OpenAI’s Sam Altman Says an IPO Won’t Happen This Year. Should This Make You Cautious About AI Stocks, or Is It Time to Pile Into Certain AI Bargains?
Investors were expecting an OpenAI IPO this year.
Overview
In the investing world, all eyes have been on artificial intelligence (AI) stocks in recent years. These companies offer the potential to revolutionize business across industries, supercharge innovation, and more. And this has resulted in explosive earnings growth for some and the promise of additional earnings power on the horizon.
Against this backdrop, investors have piled into AI stocks and have also been on the lookout for any new AI investing opportunities in the form of initial public offerings. Chip designer Cerebras Systems and space and AI company Space Exploration Technologies each launched operations this year and saw their share prices soar in the early days of trading.
Details
And in recent months, investors have been particularly excited about the future IPOs of AI labs OpenAI and Anthropic. Both of these companies filed confidentially with regulators, suggesting an operation would be upcoming. But last week, amid general concerns about rapid AI progress and the subject of safety, OpenAI said its IPO wouldn't happen this year. Is this a signal to avoid AI stocks -- or should you rush to get in on certain AI bargains? Let's find out.
Source
Originally published at www.fool.com.