Why should I invest in these three AI stocks for the next five years?

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The US stock market has experienced high volatility in 2025, following aggressive tariff policies, ongoing trade wars, rising interest rates and changing investor behavior. However, this period also offered the opportunity to acquire high quality stocks at reasonable prices.

You don’t need a lot of money to use your current environment. Just $200 – not set aside for bills or emergency savings – can invest in any of these artificial intelligence (AI) inventory for at least the next five years.

Palantir

Palantir Technologies (NASDAQ: PLTR) Data mining and analytics platforms help you integrate, organize and manage vast amounts of organizational data in a variety of sources and formats to generate actionable insights. The company’s revenue performance underscores the strong demand for its offering.

Palantir’s first quarter results were impressive, with revenues rising 39% year-on-year to $884 million. The company’s US revenue grew even faster at 55% year-on-year, and now accounts for almost 71% of the overall business. In particular, US commercial operations exceeded annual revenue occupancy of $1 billion in the first quarter.

Palantir’s Artificial Intelligence Platform (AIP) is positioned to provide leading ontology (a digital framework that links the organization’s digital and real-world assets) and AI-powered operating systems for commercial enterprises and government agencies.

Unlike other AI players that focus on developing advanced basic models, Palantir mainly focuses on AI implementation, transforming the capabilities of large-scale language models into business outcomes. AIP enables enterprise autonomy and helps clients build autonomous AI agents for various tasks.

Recruiting customers for company offerings is strong. Walgreens Boots Alliance automates the decision to approximately 384 billion stores in 4,000 stores in eight months, while American International Group expects its five-year combined annual growth rate (CAGR) to double after adopting Palantir’s technology.

Therefore, despite trading at a very rich valuation of 208x advance revenue, the AI ​​strategy and strong customer demand focused on the implementation of Palantir offers a very long-term, long-term opportunity for retail investors.

Soundhound AI

Soundhondound ai’s (NASDAQ: soun) Recent revenue performance has also been excellent. Revenues are up 151% year-on-year to $29.1 million, with no customers making up more than 10% of total revenue, so the company is building a high-growth and diversified business.

Soundhound has created a sustainable, competitive moat with its own multimodal and multilingual Polaris Foundation model that supports 30 languages, providing 4x latency, twice the accuracy of a noisy environment, and 35% superior word error rates. As a result, the company is well suited to capture a share in the global voice and voice recognition market, estimated to increase from $19.1 billion in 2025 to $81.6 billion by 2030.

Additionally, the strategic acquisitions of Synq3, Allset and Amelia’s Soundhound have expanded the company’s reach to almost 13,000 restaurants, opening up some vertically new cross-seller opportunities. The company recently introduced a voice commerce ecosystem that integrates conversational AI capabilities into the vehicle, allowing hands-free orders from restaurants while driving. This feature has attracted a lot of interest from automakers and could be a significant revenue stream over the next few years.

Soundhound shares have fallen nearly 60% from their all-time high in December 2024. Coupled with multiple tailwinds, this discount seems to be the right time to buy this stock.

uipath

Robotic Process Automation (RPA) Player Uipath Stock (NYSE: Pass) Currently, it has fallen by nearly 86% from its record high in May 2021. Despite its strong fundamentals, the company is struggling with the current uncertain macroeconomic environment.

In its recent revenue results (ends January 31st in the fourth quarter of 2025), UIPATH revenues were slightly below analyst estimates, primarily due to the timing of the closing of government operations.

However, Uipath’s strategic pivots for agent AI can prove to be a critical catalyst in the long term. Some of its Agent AI products, including Agent Builder, Agent Orchestration, Agent Testing, and more, have already seen strong adoption trends. With Agent Builder, approximately 3,000 agents were added to the workflow, creating mission-critical processes.

Agent orchestration helps professional agents, robots, and people to perform goal-based tasks. Agent testing also helps software testers improve productivity with agents. This approach, combining AI agents with traditional RPA, is a key differentiator for the company.

Uipath also boasts robust customer metrics. It has a total dollar-based retention rate and a 110% dollar-based net retention rate in the fourth quarter. Additionally, total customer numbers remained flat year-on-year, but recurring revenue (ARR) of over $1 million per year rose 10% year-on-year, with 30% more people spending more than $5 million in the fourth quarter.

Finally, Uipath also has a robust balance sheet with $1.7 billion in cash and zero debt.

Despite many benefits, Uipath has only 4.6 times sales, trading significantly below the 3-year average of 6.9 times. So, given multiple tailwinds and low ratings, stocks are a valuable investment despite experiencing slowdowns in growth trajectories over the past few quarters.

Manali Pradhan has no position in any of the stocks mentioned. Motley Fool has jobs at Palantir Technologies and Uipath and recommends. Motley Fools have a disclosure policy.

The Motley Fool is a partner at USA Today, providing financial news, analysis and commentary designed to help people control their financial lives. The content is produced independently of USA Today.

Should I invest $1,000 in Palantir Technologies?

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