The revolution of Artificial Intelligence (AI) started more than two years ago with the Chatgpt debut in November 2022. Since then, the NasdaqComposite is more than 74%higher, while shares of Nvidia are advanced with a stunning 685%.
But just like all the revolutions, the AI revolution will have phases. It is clear that Nvidia, the world leader in graphic processing units (GPUs), dominated the first wave of AI. But what will come afterwards? Which shares can come to rule the second phase of AI?
Maybe the Second phase of the AI revolution shall See AI-based platforms are central. Here three Motley Fool -contributors reveal their stocks to look at: CrowdstrikeHoldings(Nasdaq: CRWD)” Alphabet(Nasdaq: Goog)And Apple(Nasdaq: AAPL).
Image source: Getty images.
Jake Lerch (Crowdstrike Holdings): My choice is Crowdstrike Holdings.
As AI systems continue to improve, one thing becomes clear: AI-driven tools will be much more powerful than existing systems. Moreover, these tools will be used for both ethical and unethical purposes.
In particular, cyber crime is already a huge problem. According to the FBI, cyber crime reached $ 12.3 billion in the US alone in 2023. As AI-driven models spread and become more powerful, it is unfortunately true that criminals will try to use them.
Consequently, organizations must fight fire with fire. That is where Crowdstrike enters. The AI-driven cyber security tools of the company are dynamically built to learn and adapt to threats as they appear.
Just as the era of the Personal Computer Firewalls and Antivirus software needed, the AI era needs dynamic, AI-drive cyber security to keep networks, end points and data safe.
Moreover, the new AI era will Average organizations will be More vulnerable than ever while they work in real time to centralize, sort and analyze their data. Simply put, that will make many organizations session Ducks for cyber criminals who – if they gained access – could do enormous damage by stealing data or making edits, or both.
All this offers a huge market opportunity for Crowdstrike. As a result, the turnover of the company doubled more than the turnover of the company from $ 1.6 billion to $ 3.7 billion. Looking ahead, estimates of analysts compiled by Yahoo! Finance predicts that by the end of the tax year 2026, Crowdstrike can generate $ 4.8 billion in income (the 12 months ending on January 31, 2026).
In other words, Crowdstrike is well positioned to scale with the growth of AI. That is why investors who want to record the next phase of the AI growth must take into account the shares of Crowdstrike.
Will Healy(Alphabet): In the race for AI leadership, investors seem to have written off the industrial pioneer Alphabet.
Indeed, many analysts and investors interviewed the market leadership of the Google parent after the functionality of OpenAi’s GPT-4O became known to the public. Some seemed to doubt the future of Google Search in the midst of AI preliminary output, and the release of the generative AI platform Google Gemini did not necessarily illuminate those worries.
However, the breakthrough of Deepseek could finally serve if the chance that Alphabet has to build up a competitive advantage, so that it is set up to bloom in this next phase of AI development. Lower AI should increase the use of the company’s AI services and products, which should predict well for the company, because it wants to succeed in this fast -growing industry.
To this end, alphabet is now gambling its enormous resources on a recovery. In 2025, the company promised to spend $ 75 billion in capital expenses (Capex), most of which will probably spend on AI-related expenses. Although some people can regard that as a sign of despair, competitors such as Amazon And Meta platforms have also spent comparable amounts on Capex.
Moreover, alphabet can probably afford this. In addition to its liquidity of $ 96 billion, the company generated almost $ 73 billion in free cash flow in 2024, which does not include Capex. The almost $ 53 billion that it spent it on Capex in 2024 also indicates that alphabet can still generate enormous free cash flows, even with that added investment.
Alphabet stock has risen by almost 25% in the past year. So although it did not perform as well as some peers, the stock remains in growth mode.
Finally, with a p/e ratio of 23 it is the cheapest shares in the “Magnificent Seven”. This means that the growth test can offer for growth return at a reasonable price, because it increases its competitive game in this new AI -Rijk.
Justin Pope (Apple): Artificial intelligence comes steadily in his next phase. While AI Hyperscalers continue to spend billions of dollars on chips and other hardware, the Focus will soon shift to AI platforms and applications that bring technology to consumers and companies. I think Apple will be a huge long -term winner here.
The company is famous for its sticky ecosystem, which includes the iPhone, portable accessories, tablets and computers. Thanks to software that seamlessly binding together, the user experience is buttery flexible. From earlier this year, Apple had around 2.35 billion active iOS devices worldwide. The enormous footprint gives Apple an inside track to catch the market share in the consumer -oriented AI.
You have already seen the earliest iteration in Apple Intelligence, a package of generative AI functions that Apple has introduced via software updates in its latest devices. So far, Apple Intelligence has reportedly not made a great first impression with iOS users. However, it is incredibly early. A complete rollout takes a few years, since iOS users upgrade to AI-compatible devices, allowing Apple to experiment and improve Apple Intelligence.
The shares act at a price-win ratio of more than 31, some of which claim to be expensive for a company trying to restore growth. Assuming, however, Apple succeeds in AI, the stock should be in order in the long term. Analysts estimate that Apple will grow the profit by an average of almost 14% per year in the next three to five years.
Unless a competitor comes up and eats in the huge user base of Apple, it seems appropriate to give the company the benefit of the doubt. Apple remains a world -class company that has generated almost $ 100 billion in free cash flow in the past four quarters alone. Until it is proven otherwise, Apple is on top of the Mountain of the consumer, which demonstrably is the most obvious consumer-oriented AI shares that you can buy and hold comfortably in the next five to 10 years.
Consider this: Before you buy shares in Crowdstrike:
The Motley Fool Stock Advisor Analyst team has just identified what they believe are the 10 best shares For investors to buy now … and Crowdstrike was not one of them. The 10 shares that made the cut can produce sample returns in the coming years.
Consider when Nvidia made this list on April 15, 2005 … If you have invested $ 1,000 at the time of our recommendation, You would have $ 850,946!**
Now it is worth mentioningInventorThe total average return is959%-A market-changing outperformance compared to178%For the S&P 500. Don’t miss the newest top 10 list.
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*Stock Advisor Return on February 7, 2025
John Mackey, former CEO of Whole Foods Market, a subsidiary of Amazon, is a member of the board of directors of the Motley Fool. Randi Zuckerberg, a former director of market development and spokeswoman for Facebook and Sister of Meta Platforms CEO Mark Zuckerberg, is a member of the Motley Fool’s Board of Directors. Suzanne Frey, a director of Alphabet, is a member of the board of directors of the Motley Fool. Jake Lerch has positions in Alphabet, Amazon, Crowdstrike and Nvidia. Justin Pope has no position in one of the aforementioned shares. Will Healy has positions in Crowdstrike. De Motley Fool has positions and recommends Alphabet, Amazon, Apple, Crowdstrike, Meta Platforms and Nvidia. The Motley Fool has a disclosure policy.
The 3 best shares to buy and keep for the next phase of the revolution of the Artificial Intelligence (AI) was originally published by The Motley Fool
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