AI Stocks to Watch: Nvidia, Micron, and Amazon Rise Amid Earnings Season

August has brought significant changes to the artificial intelligence (AI) investing landscape. Several companies have seen their fortunes rise or fall, and earnings season is still ongoing.

Three stocks that stand out as worth considering are Nvidia (NVDA), Micron (MU), and Amazon (AMZN).

Nvidia has seen a 17% increase this year, but its stock price is considered reasonable at 24 times forward earnings. The company's fiscal second quarter results are due at the end of August, and many AI hyperscalers have raised their spending guidance.

Micron has tripled in value this year, but its stock is currently off its all-time high due to concerns about the longevity of the memory chip price boom. However, Micron's management team believes that prices will remain elevated beyond 2027 due to limited production capacity.

Amazon has seen a 37% increase in AWS revenue and a 64% rise in operating income, thanks to its AI spending. The company's CEO sees a future where AWS could reach a $1 trillion annual run rate.