Tuning Out Market Volatility: AI Stocks That Could Dominate the Next Decade

Market jitters are back, shaking up investor confidence. With economic policy uncertainties and geopolitical tensions mounting, stocks have been struggling to maintain their momentum. The S&P 500 has flirted with correction territory, while the Nasdaq Composite is still down about 12% from its peak. But for investors who look beyond the short-term turbulence, artificial intelligence (AI) could be the game-changer that fuels long-term gains. Three stocks stand out as potential AI powerhouses over the next decade: Meta Platforms, Qualcomm, and Amazon.

Meta Platforms: AI Leadership Through Open-Source Strategy

Meta’s bold move to open-source its AI model, Llama, is setting the company apart in the AI race. Unlike many competitors trying to monetize AI early, Meta has focused on widespread adoption first. The results speak for themselves—Llama has now surpassed a billion downloads worldwide. The strategy echoes Meta’s playbook from its social media dominance: capture market share first, then find ways to monetize.

One sentence stands out from Meta’s recent earnings call: $60 billion to $65 billion will be spent this year, primarily on AI. That level of investment is a clear sign of intent. Meta’s advertising business—powered by Facebook, Instagram, WhatsApp, and Threads—is thriving, generating the cash needed to fund its AI ambitions.

The stock is down about 18% from its recent highs, bringing its price-to-earnings (P/E) ratio to roughly 25. With analysts expecting 17% annual earnings growth, investors have a chance to buy into a company that is shaping up to be a long-term AI leader.

Qualcomm: The AI Chipmaker Poised for a Breakout

For years, Qualcomm’s stock has been stuck in a rut, unable to break free from its range-bound trading. But that could be changing. The company’s AI-powered Snapdragon 8 Gen 3 chip is helping reignite revenue growth, and demand for AI-enabled smartphones could be the catalyst it needs.

• AI processing on mobile devices is growing, reducing reliance on cloud computing.
• Qualcomm’s expansion into automotive chips is starting to show real traction, with its automotive revenue surging 61% in the latest quarter.
• The company is also diversifying into Internet of Things (IoT) applications and mobile PCs.

With a market cap of $173 billion and a P/E ratio of just 17, Qualcomm looks undervalued compared to many of its semiconductor peers. As AI adoption continues, Qualcomm’s ability to integrate AI processing into a range of devices could make it a standout stock for the coming years.

Amazon: AI as Both a Revenue Driver and a Cost Cutter

Amazon is uniquely positioned to benefit from AI in two key ways: growing its cloud business and improving its own efficiency. The company has committed $100 billion to expanding Amazon Web Services (AWS), ensuring it remains the dominant cloud provider as enterprises ramp up their AI adoption.

Amazon is also developing its own AI infrastructure, including its Trainium chips and its $8 billion investment in AI startup Anthropic. But beyond external revenue, AI is helping Amazon optimize its own operations:

With a market cap of $2.1 trillion, Amazon’s AI investments could unlock significant value in the years ahead. Whether through its cloud dominance or operational improvements, AI is likely to fuel the company’s continued growth.