The artificial intelligence version of musical chairs continues to play on as Nvidia and Amazon.com failed to find a seat on this month's list of new buys by the best mutual funds. While AMZN and NVDA stock got shunned, leading money managers rolled out the red carpet for — and poured billions of dollars into — fellow Magnificent Seven stocks Apple and Microsoft.
The best mutual funds scooped up more than $4.18 billion worth of shares in MSFT stock. They also shoveled just under $4 billion into AAPL stock, which was recently featured as the IBD Stock Of The Day as it launched a breakout.
In recent updates to this monthly screen, each of the Magnificent Seven stocks, including Alphabet, Meta Platforms and Tesla, have come on and off this list.
Nvidia made this screen in October, while Amazon powered to the top of the list in November. Tesla stock made an appearance in August as an AI lovefest drove demand for Meta stock and Google as well.
The Magnificent Seven stocks are not, of course, the only game in town. The best mutual funds also picked up shares in a slew of other companies riding the AI wave and other trends.
The links below highlight a portion of this month's new buys and sells by top funds.
Click here to see all the stocks on the list.
More AI Stocks Bought By The Best Mutual Funds
With artificial intelligence weaving its way into an ever-expanding range of industries, it's no surprise that leading money managers have focused their buying power into companies tapping that seismic shift.
While Apple, Microsoft, Nvidia and the other Magnificent Seven stocks have come on and off the monthly list of new buys by the best mutual funds, leading enterprise software stocks have played their own version of musical chairs.
This month's screen showcases an impressive 14 enterprise software firms as industry players continue to embed machine learning, cloud computing and other AI-related technologies into their platforms. Salesforce.com, Workday. Palantir Technologies, Shopify and Datadog all make the list.
Cybersecurity firms like Palo Alto Networks, CrowdStrike and Zscaler have also tapped AI solutions to help clients safeguard their cloud-based networks.
Microsoft industry group peer Adobe — a generative AI powerhouse itself — also earns a spot among the in-demand AI names.
Uber Technologies, slated to join the S&P 500, also joins the party. Through Uber AI, the drive-share pioneer continues to spur artificial intelligence innovations across all of its brands and platforms.
Follow Matthew Galgani on X (formerly Twitter) at @IBD_MGalgani.
