AI has been a hot topic on Wall Street in 2023, with several tech giants like Amazon, Meta, Nvidia and Intel reaping the rewards of investor enthusiasm. Nevertheless, even some firms unrelated to tech see AI as being beneficial to their prospects.
The A.I. phenomenon has taken Wall Street by storm in 2023, ever since OpenAI launched the renowned large-language model (LLM) ChatGPT in November of the previous year. This triggered an AI contest with Google quickly following with the launch of its own chat box - Bard AI. Investors rushed to purchase stocks with plentiful AI exposure, such as C3.AI, chipmaker Nvidia and even Tesla, which, even in a tumultuous macroeconomic situation, have seen significant gains.In the same way "blockchain" and "dotcom" had been formerly, A.I. is the buzzword this year, and companies not previously linked to AI are taking advantage of the situation. Kroger, a well-known supermarket chain, is one example. Its CEO Rodney McMullen stated how its "rich history as a technology leader" entrenches it to seize the A.I. trend. McMullen particularly highlighted how AI could aid in client surveys and hasten the changeover of the data into its stores.
McMullen emphasized to investors during Kroger's June 15 earnings call the importance of having robust, precise, and varied first-party data for making the most of the potential of innovation, data science, and AI. Consequently, Kroger is in an ideal situation to fully adopt these new technologies and provide an improved customer and employee experience. Likewise, Tyson Foods, one of the biggest producers of chicken, pork, and beef in the world, is optimistic that the current surge of investment and interest in AI will be of advantage to the company. However, chief executive Donnie King did not indicate how AI would be incorporated in Tyson's set up, or what parts of Tyson's operations the technology would be deployed to.
At the company's May 8 earnings call, CEO George Oliver indicated that Johnson Controls plans to utilize data, automation, and AI technology for decision-making in order to bolster their digital capabilities. He shared that this could be a way to weather uncertain economic times, although he did not go into further detail about how AI would be incorporated.
Oliver asserted that AI will enable us to broaden our services, regardless of the respective economic conditions. As the Nasdaq Composite has increased by 16% from the begining of the year, Wall Street is entering the latter part of the year with its hopes lifted by the prospect of AI revolutionizing various industries and potentially automating hundreds of millions of jobs. Nonetheless, over time, it will be investors that make the final determination of who the honest benefactors of the AI trend are and who is merely latching onto the mania.
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