The influence of artificial intelligence (AI) on the investment landscape has been impossible to overlook in recent times. With extensive global coverage highlighting its transformative impact across various industries and predictions indicating exponential market growth in the coming years, investors have been flocking to AI stocks. Some of these stocks have experienced such rapid price appreciation that experts now caution about the possibility of an AI bubble.

One stock that exemplifies the AI-driven surge on Wall Street is semiconductor designer Nvidia (NASDAQ:NVDA), which has seen its value more than triple over the past year. While analysts remain bullish on NVDA stock, believing it still has significant upside potential, the AI revolution extends beyond specialized chips. Daniel Newman, Principal Analyst at Futurum Group, recently shared with MarketWatch the names he expects to benefit from the next wave of AI adoption.

For investors seeking the next Nvidia, here are seven stocks poised to capitalize on the expanding reach of AI.

1. Salesforce (NYSE:CRM)

Known for its customer relationship management solutions, Salesforce provides cloud-based CRM software and applications focusing on sales, customer service, marketing automation, e-commerce, analytics, and application development. With a market cap of $296.1 billion, Salesforce stock has risen by 71% over the past year.

Analysts are cautiously optimistic about Salesforce stock, with a consensus rating of “Moderate Buy” and a mean target price of $322.83, suggesting a potential upside of about 5.4%.

2. ServiceNow (NYSE:NOW)

Founded in 2003, ServiceNow offers a cloud-based platform for managing digital workflows across various enterprise operations. Its “Now Platform” enables low-code development and customization of workflows, including IT service management, customer service management, human resources service delivery, and security operations. ServiceNow boasts a market cap of $155.3 billion, with its stock rallying 76% over the past year.

Analysts are bullish on ServiceNow stock, rating it a “Strong Buy” with a mean target price of $783.77, indicating a potential upside of approximately 3.8%.

3. Oracle (NYSE:ORCL)

A longstanding player in the cloud industry, Oracle develops and sells enterprise software products and cloud services, specializing in relational databases, cloud-based applications for ERP, CRM, and SCM, and ownership of the Java programming language. With a market cap of $309 billion, Oracle stock has climbed by 33.4% over the past year.

Analysts are positive on Oracle stock, with an average rating of “Moderate Buy” and a mean target price of $125.40, suggesting an upside potential of around 10%.

4. Workday (NASDAQ:WDAY)

Established in 2005, Workday offers a cloud-based enterprise management platform integrating HCM, FDM, and analytics. Its HCM offerings include human resources, payroll, benefits, talent management, and workforce planning, while FDM solutions cover accounting, financial planning & analysis, ERP, and procurement. Workday commands a market cap of $69.5 billion, with its share price up by 45.8% over the past year.

Analysts are bullish on Workday stock, rating it a “Moderate Buy” with a mean target price of $300.97, indicating a potential upside of approximately 13%.

5. IBM (NYSE:IBM)

International Business Machines (IBM), founded in 1911, has transitioned its focus from hardware manufacturing to cloud computing, enterprise services, AI, and quantum computing. With a market cap of $179.6 billion, IBM stock has surged by 59% over the past year, offering a dividend yield of 3.39%.

Analysts rate IBM stock a “Hold,” with a mean target price of $181.54, slightly below IBM’s current price. However, the high target price of $215 implies a potential upside of 12.1%.

6. Dell (NYSE:DELL)

Founded in 1984, Dell has evolved from selling customized personal computers to offering hardware, data center servers, IT services, and consulting. With a market cap of $82.7 billion, Dell stock has soared by 214% over the past year, with a dividend yield of 1.3%.

Analysts view Dell stock as a “Strong Buy,” although it trades above the mean target price of $111.40. The high target price of $140 suggests an upside potential of approximately 20.9%.

7. Snowflake (NYSE:SNOW)

Established in 2012, Snowflake provides a cloud-based data storage and analytics platform, known as “data-as-a-service.” Its unique architecture allows for elastic scaling and cost optimization, with a market cap of $53.5 billion. Snowflake stock has risen by 18.8% over the past year.

Analysts are cautiously optimistic about Snowflake stock, rating it a “Moderate Buy” with a mean target price of $205.39, indicating a potential upside of about 26.5%.

In conclusion, these seven stocks represent alternative investment options for those looking to ride the next wave of AI expansion beyond Nvidia.

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