Considering how well artificial intelligence (AI) stocks have done over the past two years, it's hard to imagine some of them going even higher. However, this industry still has significant tailwinds as we have barely scratched the surface of what is possible with AI.

There will never be another year like 2024 again for artificial intelligence. Throughout the year, obscure product demos became household names. People started to really zero in on using non-human sentient agents for problems like climate change. We also saw radical changes in the infrastructure behind these models.

With some of the biggest AI players going all-in on this technology, it might make existing AI powerhouses, like Palantir (NASDAQ: PLTR), a bit nervous. Palantir emerged as one of the best pure-play AI investments in 2024.