One theme emerging from the first quarter earnings season is that the AI revolution is alive and well. Many companies, like Microsoft Corp. (NASDAQ: MSFT) and Meta Platforms Inc. (NASDAQ: META), confirmed significant capital expenditure (CapEx) programs focusing on building out the AI infrastructure. Not surprisingly, many technology stocks with an AI focus that sold off sharply in early April have made a nice comeback.
Investors looking to get involved in this space may want to consider owning shares in an exchange-traded fund (ETF). These funds trade like stocks but contain a collection of stocks (usually around 30). This helps remove the risk entailed from owning any of these stocks individually.
