inc, this will allow you to automate workflows. This shows how much the company cares about its own consumers, quickly adapting to changing requirements.
Today, UiPath Inc is considered one of the largest communities in the world, since the number of its regular customers is more than 1.4 million. In addition, the company started the financial year as strongly as possible, completing the first quarter with a profitable and interesting report. For example, the revenue for the specified period of time amounted to 186.2 million rubles, which is 65% more than for the same period of time last year.
Twilio
Twilio was created to combine phones, computers, tablets and other gadgets belonging to the customer company into a single, comfortable business network. The main field of activity is the creation of cloud-based application programming interfaces, using which developers can embed video, audio and other files into their products.
The scale of the client profile is approaching the mark of 150 thousand companies, among which it is worth noting such business giants as Uber, Morgan Stanley, Lyft. If we talk about the last of them, it uses Twilio to manage the support center, and Twitter – for voice communication.
It is too early to talk about the profitability of this business, since the company is still quite young. At the same time, the size of the market capitalization has already reached $52 billion. The company's list of clients includes quite large and well-known concerns that need innovations, so the amount of revenue will constantly grow.
According to forecasts, earnings per share will grow by 230% during the current year, and by the end of the year, EBITDA will increase by 131%, Total revenue will grow by 35%.
Taking into account the high indicators of the current and previous years, as well as the increasing demand of the artificial intelligence market, the company's assets are quite attractive from the point of view of investment. Experts still recommend entering the market on a decline and waiting for tangible results for at least 5 years.
Alteryx
This platform gives users the opportunity to perform various actions with any data – to profile, prepare, mix, analyze, etc. After that, any authorized users can use the information.
The list of consumer companies includes such large ones as Coca-Cola, Walmart, Amway, etc. For example, COVID-19 research is currently being conducted in Castor medical laboratories. An equally interesting fact is the savings of Amway in the annual amount of $80,000 due to the use of Alteryx technologies.
For future reporting periods, the earnings per share indicator is projected to decrease by 5%, but by the end of the year it should grow by 28%. The indicator of the median analytical target as of 12 months is 13% higher and amounts to $149. Experts recommend buying shares of the company for a long-term period.
Every year, AI penetrates more and more into people's lives, and the successes of the sphere become as noticeable as possible. What was associated with these technologies 10 years ago resembled the dreams and predictions of science fiction writers. However, today many things have become our reality.
In conclusion, it is worth noting that the companies we are discussing today are working in different areas of IT science. AI is by no means their main focus. When planning to invest in AI, try to choose the optimal investment portfolio from the assets of several enterprises.