G.L.A INVE$T RE$EARCH THE INFINITE INNOVATION NEWSLETTER 10 Smaller AI Companies That Could Outperform When Rates Pull Back. On Demand Deep Dive Report – For Premium Subscribers.
Happy Tuesday Earthlings!
Welcome back to the Infinite Innovation Newsletter! At G.L.A INVE$T RE$EARCH our mission is to keep our network "in the know" with what's really going on with the stock market and it's best investments. Through our family of newsletters and one on one coaching calls we provide Breaking news, news translations , on demand deep dive reports, Independent experienced persperctives and insights of a 25 year wall st veteran and former broker, and 24/7 coverage of the top innovation companies in the public and private markets. Today I wanted to do a piece on some of the smaller or less known Innovation companies that are doing some amazing things, and could outperform when the ten year treasury pulls back.
Here are 10 smaller AI names with real catalysts that the crowd just marked down because of the spike in interest rates.
Higher Yields on the 10 Year US Treasury are one of the effects of high oil prices and the war with IRAN.
1. Cerebras Systems (CBRS): Inference Chips $196.74 | -4.84% today | ~$46.7B mkt cap | ~49% below 52-wk high Thesis:Fastest Inference Chips In The World, with demand that is seemingly infinite.Big contracts with AWS, META,OPEN AI. Catalyst:Today, Gimlet Labs added Cerebras to its inference cloud, targeting up to 3,000 tokens per second, with the first datacenter expected later this year. Q2 core revenue more than doubled to $209.9M, cloud revenue rose 287% year over year, and contracted capacity is now above 600 MW through 2027. Risk: It's a recent IPO, so more insider shares keep hitting the market. IMHO Cerebras is one of my top ten favorite longterm investments because they are the true leader when it comes to inference and speed.The supply demand imbalancewill remain until Elon gets his data centers up in space and finishes with Terrafab in Texas, which will take 3-5 years at a minimum. (Not investment advice)
2. Credo Technology (CRDO): AI Networking $192.67 | -8.67% today | ~$36.2B | ~38% below 52-wk high Thesis: Moving data fast between chips is the choke point in every AI cluster, and Credo sells the connections that do it. Catalyst: Quarterly revenue was $479.0M, up 114.7%, its seventh straight quarter of triple-digit growth. Next quarter's guidance is $525M to $535M, and management expects more than 85% revenue growth for the fiscal year. Risk: Four customers make up about 84% of revenue. It swings hard, and it was the biggest loser on this list today. IMHO- This one is new to me, I will be digging deeper on it.
3. Astera Labs (ALAB): AI Semiconductors $351.31 | -3.65% | ~$61.0B | ~30% below 52-wk high Thesis: Memory is the new bottleneck, and Astera's chips let data centers get more out of the memory they already have. Catalyst: On Sept. 15 it launched new memory controller chips. Paired with its switches, the company says AI models start answering up to 62% faster. Earnings are expected around Nov. 3. Risk: It trades at about 173 times trailing earnings, and the average analyst target is only about 11% above today's price. IMHO- This one looks interesting, will dig deeper.
4. Nebius Group (NBIS): AI Cloud Infrastructure $231.88 | -2.30% | ~$63.6B | ~23% below 52-wk high Thesis: An AI cloud that's raising prices, which only happens when demand is outrunning supply. Catalyst: Its GPU rental rates go up 17% to 21% on Oct. 1, the second hike in three months. Last quarter it signed four contracts worth more than $1B each on average, and Palantir just named it a preferred partner for government AI projects. Risk: It took on $5.75B in convertible debt in August, so share dilution is a real risk. No dollar value was disclosed for the Palantir deal.IMHO -I like the chart and story here, and I love the deal with Palantirt, I will be digging deeper on this one.
5. Innodata (INOD): AI Training Data $66.79 | -3.50% | ~$2.3B | ~47% below 52-wk high Thesis: Every new model needs expert-labeled data and safety testing, and Innodata sells both. Catalyst: Q2 revenue was $92.1M, up 58%. It reaffirmed 40%-plus growth for 2026, and that guidance doesn't yet include several large programs still being scoped. Risk: A handful of big AI labs make up most of its revenue, and the stock moves violently both ways.
6. SoundHound AI (SOUN): Vertical AI Software $5.83 | -3.64% | ~$2.6B | ~74% below 52-wk high Thesis: Voice AI for restaurants, cars and healthcare, available near a 52-week low. Catalyst: Q2 revenue hit a record $61.9M, up 45%, and it raised full-year guidance to $230M to $260M. It closed its LivePerson acquisition on Sept. 4 and paid off LivePerson's debt. Risk: Merging two companies is hard, it's still unprofitable, and it hasn't yet updated guidance to include LivePerson.IMHO , Soun looks like an imposter to me, this is a company that has changed its name many times to fit what ever is hot at the moment, And the chart looks like a broken company, Im going to stay away from this , if it does spike I may do some puts on it.
Im Not Liking this chart, Looks like an Imposter Ai Company.
7. Symbotic (SYM): Robotics $42.00 | -3.38% | ~$25.4B | ~52% below 52-wk high Thesis: Physical AI already running in real warehouses, with the backlog to prove it. Catalyst: Last quarter's revenue was $721M, up 22%, with $55M in profit and a $22.5B contracted backlog. Risk: It leans heavily on Walmart, and only about 15% of that backlog turns into revenue within a year. IMHO- I will dig deeper on this one, the jury is out.
8. Ambarella (AMBA): Edge AI $68.68 | -5.50% | ~$3.0B | ~29% below 52-wk high Thesis: Chips that run AI right inside cameras, cars and drones instead of in the cloud. Catalyst: Quarterly revenue was $108.1M, up 13.2%, and next quarter's guidance is $115M to $124M. It also has a long-term edge-AI deal with Hanwha worth more than $800M. Risk: It still loses money under standard accounting rules, and it's tied to the auto cycle.
9. SentinelOne (S): AI Security $22.74 | +1.61% today | ~$7.9B | near its 52-wk high of $24.40 Thesis: Every AI safety scare strengthens the case for AI-native security, and today proved it. Catalyst: Quarterly revenue was $292M, up 21%, and recurring revenue passed $1.2B.It raised full-year revenue guidance to about $1.2B. Cybersecurity stocks rallied today as investors moved into defensive software. Risk: It's still unprofitable, and the market is crowded.
10. Tempus AI (TEM): AI in Healthcare $85.08 | +0.08% | ~$15.4B | ~18% below 52-wk high Thesis: A massive clinical dataset that's now producing FDA-cleared products. Catalyst: In August the FDA cleared its tool that spots signs of pulmonary hypertension on standard ECGs. It raised 2026 revenue guidance to about $1.6B, and its pending $1.5B Personalis deal got a lift from positive late-stage cancer vaccine results from Merck and Moderna. Risk: The stock already trades above the average analyst target of about $68.56, and it's still unprofitable. IMHO $TEM is a great way to play the longterm “personalized Medicine” Sector, Cathie woods and Ark Invest love it as well, TEM Has been in My Top 15 for 2 years now.
- If you need a deep dive report with the G.L.A GAUNTLET score email me at GLAINVESTRESEARCH@GMAIL.com
DISCLAIMER:THIS IS NOT INVESTMENT ADVICE OR FINANCIAL ADVICE, ALL INFO IS MEANT FOR EDUCATIONAL PURPOSES. G.L.A INVEST and Coach Kyle are Not Financial Advisors or Licensed Brokers, we are a private research company that helps investors make informed decisions.
