PTK-X<\/a> or POET-Q). POET is a smaller AI stock with a $171 million market cap, based in Toronto, and makes semis, the hottest sector in the market now. Its chips and platform, the POET Optical Interposer, serve data centres, telecommunications, the internet of things, car sensors, medical devices, and virtual reality (yes, those headsets). Most notably, in late April, POET launched the POET Starlight, a packaged light source solution for AI applications that the company plans to start production in late 2024 with partnering company, SPX. <\/p>\n\n\n\nThe aim is to make Starlight 75% cheaper to produce than other packaged light source solutions. Orders started rolling in in early May from a Beijing company worth $3 million initially, but will total $30 million over three years (these figures in USD). The company expects more sales, because AI hardware like this is prized in China and POET faces few competitors, so the company enjoys a moat.<\/p>\n\n\n\n
POET needs to raise more cash to be profitable. Fair and reasonable. On June 30, the company announced it would raise nearly $30 million by offering equity from time to time. Though they remain negative, net income and net cash flow have been improving in recent years. Overall, it boasts a good track record. Its sales to China are a fine start and offer hope for more in this key market. Of course, the current AI boom is a macro tailwind.<\/p>\n\n\n\n
Basically, this is small-cap AI stock that carries a fair amount of risk, hadn’t been profitable, but offers a product with tangible demand that will likely grow. The question is how fast? Investors will have to stomach ongoing equity issues and dilution, but the company’s cash-raise plan is reasonable. Not a screaming buy, but a risky, patient one.<\/p>\n","protected":false},"excerpt":{"rendered":"
Artificial Intelligence (AI) is one of the most exciting and rapidly growing sectors in the technology industry. As AI continues to revolutionize various industries, investors are increasingly interested in finding the best AI stocks to invest in. In this article, […]<\/p>\n","protected":false},"author":1,"featured_media":332399,"comment_status":"open","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"cwp_meta_box_check":"No","cwp_rev_product_name":"","cwp_rev_product_image":"","wppr_links":[],"cwp_rev_price":"","wppr_options":[],"wppr_pros":[],"wppr_cons":[],"footnotes":""},"categories":[17],"tags":[],"class_list":["post-332203","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-lists"],"wppr_data":{"cwp_meta_box_check":"No"},"_links":{"self":[{"href":"https:\/\/stockchase.com\/discover\/wp-json\/wp\/v2\/posts\/332203","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/stockchase.com\/discover\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/stockchase.com\/discover\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/stockchase.com\/discover\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/stockchase.com\/discover\/wp-json\/wp\/v2\/comments?post=332203"}],"version-history":[{"count":0,"href":"https:\/\/stockchase.com\/discover\/wp-json\/wp\/v2\/posts\/332203\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/stockchase.com\/discover\/wp-json\/wp\/v2\/media\/332399"}],"wp:attachment":[{"href":"https:\/\/stockchase.com\/discover\/wp-json\/wp\/v2\/media?parent=332203"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/stockchase.com\/discover\/wp-json\/wp\/v2\/categories?post=332203"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/stockchase.com\/discover\/wp-json\/wp\/v2\/tags?post=332203"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}