AI Stocks Having Long Term Growth Potential

Team Veye | 04-Sep-2025 AI Stocks

With AI now being the best area of growth globally, the key stocks that could turn out to be in strong demand are

Micron Technology Inc (NASDAQ: MU)

Is one of the global leaders in memory and storage solutions. it makes DRAM NAND and also NOR under the Micron and Crucial brands. In Q3 FY2025 ending May 29 2025 the company posted revenue of $9.3 billion which was much higher than $6.8 billion in Q3 FY2024 and this jump mainly came from DRAM sales of $7.1b. Net income also jumped strong to $1.9 billion With Diluted EPS being $1.68 and net income was $332 million same time last year which is a staggering improvement and for the first 9 months of FY2025 total revenue stood at $26.1 billion and net income at $5.3 billion showing big demand comeback from ai, data centers and pc markets. Micron made $11.8 billion operating cash flow and finished the quarter with $10.2 billion cash while total assets at $78.4 billion. Capital spending was $10.2 billion as it kept investing in EUV lithography and HBM memory and the company also paid dividends of $0.115 per share in the first three quarters of 2025.

Zscaler Inc (NASDAQ: ZS)

is a big global cloud security player that provides secure and fast access to apps and resources using its own multi tenant SaaS platform. The company mainly earns from subscriptions and support services across the world.In Q3 FY2025 which ended on April 30, 2025, Zscaler posted a revenue of $678.0 million, higher than $553.2 million in Q3 FY2024 mainly because of strong growth in subscriptions in different regions. But it reported a net loss of $4.1 million with a diluted EPS (loss)of -$0.03 compared to a profit of $19.1 million with EPS of $0.12 last year.This drop is due to higher operating costs from sales expansion and R&D spending.For the first nine months of FY2025, total revenue was $1.95 billion while net loss was $23.9 million. At the end of Q3 the company had cash of $1.99 billion and total assets worth $5.34 billion backed by $1.68 billion deferred revenue.Looking forward Zscaler wants to build more AI based security features, strengthen its Zero Trust Exchange and increase partnerships for long term subscription growth.

Baidu Inc (NASDAQ: BIDU)

announced its Q2 2025 results showing total revenue of about $4.56 billion which is 4% lower than last year mainly because of weak advertising demand. Apollo Go which is Baidu’s self driving taxi service gave more than 2.2 million rides without drivers in Q2 2025, this was 148% higher compared to last year. By August 2025 the total number of rides offered to public crossed 14 million.The company made around $669 million in adjusted net income and diluted earnings per ADS came at nearly $1.90.Baidu is still spending heavy on AI innovation like AI based search, cloud infra and autonomous driving through Apollo Go platform. Baidu has given back around $677 million to its shareholders since start of Q1 2025, making the total buyback reach about US$2.3 billion(cumulative) under its 2023 share repurchase plan.This shows the company is looking more on long term value creation even though short term pressure on ads and margins still continue. 

(Source: Company Announcements)

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