Artificial intelligence stocks are in focus as central banks reassess interest rates, growth signals soften and energy markets keep inflation expectations moving. The AI Stocks screener zeroes in on companies tied directly to the ChatGPT and AI buildout, from semiconductors and chips to cloud platforms and software. For investors, it offers a way to filter this fast growing theme into a more manageable shortlist that is still closely linked to real AI spending. In this article, you will see three notable stocks from the screener and how they connect to today’s changing macro backdrop.

ServiceNow (NOW)

Overview: ServiceNow provides a cloud platform that helps large organisations run digital workflows across IT, HR, customer service, security and other functions so everyday processes like requests, approvals and incident resolution move through a single system instead of scattered tools.

Operations: ServiceNow generates about US$14.0b in revenue from internet software and services, with roughly US$8.3b from the United States, US$3.6b from Europe, the Middle East and Africa, US$1.6b from Asia Pacific and Other, and about US$0.5b from other North American markets.

Market Cap: US$109.6b

ServiceNow sits at the centre of the AI buildout inside large enterprises, helping customers govern and operationalise autonomous agents rather than just sell another piece of software. Partners such as Accenture, IBM, Microsoft, Google Cloud and NVIDIA are building on top of its platform. Earnings growth has been strong, subscription revenue is tied to mission critical workflows and AI products like Now Assist and the AI Control Tower are already contributing to guidance and customer demand. However, the stock trades on a P/E that looks expensive while Simply Wall St’s DCF model and analyst targets point to a different value story. When insider selling, funding reliance and share price volatility are also considered, ServiceNow becomes a business investors may want to study more closely before deciding whether the current pessimism has gone too far.

ServiceNow’s AI workflow engine, wide partner network and mission critical subscriptions are being weighed against a rich P/E and mixed valuation signals. See how the 3 key rewards and 2 important warning signs might be masking one pivotal factor the market has not fully priced in yet.

Oracle (ORCL)

Overview: Oracle is a long established enterprise software company that now focuses on cloud based infrastructure, databases and business applications, helping governments, hospitals and large corporations run everything from finance and HR to industry specific systems on its Oracle Cloud Infrastructure platform.

Operations: Oracle generates about US$58.5b in cloud and software revenue, US$5.7b from services and US$3.1b from hardware, with roughly US$39.8b coming from the United States and US$24.5b from Japan, Germany, the United Kingdom and other countries.

Market Cap: US$404.0b

Oracle has moved from traditional software vendor to a key AI infrastructure provider, with its Gen2 Oracle Cloud Infrastructure and OpenAI partnership helping build some of the largest GPU superclusters in the market while feeding a very large backlog of contracted work. At the same time, the stock trades on a P/E below many software peers, and Simply Wall St’s fair value estimate sits well above the current share price, even as earnings and margins remain solid. The catch is the heavy capital spending, higher debt, negative free cash flow and reliance on a few very large AI contracts. This makes Oracle a company investors may want to study closely before deciding whether this AI build out risk and reward profile fits their portfolio.

Oracle’s AI infrastructure story is accelerating while its P/E sits below many software peers, which raises a simple question for investors: what is the market missing in the 4 key rewards and 3 important warning signs (1 is major!)

Palantir Technologies (PLTR)

Overview: Palantir Technologies builds software platforms that help governments and companies pull together huge volumes of data, make sense of it and turn it into decisions, from counterterrorism and defense operations to hospital systems, industrial networks and corporate workflows through products like Gotham, Foundry, Apollo and its Artificial Intelligence Platform.

Operations: Palantir generates about US$2.8b from government contracts and roughly US$2.5b from commercial customers, with most revenue coming from the United States alongside contributions from the United Kingdom and other international markets.

Market Cap: US$310.0b

Palantir Technologies sits at the crossroads of defense grade data infrastructure and commercial AI rollouts, with high profit margins and strong recent earnings and revenue growth helping support its premium valuation. The stock is tied to long running contracts with US government agencies and a growing roster of commercial clients, while partnerships with NVIDIA and others keep its platforms plugged into leading AI models. At the same time, its high P/E multiple, reliance on external funding and concentrated exposure to sensitive government work leave little room for missteps or contract disappointments. For investors, the central consideration is whether the combination of balance sheet strength, AI contract momentum and profitability justifies the price the market is already paying for Palantir’s story.

Palantir Technologies is benefiting from a powerful mix of government contracts, commercial demand and profitability, but the real story sits in how these trends line up in the analyst forecasts for Palantir Technologies and what that might quietly signal next.

The three AI stocks covered here are just a starting point, since the full Simply Wall St screener surfaced 653 more companies with equally compelling AI narratives across chips, cloud, software and large language models through the Artificial Intelligence/ AI Stocks screener. Use Simply Wall St to identify and analyze the specific catalysts and storylines that matter to you, so you can filter this AI surge down to the opportunities you have the highest conviction in.

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If ServiceNow or any of these companies have caught your attention, register for FREE with Simply Wall St and add your companies to a Watchlist to monitor the share price against the fair value and track any new developments as they happen. Once you've made your move, manage your holdings with our Portfolio Command Center that filters out the noise to deliver only the most critical, actionable updates. Throughout your journey, our Community allows you to filter the best ideas from thousands of investor perspectives. By uncovering hidden catalysts and risks early, you'll accelerate your decision-making and stay one step ahead of the market.

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This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.