3 Artificial Intelligence (AI) Stocks to Load Up On in August

Key Points

• Nvidia has a major catalyst arriving in the latter half of August.

• Micron is benefiting from soaring memory chip prices.

• Amazon is seeing significant growth in cloud computing thanks to AI workloads.

• 10 stocks we like better than Nvidia ›

August has just begun, but the events in late July and early August have really shaken up the artificial intelligence (AI) investing landscape. Several winners and losers have appeared, and even though earnings season isn’t over yet, there are plenty of stocks worth considering right now.

A few stocks that top my list are Nvidia (NASDAQ: NVDA), Micron (NASDAQ: MU), and Amazon (NASDAQ: AMZN). All three of these look like great AI options now and are worth buying at these levels.

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1. Nvidia

Nvidia hasn’t been the Nvidia most people remember in 2026. For the previous three years, it was one of the top stocks in the market to own. This year, it has risen around 17%, which is just barely better than the S&P 500 (SNPINDEX: ^GSPC). However, that could change shortly.

Nvidia reports its fiscal second quarter results at the end of August, and there have been several indications that it could be a blowout quarter. Many AI hyperscalers have raised spending guidance, and one of Nvidia’s chief competitors, AMD, reported a blowout quarter. Unlike AMD, Nvidia’s stock isn’t highly valued heading into earnings, and that could be a recipe for the stock to explode higher.

NVDA PE Ratio (Forward) data by YCharts

Nvidia trades for a pretty reasonable price tag of 24 times forward earnings. You’ll be hard-pressed to find a stock growing as fast at that cheap of a price, and I think it’s primed to skyrocket late in August following earnings.

2. Micron

Micron is having a great 2026, with the stock more than tripling. However, it’s well off its all-time high due to skepticism about the longevity of the memory chip price boom.

Micron makes memory chips, which have become a major bottleneck in the AI build-out. When supply is low and demand is high, prices soar. This benefits companies like Micron, and its earnings and profits have soared as a result. Still, this won’t last forever, and the market is worried that prices could fall in the near future.

However, Micron’s management team doesn’t believe that to be the case. Because it will be mid-2027 before more production capacity is available, they believe the tightness in the memory chip market will persist beyond 2027. That leaves plenty of room for prices to stay elevated, and for Micron to succeed.

As a result, I think Micron is a solid stock to buy on the dip, as the market will eventually come back around to buying this major winner.

3. Amazon

Amazon is one of those companies being affected by higher memory chip prices, as it bumped its capital expenditure guidance for 2026 from $200 billion to $220 billion due to rising prices of memory chips. While it would prefer to pay lower prices, Amazon is still seeing a major return on investment from all of its AI spending.

The primary business unit that sees the results of its spending is Amazon Web Services (AWS). In Q2, AWS revenue exploded 37% higher, with operating income rising 64%. This blew expectations out of the water and showcases that all of this AI spending could be worth it. Over the past 12 months, AWS has generated nearly $150 billion in revenue. However, CEO Andy Jassy sees a future where this business could achieve a $1 trillion annual run rate.

If Amazon can achieve that, then it’s easily a no-brainer buy at today’s levels. However, it will take some time to get there. Still, with Amazon growing at a healthy pace thanks to its booming AI business, I think it’s a great stock to buy now and hold on to as the AI build-out intensifies.

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Keithen Drury has positions in Amazon and Nvidia. The Motley Fool has positions in and recommends Advanced Micro Devices, Amazon, Micron Technology, and Nvidia. The Motley Fool has a disclosure policy.