After years of apparent stagnation in parts of the tech industry, Artificial Intelligence (AI) has emerged as a groundbreaking force with the potential to drive change across sectors. In recent years, AI and machine learning have gained traction rapidly as they continue to transform traditional industries and unlock new growth opportunities, especially for long-term investors.
Several Canadian companies are leveraging AI’s potential to improve productivity, streamline operations, and speed up quality research work. For Foolish Investors, this shift creates a great opportunity to gain exposure to the future of AI by investing in stocks that are leading the way.
In this article, I’ll highlight two of the best Canadian AI stocks you can consider buying now that could yield some eye-popping returns in the long run.
OpenText stock
OpenText (TSX:OTEX) is the first AI-focused stock you can consider buying in Canada today and hold for years to come. This Canadian firm primarily focuses on delivering software solutions for enterprise information management, which offers its clients a cutting-edge approach to data-driven decision-making. It currently has a market cap of $12.5 billion as OTEX stock trades at $46.99 per share after witnessing a nearly 9% increase over the last three months.
In recent years, OpenText has sped up its efforts to integrate AI across various applications. The company has rolled out several innovative AI-powered solutions to enhance productivity, security, and data management. Last year, the company announced the release of OpenText Aviator within its Cloud Editions 23.4, which brought generative AI to various facets of its platform. By layering large language models over secure data frameworks, the company allowed its enterprise clients to use AI flexibly without compromising data privacy.
Similarly, OpenText is applying its AI innovations across numerous business operations, from DevSecOps to cybersecurity, through tools designed to deliver both speed and security for enterprises. Given these strong fundamentals, investors looking to benefit from the long-term potential of AI in data management can consider adding OTEX stock to their portfolios now.
BlackBerry stock
The Waterloo-based BlackBerry (TSX:BB) could be another really attractive AI-focused stock in Canada to consider right now. Despite the broader market rally, BB stock hasn’t seen much appreciation of late as it currently trades with 33% year-to-date losses at $3.25 per share and a market cap of $1.9 billion.
BlackBerry primarily runs its operations through two main segments: cybersecurity and IoT (Internet of Things). Although the company plans to split these segments into standalone units in the future, the tech firm continues to advance its AI applications across both areas. In cybersecurity, BlackBerry uses an AI-driven threat detection system to identify and mitigate complex security risks. This feature is helping it distinguish its enterprise cybersecurity offerings from competitors in an increasingly crowded market.
Moreover, BlackBerry’s AI capabilities extend to its IoT segment, especially in its technological solutions for the automotive industry. For example, its intelligent vehicle data platform called IVY utilizes AI and machine learning technology to support better safety, predictive maintenance, and personalized experience within connected vehicles.
As the demand for such AI-powered solutions continues to surge in the years to come, BlackBerry’s financials could witness massive growth, making its stock really attractive to buy now.
