AI Tech Stocks Overvalued as Market Risks Production Boom by 2024

The article discusses the potential overvaluation of artificial intelligence (AI) tech stocks due to the anticipated surge in AI production by 2024. Key points include: 1) AI stocks have soared, with the Nasdaq AI Index up over 30% year-to-date, driven by the AI hype and ChatGPT’s success. 2) However, analysts warn that the AI boom could lead to oversupply and a market correction, as companies rush to capitalize on the trend. 3) The AI production boom is expected to hit by 2024, with major tech giants like Google, Microsoft, and Amazon ramping up AI offerings. 4) This could lead to a glut of AI products and services, causing prices and profit margins to plummet. 5) Investors are advised to be cautious and selective when investing in AI stocks, as the market may be overheating and overvaluing these companies. 6) Analysts recommend focusing on established AI leaders with diverse revenue streams and strong fundamentals.

Source: https://markets.businessinsider.com/news/stocks/ai-tech-stocks-artificial-intelligence-overvalued-market-risk-production-boom-2024-8