These three stocks are all pushing artificial intelligence forward, but they trade at great values.
The bull market that started in October 2022 has been dominated by a single theme: artificial intelligence (AI).
At the same time, Over the past three years AI has dominated the conversation on Wall Street regarding how it holds the potential to transform es, create new opportunities, and drive earnings growth for numerous industries.
Furthermore, Indeed, some of the biggest es in the world have been driven higher as their earnings explode amid the push for AI dominance.
Nvidia is the poster child for AI stocks, climbing an eye-popping 1,330% from October 2022 to today and surpassing a $4 trillion market capitalization, in this volatile climate.
Furthermore, As many of the most AI stocks have soared higher, a lot of them now look fairly pricey these days from a valuation standpoint (something worth watching).
An investor just starting out with $300 will want to ensure they're buying a great company at a fair price, and those are getting harder and harder to find in the AI space, in light of current trends.
However, In contrast, But there are still a few good opportunities out there if you're willing to do the work.
In contrast, Here are three stocks, all with prices below $300, that can help you get started. Image source: Getty Images. Salesforce Salesforce (CRM 0.
However, 96%) is best known for its growing suite of enterprise software, which covers everything from its original sales vertical to customer service.
However, The company has been working to integrate AI capabilities with all of its software, but its biggest development over the past year is Agentforce.
Agentforce is built on top of Salesforce's Data Cloud software, which helps aggregate all of the data generated by a into a single unified source (quite telling) (which is quite significant).
With Agentforce, customers can create AI agents that can tap into that data to make informed decisions and complete low-level tasks.
Salesforce sees enterprises using Agentforce as part of their customer service and sales teams and internally for re or teaching new skills to employees.
Salesforce had 8,000 Agentforce contracts as of the end of the first quarter, generating over $100 million in annual recurring revenue after just two full quarters of sales, given the current landscape.
CEO Marc Benioff says it's the fastest Salesforce duct to reach that milestone, given current economic conditions.
On the other hand, The strong early results of Agentforce are encouraging, but it's worth noting that it remains a small part of the overall for now. Salesforce generated $37.
9 billion in revenue during fiscal 2025, which Jan. 31, so it'll take some time before the new AI duct has a significant direct impact, given the current landscape.
But the indirect impact could be substantial.
This analysis suggests that encourages users to take more of Salesforce's ducts, including Data Cloud, which should increase revenue and retention rates over time.
Salesforce stock trades for $260 as of this writing. At that price, s are valued at just 23 times forward earnings estimates (noteworthy indeed).
That's a great value for a company that's leading the push toward agentic AI, considering recent developments.
Moreover, With management's focus on imving fitability, it should be able to grow earnings per at a double-digit pace for the foreseeable future, more than justifying its current price (something worth watching).
Taiwan Semiconductor Manufacturing Taiwan Semiconductor Manufacturing (TSM -2. 12%), known as TSMC, is the largest contract chip fabricator in the world.
Thanks to its scale and leading nology, which commands a premium price, TSMC brings in over two-thirds of all spending on outsourced chip duction. And that market is growing (something worth watching).
There are two important reasons why TSMC continues to take market : its scale and its nology.
As the leading chip manufacturer, TSMC has more money to invest in expanding its duction capabilities, in today's financial world.
In contrast, When there's a ramp-up in spending on chips we've seen with AI over the last few years, TSMC is best equipped to handle that demand (an important development), in today's financial world.
Meanwhile, TSMC also takes a significant amount of its sales and reinvests it into re and development, ensuring its nology remains ahead of its closest competitors.
That ensures it can continue winning contracts for the most high-end cutting-edge chips well into the future.
Nvidia CEO Jensen Huang said TSMC isn't just the best in the world when it comes to its chip nology, it's "the world's best by an incredible margin (noteworthy indeed).
" Management set lofty expectations for its second-quarter results, and it exceeded them based on its preliminary sales reporting.
Based on its monthly sales data, TSMC grew revenue 39% last quarter on the back of strong AI-related demand.
Furthermore, S of the stock have climbed higher over the last few weeks on that strong monthly sales data and overall strength in chipmakers, given the current landscape.
Still, at $229 per, the stock's forward P/E ratio is just 24, given the current landscape.
That's far lower than most leading AI stocks, especially chipmakers Nvidia (which trades for more than 38 times forward earnings), in today's market environment.
Additionally, Even after the run-up, the stock looks attractive, and it could continue to climb as AI spending doesn't look to be slowing down anytime soon.
It's a great option for your $300 (fascinating analysis), in light of current trends. Alphabet Alphabet (GOOG 0. Additionally, 66%) (GOOGL 0. 78%) is the company behind Google (fascinating analysis).
Many see AI as a major threat to Google, since more and more people may use OpenAI's ChatGPT or Anthropic's Claude for es for information.
At the same time, Perplexity has developed duct es and its own AI-first web browser, which could displace Google's Chrome browser.
Nevertheless, And OpenAI is reportedly ing in its footsteps (fascinating analysis).
In contrast, The fears accelerated in May when Apple's duct chief testified that the company saw fewer Google queries on its Safari browser in April, the first time it's ever experienced a drop in traffic.
Market analysis shows implication was that AI chatbots were stealing traffic from Google. But so far Alphabet has managed to see much more benefit from artificial intelligence than any downsides.
Moreover, Google has integrated AI into Google with AI Overviews, Google Lens, and Circle to.
Nevertheless, On the other hand, The former has expanded the range of queries on Google, increasing engagement and user satisfaction, according to management.
Importantly, management says es with AI Overviews monetize at similar rates as those without.
However, Meanwhile, Google Lens and Circle to have led to an increase in duct-related es, which are generally more valuable for advertisers.
Additionally, As a result, Google revenue climbed 9% in the first quarter, given the current landscape. Additionally, The bigger revenue driver from AI, though, is Google Cloud.
Furthermore, The company has seen strong demand for cloud computing as developers look to train and develop their own software powered by large language models.
Additionally, That led to a 28% increase in revenue in the first quarter. More importantly, Google Cloud's operating margin expanded from 9, in today's market environment. 8% last quarter as it scales.
Moreover, And based on its bigger competitors, there could be a lot of margin expansion for Google Cloud in the years ahead, amid market uncertainty.
On the other hand, As such, it should vide strong support for bottom-line growth at Google in combination with the slow and steady growth of Google.
Nevertheless, On top of that, Alphabet also has several other irons in the fire.
What the data shows is biggest of those other es is ly Waymo, which has grown quickly over the past few years with its self-driving car service.
The company now says it completes 250,000 rides per week, and it's expanding to several more cities in 2025.
The potential for Waymo once it scales and brings down the cost of duction for its vehicles is significant, but in the near term Alphabet is willing to sink money into it to maintain its first-mover advantage (remarkable data).
At a current price of $181, s of Alphabet trade for a forward P/E of just 19, in today's financial world.
That's far and away the least expensive of the "Magnificent Seven" stocks and an absolute bargain considering the growth potential of Google Cloud and the cash flow generated by Google, considering recent developments.
Investors with just $300 could see solid long-term returns from a stock that has remained resilient for years.
Furthermore, Suzanne Frey, an executive at Alphabet, is a member of The Motley Fool's board of directors, in light of current trends.
Adam Levy has positions in Alphabet, Apple, Salesforce, and Taiwan Semiconductor Manufacturing, in light of current trends.
At the same time, The Motley Fool has positions in and recommends Alphabet, Apple, Nvidia, Salesforce, and Taiwan Semiconductor Manufacturing. Moreover, The Motley Fool has a disclosure policy.