Investors watched Nvidia grow from a $360 billion company to a $2 trillion powerhouse since the beginning of 2023, almost entirely on the back of its data center chips, which are designed for processing artificial intelligence (AI) workloads.

Many other stocks also caught the AI wave recently, including Advanced Micro Devices, , and Amazon. However, AI alone hasn't been enough to lift stocks like C3.ai, Lemonade, or Upstart from slumps of more than 80% from their all-time highs.

As in every technological revolution in the past, many AI companies won't survive, let alone rise to the heights Nvidia reached. The long-term winners and losers in the AI race aren't obvious right now, which means investors have to be comfortable with a high degree of risk when buying individual stocks.

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Source Fool.com