{
  "id": 19396037,
  "title": "3 AI Stocks to Buy Now That Midterms Are Over",
  "url": "https://urgent.news/2026/11/10/3-ai-stocks-to-buy-now-that-midterms-are-over",
  "topic": "ai",
  "section": "AI",
  "published": "2026-11-10T20:51:00.000Z",
  "source": {
    "name": "Motley Fool",
    "slug": "motley-fool",
    "url": "https://www.fool.com/investing/2026/11/10/3-ai-stocks-to-buy-now-that-midterms-are-over/?source=iedfolrf0000001"
  },
  "original_language": "en",
  "account": "As the midterm elections concluded, concerns arose among investors that the AI sector could face significant challenges. However, newly elected Governor Gina Hinojosa of Texas assured the market that approved data centers in the state are on track for completion. This news provides reassurance for the AI pipeline in 2027 and beyond. Three AI stocks are poised to benefit from the aftermath of the midterms, as the uncertainty dissipates and the future appears more promising.\n\nPenguin Solutions (PENG) specializes in memory products that are increasingly vital in data centers. The company's memory products, which are being adopted by hyperscalers, enable more efficient access to memory for AI chips. Penguin Solutions has already seen substantial growth, with its current stock price offering an attractive 19 P/E ratio. Despite being down over 50% from its all-time high, the stock has doubled so far this year. In the fourth quarter, Penguin Solutions experienced a 68% year-over-year revenue increase, with the integrated memory segment driving most of the growth. The company added six new AI infrastructure data center customers, including four neocloud providers.\n\nSandisk (SNDK) has also garnered attention following a staggering year-over-year surge of more than 4,000%. While the prolonged AI correction has impacted Sandisk's gains, the company's fundamentals continue to outperform its year-to-date returns. Sandisk's revenue increased by 378% in the first quarter of fiscal 2027, representing a 23% sequential sales boost and a 73% net profit margin. The company announced an 8-for-1 stock split, making it more accessible to options traders and potentially driving higher volume and volatility. Sandisk also repurchased $5 billion worth of stock, increasing shareholder value. While Penguin Solutions and Sandisk focus on the hardware side of the AI trade, Alphabet (GOOG, GOOGL) converts AI into tangible revenue. Google's Gemini platform reached 1 billion users faster than any of Google's products, and Waymo continues to make strides in the self-driving robotaxi industry. Alphabet's revenue grew by 25% compared to the same period last year, with Google Cloud revenue accelerating and now accounting for almost 20% of total sales. Although Alphabet experienced $9.1 billion in negative net free cash flow during the third quarter, the company has generated $19.7 billion in positive free cash flow over the trailing 12 months. The company's valuation has improved, with a 15 P/E ratio following the recent correction. Considering The Motley Fool's Stock Advisor's impressive track record, with an average return of 852% compared to the S&P 500's 208%, investors may want to consider these AI stocks for potential growth opportunities.",
  "summary": "Democrats gained ground in the midterms, but it's not looking as bad for the AI trade as many people feared. These three stocks stand to rally.",
  "key_points": [],
  "editors_take": null,
  "illustration": null,
  "coverage": {
    "outlets": 1,
    "also_reported_by": []
  },
  "ai_generated": true,
  "disclaimer": "Summaries, key points and the editor’s take are written by software from other outlets’ reporting and may contain errors — always check the linked original."
}