AI boom: Underrated stocks poised for growth

What happened: Intuit Inc. (NASDAQ:INTU) launched QuickBooks Workforce, an AI-native Human Capital Management (HCM) solution, on May 6, making it one of the most undervalued large cap stocks to buy, according to analysts. Meanwhile, Pony AI Inc. (NASDAQ:PONY) reported solid first-quarter results on May 26, positioning it as one of the best debt-free IT stocks to buy. NVIDIA (NASDAQ:NVDA), already an AI boom beneficiary, continues to power AI buildout with its graphics processors.

Market impact: The AI boom is driving growth in the HCM and IT sectors. Intuit's new offering expands its QuickBooks ecosystem, potentially attracting more small and mid-market businesses. Pony AI's strong results signal robust demand for AI-driven IT services. NVIDIA's dominance in AI processing could lead to increased competition in the chip sector.

What to watch next: Intuit's next earnings release on June 23 will provide insights into QuickBooks Workforce's early adoption. Pony AI's upcoming quarterly results, scheduled for August 11, will offer updates on its commercial operations. Additionally, NVIDIA's earnings on August 17 will reveal the extent of its AI-driven growth.