The advent of Artificial Intelligence (AI) has triggered one of the biggest paradigm shifts in human history. Machines with programmed thinking have infiltrated all fields, including finance. Simulated intelligence is developing algorithms for trading and long-term investment concepts.
Artificial Intelligence is not just a trading tool. The universe of AI is a huge exposure to the big tech companies that dominate the equities market. AI stocks offer investors significant profits through price changes.
Over time, AI companies have also begun to explore the dividend space. In 2024, Meta Platform, Salesforce, and Alphabet announced payouts to shareholders.
The best AI stocks with dividends are tracked by the S&P 500 Technology Dividend Aristocrats Index. SPTDAUP has been best-performing compared to the broader market, even during downturns. For example, at the time of writing, the YTD total return of the S&P 500 is -2.91%. For SPTDAUP this figure is -2.32%.
In this article, we discuss what experts think about the prospects for AI. We also provide a list of the top AI dividend stocks.
Table of Contents
Understanding AI and Its Economic Impact
Experts say that AI proliferation and information technology will lead to a productivity boost. Over the next 10 years, overall manufacturing efficiency is expected to increase by 40%.
Accenture Research and Frontier Economics forecast an annual growth rate of 1.7% over the next 20 years across 16 industries. Goldstein Research puts the compound annual growth rate (CAGR) of AI spending at 17.2% by the end of 2023. Experts believe this figure will exceed 33% by the end of 2025.
Note: BeatMarket expects a compound annual growth rate of 28.46% for the global AI market through 2030.
Big tech companies have a dual economic impact. On the one hand, the development of AI contributes to economic growth and increased profitability. On the other hand, it leads to job losses in lower-skilled occupations. AI is also expected to have a significant impact on transportation, financial services, and more.
The strong market performance driven by advances in software applications, hardware, and microchips presents an excellent opportunity for investors. Few companies in the sector have a reliable dividend track record. Buying them is not just a pure-play investment in the future of the business; such stocks represent a balance of growth possibilities and income generation.
What Are AI Stocks?
AI stocks – shares of technology companies that have AI-related revenue. This category includes revenues from the development of:
- voice recognition software;
- pilotless aircraft;
- large language models, and more.
AI-related companies can be divided into two categories. The first category consists of blue-chip technology companies. For them, AI investments are a part of their business.
The second category includes small experimental companies. Their stocks appear to be direct investments in artificial intelligence. However, such companies often require partnerships with mega-cap tech companies.
Before investing capital in individual AI stocks, it is important to conduct research work and evaluate data on the company’s prospects. Stock trading always involves risks.
In a brokerage account, you can buy stocks not only of individual companies but also pooled exchange-traded funds.
AI ETFs – An Alternative Investment Approach
As an example of the best AI dividend ETF, one can mention the Global X Robotics & Artificial Intelligence ETF (BOTZ), which tracks the Indxx Global Robotics & Artificial Intelligence Thematic Index. Another option is the First Trust Nasdaq Artificial Intelligence & Robotics ETF (ROBT). This fund tracks the Nasdaq CTA Artificial Intelligence & Robotics Index.
To find other options, an ETF screener can be helpful. It is important to analyze the proposed exchange-traded funds carefully. Not all ETFs with “AI” in their name track AI stock indexes. Some are broad market funds that use AI to select investments.
Leading Dividend Stocks With AI Exposure
Among the best AI dividend stocks are:
- IBM. The company has been offering cognitive solutions since 2011. One of these is Watson AI, designed for use with mainframes.
- Nvidia. NVDA makes graphics processing units (GPUs) and is involved in machine learning and computer vision. The latter has applications in driverless cars, for example. The company is also expanding its data center business.
- Microsoft. The company has been a dividend payer since 2003. MSFT’s products include the Bing search engine, the Xbox console, and the Azure cloud platform for enterprise clients.
- Apple. AAPL launched Siri, its intelligent personal assistant. It is integrated into iOS, watchOS, macOS, and tvOS.
- Intel. INTC supplies AI chips. It has acquired AI companies such as Altera, Mobileye and Nervana in the past. The dividend yield has been above the technology sector average over the past five years.
The AI stock dividend is lower than those of companies in traditional sectors. However, the total return to investors can be significantly higher due to the growth in share price.
International Business Machines (IBM)
IBM is a leader in the computer hardware and Information Technology industry. Generative AI and Machine Learning have already become key areas of its business. In recent quarters, the company has shown the highest growth in the software segment.
The best known of its cognitive solutions is IBM Watson. This semantic intelligence application is designed for use with mainframes.
IBM demonstrates growth in revenues and Gross Profit Margin. Its stable free cash flow allows for increasing shareholder dividend payouts. The dividend yield is 2.74%.
Qualcomm Inc. (QCOM)
QCOM develops its own native AI systems for PCs, smartphones, automotive, and IoT. Projects such as Cloud AI and Edge AI Box offer digital solutions in the fields of cybersecurity and Gen AI.
As of March 30, 2025, the company’s year-over-year revenue growth was 16.15%. Net income increased by 31.66%. Earnings Per Share reached $9.93. The profit margin was 26.11%. The upcoming quarterly cash dividend for QCOM was announced at $0.89 per share. The dividend yield is 2.4%.
In November 2024, Qualcomm announced a $15 billion share repurchase program.
Nvidia Corporation (NVDA)
Nvidia specializes in graphics processing units. It has a dominant market share in the GPU sector. Key areas of focus include machine learning and computer vision for driverless cars. The company is also expanding its data center business.
NVDA is not the most generous dividend payer. The dividend yield is 0.03%.
Broadcom (AVGO)
Broadcom has timely capitalized on the fact that AI-enabled technology and software applications have reached an inflection point. This has enabled AVGO to take the lead among companies providing scalability for AI.
The company is active in fiber channel networking, wired and wireless connectivity. Broadcom offers networking equipment, AI accelerator chips, and premier software suites. At the Open Compute Project 2024, Charlie Kawwas stated that the company is attracting resources to develop its AI-infrastructure strategy.
According to 2024 data, Semiconductor solutions account for more than half of AVGO’s revenue. Infrastructure Software profits are also growing steadily. In the last quarter, the company showed growth in cash from operations. The dividend yield is 1.16%.
Microsoft Corporation (MSFT)
Microsoft is best known for products such as Bing and Xbox. The company also offers a cloud platform for enterprise clients, Azure. MSFT has stable operating margins. The forward dividend yield is 0.76%.
Apple Inc. (AAPL)
Apple’s most famous product is its intelligent personal assistant, Siri. It is integrated into iOS, watchOS, macOS and tvOS to enhance the user experience. The company also expects strong growth in the number of Apple Intelligence users in the coming years. The dividend yield is 0.48%.
Intel Corporation (INTC)
The company aims to gain a significant share of the graphics processing unit market. Acquisitions are key to Intel’s development in the AI industry. The most interesting of these are the following development companies:
- FPGAs – Altera;
- driver assistance systems – Mobileye;
- software and AI chips – Nervana;
- processors and software for electric vehicles – Silicon Mobility.
The forward dividend yield, calculated based on the last payment, is 2.24%.
In 2025, however, Intel has not yet declared dividends. It made the list of the best AI stocks that pay dividends based on past performance.
OpenText Corp. (OTEX)
OpenText develops software development for integrated information management. The ArcSight Intelligence project uses artificial intelligence to identify insider risks and cyber threats.
For debt reduction, a decision was made of assets divestiture. OTEX sold Application Modernization and Connectivity in 2024. The company is expected to develop in the cybersecurity and cloud security segments.
As of March 31, 2025, quarterly revenue decreased by 13.32%. However, there is a cloud technologies organic growth. The company reported a net income margin of 7.4%. Operating cash flows amounted to $402 million, while free cash flows were $209 million. The dividend yield is 4.01%.
Accenture plc (ACN)
Information management and consulting agency Accenture is actively implementing digital solutions in key regions of operation. The company has been the victim of a stock market correction. The share performance from February to April 2025 resulted in a loss of over 25% in value.
At the same time, ACN reported an increase in new bookings revenue, including from Generative AI bookings. As of February 28, 2025, total revenues for the last 12 months amounted to $67.2 billion, with operating income of $10.296 billion. The dividend yield is 1.98%.
Best-Performing AI Stocks
The table presents the three most effective stocks from the Indxx Global Robotics & Artificial Intelligence Thematic Index.
| Ticker | Company | One-year returns |
| SOUN | SoundHound AI Inc | 108.67% |
| UPST | Upstart Holdings Inc | 107.37% |
| FARO | FARO Technologies Inc | 69.66% |
SoundHound AI develops voice-based AI products. Its voice assistants are in demand in restaurants, the automotive sector, and the hospitality sector. The client list for SOUN includes Hyundai, Pandora, and others.
UPST represents an AI lending marketplace. The company acts as an intermediary between banks, credit unions, and borrowers. Here, personal loans, auto loans, and refinance loans can be obtained. AI technologies facilitate the approval of applications from marginalized communities.
FARO provides software and hardware products for 3D imaging and 3D measurement. Its systems are used in the defense sector, automotive industry, energy, law enforcement, and shipbuilding.
The stocks mentioned in this section are not the best dividend AI stocks. The listed companies do not pay dividends to shareholders.
Navigating AI Investment Risks
Some stock advisor services believe that there is an AI bubble in the stock market. This buzzword is being used to inflate share price premiums. In the private markets, huge sums of money are being poured into companies that do not have products that fit the market. There is no guarantee that the growth potential investors are buying will be monetized.
In recent years, the tech giants have increased their market capitalization. However, many tech stocks do not show significant growth in fundamental metrics. Investors need to adopt a flexible approach to navigate the uncertainties associated with the political and economic environment. It is also important to be aware of market pitfalls and challenges.
Nevertheless, the technology sector remains a resilient leader in the stock market. An AI stock that pays dividends appears to be a suitable asset for a diversified portfolio. Time will tell whether artificial intelligence can deliver long-term growth and reliable income.
Buying a business that exploits this pioneering innovation can turn out to be a very good deal. However, it is important to carefully select AI stocks with dividends for a long-term portfolio. Not all of today’s existing companies will be able to demonstrate earnings growth.
The Bottom Line: Building a Balanced AI Investment Strategy
Individual stocks and narrowly focused ETFs are riskier investments than S&P 500 index funds. Stock advisors recommend a 10% portfolio guideline for such assets.
AI stock with dividends can make a significant contribution to the returns of a diversified portfolio. This is a fast-growing industry with significant upside potential. The machine learning impact and other areas of AI has led to paradigm shifts in society. However, there are always pitfalls when investing in emerging industries.
FAQ
What are the best AI stocks to buy now under $10?
Shares of SoundHound AI Inc (SOUN), Veritone Inc. (VERI), Microvision Inc (MVIS), and Alithya Group Inc Class A (ALYA) are priced under $10.
What is the best penny AI stock to buy right now?
Shares of Parazero Technologies Ltd (PRZO), Fiscalnote Holdings Inc (NOTE), and Exela Technologies Inc (XELA) are priced under $1. However, an incredibly low price should not be the sole reason for purchase, as it does not always indicate immense growth potential.
What stock will make me rich in 10 years?
In addition to the listed AI dividend stocks to buy, Taiwan Semiconductor Manufacturing can be noted. In 2024, global semiconductor manufacturing spending reached $148.45 billion. TSM can be classified as high dividend AI stocks, with a current yield of 1.53%. However, it is important to remember the geopolitical risk involved with Taiwan.
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