Oracle and C3.ai Positioned as Cheaper Plays on AI Boom Compared to Premium-Valued Nvidia
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Oracle's infrastructure is positioned as a leader for generative AI and is expanding rapidly to meet demand. Stock trades at reasonable P/E ratio.
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C3.ai was the first provider of enterprise AI services and offers 40+ applications for businesses. Revenue growth reaccelerating after business model transition.
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Nvidia is the poster child for AI but trades at a substantial premium, and faces supply constraints limiting growth.
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Corporate demand for AI software scaling quickly as evidenced by C3.ai's 81% increase in customer engagements.
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Both Oracle and C3.ai are cheaper plays on the AI boom than Nvidia based on valuation metrics like P/S and P/E ratios.