Penny stocks have been getting less attention than usual due to the recent market correction. That’s especially true for those involved in AI. Many AI startups have plunged as investors now look at AI as a source of risk instead of something to pay a premium for.
That said, if you are bullish on the long-term prospects of AI, it’s worth keeping an eye on some high-potential AI penny stocks. If the AI narrative succeeds, these stocks could deliver multibagger gains.
Having a small portion of your portfolio in such high-risk, high-reward bets is not a bad idea. These companies can land massive contracts in the future and become multibaggers if the stars align.
This post originally appeared at Money Morning.