We told you first: Up 10%+ TODAY, this giant is a top AI-picked stock for October

Investing.com -- InvestingPro members following the list of AI-picked stocks for October—now available for less than $9 a month as part of our limited-time-only Flash Sale—are pleased to find they’ve positioned themselves in the top stocks of the market in advance yet again.

After scoring massive winners in August and September, such as ViaSat Inc (NASDAQ:VSAT) (up a massive +127.89% since), Sapiens (up +60.32% during that period), and Oracle Corporation (NYSE:ORCL) (up 23%+)—among several others—the new list of picks for October came with yet more bangs.

Among these names is the chip giant Broadcom Inc (NASDAQ:AVGO)—up +10% TODAY, as of this writing.

The company’s stock jumped after it said it had signed a strategic collaboration with OpenAI to develop and deploy 10 gigawatts of custom AI accelerators over the next few years.

But Broadcom is far from being the only winner on that list. In fact, the full list of AI-powered tech picks for the month is again outperforming the S&P 500 this month, mainly due to its superior quality of stock picking, which includes other massive winners such as ViaSat , up +16.52% MTD.

InvestingPro members can jump straight to the FULL list of picks for the month HERE.

Still not a member? Then here’s your chance to get the list of picks for up to 50% off as part of our limited-time-only Flash Sale.

• App users can subscribe here
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Long-term, the results are even more impressive. In less than two years since the official launch, the AI has returned a game-changing +143.51%, outperforming the S&P 500 by a massive +104.72%.

*These are real-world results, recorded since the launch of our AI-powered stock picker (November 2023 for US stocks; January 2025 for global stocks).

If you’re wondering how this is possible, let me tell you that there are no secrets to what the AI does. It simply compiles Wall Street’s most recognized financial models (hundreds of them) and applies them to every stock in the market.

It then reruns them on a recurring basis against other control groups, ensuring the picks have a long-term statistical advantage over the randomly selected stocks and benchmark indexes.

What About AVGO? Can It Continue to Rally?

One of the coolest features of our AI model is that it not only selects stocks but also explains to InvestingPro members why it made those choices, helping users with their decision-making process.

Let’s take a look at why it decided to pick Broadcom for October:

AI-Powered Growth at Reasonable Value

• Selected for exceptional performance across market performance, growth metrics, and valuation indicators
• Market performance stands out with impressive 97% one-year return and 95% six-month gain, supported by strong institutional confidence through multiple analyst price target increases (many in $400-$420 range)
• Growth metrics show remarkable momentum: 28% revenue growth over the last twelve months, 63% year-over-year AI semiconductor revenue growth reaching $5.2 billion in Q3, with acceleration to 66% projected for Q4
• Despite high P/E ratio (79.5), the stock offers compelling value with an attractive PEG ratio of just 0.33, suggesting the stock is potentially undervalued relative to its extraordinary growth trajectory
• Recent $10 billion AI chip order from new customer (likely OpenAI) significantly expands its AI business beyond existing customers (Google, Meta, ByteDance), positioning Broadcom as a leading beneficiary of the AI computing revolution

But how does the AI stock picker actually work?

At the start of each month, our AI refreshes each strategy with up to 20 stock picks. These selections are based on a blend of more than 150 well-established financial models compiled by our machine learning model on over 15 years of financial data worldwide.

Some stocks are added, others retained, and a few are removed, reflecting how the model reassesses each company’s medium-term growth potential.

To track performance, each strategy uses equal weighting across all selected stocks. While you’re not required to follow that weighting exactly, it offers a consistent benchmark to evaluate how well the model identifies opportunities across the board.

At the end of the day, stock picking is still a game of probabilities. But the key isn’t just finding winners — it’s knowing when to move on from the ones that no longer stack up.

Since launch, the model has done just that — delivering more than a few standout success stories along the way.

As a matter of fact, our backtest suggests that going the long run is the surest path to long-term wealth generation.

Check out the 12-year outperformance of Tech Titans over the S&P 500 below:

This means a $100K principal in our strategy would have turned into an eye-popping $2,420,100.

Now is the perfect time to subscribe to InvestingPro and get up to 50% off during the Flash Sale.