The use of Artificial Intelligence (AI) has become a prominent topic in the stock market in 2024, with the potential to streamline work processes and enhance business efficiencies. The applications of AI are vast and diverse.
While U.S. stocks have seen significant gains due to the excitement surrounding AI, Canada also has companies benefiting from this trend. For investors looking to allocate $3,000 into AI stocks, here are three options for long-term investment.
One promising AI stock in its early stages is Zedcor (TSXV:ZDC), with a market cap of $167 million. Zedcor specializes in mobile surveillance and security solutions, utilizing AI technology to detect and respond to intruders and alarms. The company’s cost-efficient monitoring program has garnered strong demand from various industries, positioning it well for future growth.
Another promising AI stock is Propel Holdings (TSX:PRL), a mid-cap financial company that has experienced significant growth in 2024. Propel provides loans to non-prime consumers in the U.S. and Canada using an AI-driven underwriting platform. With a market cap of $885 million, Propel’s strong performance could lead to it transitioning into a mid-cap company soon.
For investors interested in a larger cap AI stock, Thomson Reuters (TSX:TRI) offers exposure to AI in the legal, accounting, and government sectors. The company is integrating AI across its platform to help users efficiently access research, data, and insights. With a strong track record of delivering returns and a focus on AI and data infrastructure, Thomson Reuters remains a solid choice for long-term shareholders.
