Artificial Intelligence (AI) has profoundly influenced the dynamics of the financial markets, ushering in a new era of data-driven decision-making. To quantify this influence, we've developed an innovative AI Scoring System. This metric assigns a unique 'AI Score' to individual stocks, providing an insightful correlation between their returns and prevailing AI trends. By leveraging this AI Score, investors and analysts can gain a deeper understanding of a stock's potential performance, factoring in the transformative impact of AI developments.
This analyses is based on the research published at an A journal in finance titled “Artificial Intelligence in Finance: Valuations and Opportunities”
The module analyzes stock returns against key tech trends: Convolutional Neural Networks (CNN), Large Language Models (LLM), Machine Learning, Generative AI, and Deep Learning. Using a weighted algorithm, it outputs a score from -100 to 100 to gauge stock relationship to AI.