Prediction: 2 AI stocks will be worth more than Nvidia and Palantir by 2030 (Hint: Not Apple) | Colorful fool

for the last year Nvidia the stock advanced 33%, bringing its market value to $4.3 trillion. Meantime, Palantir Technologies the stock rose 155%, bringing its market value to $395 billion. Collectively, the companies are worth about $4.7 trillion.

Apple he could definitely beat that number within five years, but I also believe that Platform meta (META 0.41%) and Amazon (AMZN 0.22%). Here’s what it means for shareholders:

• Meta Platforms is currently valued at about $1.6 trillion. Its market value needs to increase by 200% to reach $4.8 trillion, and the stock needs to return 25% annually to reach it by 2030.
• Amazon is currently worth about $2.5 trillion. Its market value needs to increase by 95% to reach $4.8 trillion, and the stock needs to return 14% annually to reach it by 2030.

Here’s why I believe these predictions.

1. Meta platform

Meta Platforms owns three of the four most popular social media networks by monthly active users. This gives the company insight into consumer preferences, allowing it to target content and advertising. This advantage has made Meta the second largest ad tech company in the world, and according to Malik Ahmed Khan, its market share is likely to increase as it continues to rely on artificial intelligence (AI). Morning star.

Meta has developed its own AI chips, large Llama language models that power its AI assistant, and machine learning models that recommend ad content. It also introduced creative AI tools to help brands automate marketing workflows. These efforts result in deeper user engagement and higher conversion rates across social networks, meaning users not only spend more time on the platforms, but also click on more ads.

However, Meta is also developing a super-intelligent system that could be integrated with future iterations of its new augmented reality smart glasses. Earlier this year, CEO Mark Zuckerberg predicted that artificial intelligence smart glasses would eventually replace smartphones as our primary computing devices. The meta is well positioned to lead the charge. It dominates the nascent smart glasses industry with a 73% market share in the first half of 2025.

Meta shares trade at 28 times earnings, a relatively cheap valuation for a company whose earnings are forecast to grow 16% annually over the next three to five years. However, the meta has beaten the consensus estimate by an average of 16% over the past six quarters. If this continues, its market value could reach $4.8 trillion by the end of 2030, while its price-to-earnings (PE) multiple will rise to a tolerable 35.

As a caveat, my prediction for Meta Platforms is quite aggressive. But even if the company falls short of the scenario I’ve outlined, the current price represents an attractive entry point for patient investors. In the long run, Meta can become the next consumer electronics giant if it fulfills its ambitions with super-intelligence and smart glasses.

Today’s Change

(-0.22%$-0.51

Current price

$229.16

Key data points

Market capitalization

2450 billion dollars

Daily range

$228.77 -$231.75

Range 52 weeks

$161.38 -$258.60

Volume

38 million

Avg. flight

48 million

Gross margin

50.05%

Dividend yield

ON

2. Amazon

The investment thesis for Amazon centers on its strength in three growth markets. The company operates the largest e-commerce marketplace in North America and Western Europe, which has translated into dominance in the retail advertising industry. And Amazon Web Services is the largest public cloud in terms of infrastructure and platform spending.

Importantly, Amazon is working to monetize artificial intelligence within its e-commerce and cloud computing. Its strategy includes offering a wide range of cloud services, such as Bedrock for generative AI application development and SageMaker for machine learning model development. Similarly, Amazon Q is an AI coding assistant and Quick Suite is an AI business assistant.

AWS has also developed and deployed its own AI accelerators for training and inference, called Trainium and Inferentia. These chips are said to offer better price performance than the current generation of graphics processing units (GPUs), and AI startup Anthropic has agreed to use them to build and deploy future models.

Meanwhile, Amazon has developed hundreds of generative AI tools to streamline its retail business. This extensive list includes applications for customer service, inventory placement, and last-mile delivery. It also includes an artificial intelligence model for coordinating the movements of robots in warehouses and another model (currently in development) that will allow humans to communicate with robots using natural language.

Amazon’s operating margin improved 40 basis points for the first three quarters of 2025 after rising 400 basis points last year. But there is still room for improvement. Morgan Stanley says fulfillment and logistics costs consume more than a third of retail revenue, but innovations in artificial intelligence and robotics could boost operating margins by another 300 basis points by 2027.

Amazon stock currently trades at 33 times earnings, a reasonable valuation for a company whose earnings are forecast to grow 19.5% annually over the next three to five years. If Amazon meets this consensus estimate, its market cap could reach $4.8 trillion by the end of 2030, while its PE multiple falls to 26. I see this as a very likely outcome.