Move Over "Magnificent Seven:" 3 AI Stocks That Could Outperform in 2024

In 2023, the major story wasn't recession or inflation; it was the buildup of artificial intelligence (AI) and big tech stocks. It spawned the idea of the "Magnificent Seven," a group of mega-cap tech stocks that includes Alphabet, Amazon, Apple, Meta Platforms, , Nvidia, and Tesla. These stocks have rallied an average of 125% since the beginning of 2023. Nvidia leads the way with a 322% gain, but others look overvalued. For example, Microsoft trades with a price-to-earnings (P/E) ratio of 39 compared to its five-year and 10-year average of 31. Savvy investors are looking elsewhere for the next big gainers in AI, and there are plenty of compelling options. Here are three to consider.

Imagine how much your productivity would increase if you could automate your most tedious, time-consuming office tasks. Now imagine how much a whole company's productivity would leap by having employees focused on value-added, higher-level business. This is what robotic process automation (RPA) with UiPath (NYSE: PATH) is all about.

For example, in one UiPath case study, a large manufacturer with thousands of vendors submitting tens of thousands of invoices was able to cut processing time from 7-10 days, to just one day. Meanwhile, the growing company handled a volume increase of 150% with a staff increase of just 5%. The profitability ramifications for the company are apparent and staggering; it's likely UiPath's products will be in demand.

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Source Fool.com