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RBLX opinion: 2 Artificial Intelligence (AI) Stocks That Could Go Parabolic

Matt Frankel, The Motley Fool
Sat, Feb 24, 2024
https://finance.yahoo.com/news/2-artificial-intelligence-ai-stocks-123300241.html

Artificial intelligence (AI) is an exciting investment trend right now. Generative AI is forecast to become a trillion-dollar market within the next decade, and this will create a lot of investment opportunities along the way.

Some of these investment opportunities are rather obvious, and some have already had parabolic moves, such as Nvidia, which was catapulted into the trillion-dollar club by the AI boom. But others are less obvious plays on AI technology. Here are two I'm loading up on in my own portfolio.

The evolution of AI could boost this metaverse stock

Popular video gaming platform Roblox (NYSE: RBLX) is perhaps the closest thing that exists to a true metaverse experience today. The platform has more than 71 million daily active users who sign up for the platform, create avatars, and explore the experiences available, and millions of developers create (and monetize) unique content.

Roblox gets a cut of all virtual purchases and has some other revenue streams, such as advertising. In 2023, Roblox produced $2.8 billion in revenue.

The platform continues to grow rapidly, with 30% year-over-year revenue growth in the fourth quarter. Management has a long-term goal to scale to 1 billion users and is doing a great job of growing internationally and making its platform available in different ways -- for example, Roblox just became available on Sony PlayStation in the fourth quarter. As more immersive devices become widely adopted, such as those made by Meta Platforms and Apple, Roblox could be a big winner.

Roblox isn't a profitable business just yet, but it is clearly heading in that direction. If it can continue to scale rapidly while achieving profitability, it could be a big winner for investors.
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Sofi is the other one - Not interested in the info on that : Available on link