3 AI Stocks Riding The Enterprise Software Push

Central banks in Australia are openly talking about how artificial intelligence could influence productivity and inflation. That puts AI stocks into the spotlight right now. When policy makers watch a technology trend this closely, many investors start asking whether they are positioned for it. This article looks at three stocks from an AI screener focused on chips, software and cloud that are closely linked to the ChatGPT and large language model build out.

The stocks covered below are just a sample from this AI theme, and the full screen surfaces 15 more companies with equally compelling narratives that are not included in the article. If you want to go straight to the source and identify your own highest conviction ChatGPT and large language model plays, analyze the Artificial Intelligence/ AI Stocks screener.

Cerillion (AIM:CER)

Cerillion provides billing, charging and customer management software to telecom operators worldwide, and its AI powered Business Insights platform applies machine learning to customer, usage and revenue data to support predictive decisions. The company generates about £22.6 million from Software, £17.8 million from Services and £2 million from Other activities, so AI linked tools sit within a broader telecom software suite rather than dominating revenue. Cerillion has a market cap of around £274.7 million.

Cerillion gives you exposure to telecom operators that are starting to use AI for real customer and network decisions, not just pilots. Business Insights and the AI driven Enterprise Product Catalogue plug directly into billing and service design. As a result, any shift toward automated offers and dynamic pricing could support growth and margins over time. At the same time, recent half year results showed revenue and earnings declining, and there are flags around non cash earnings and a higher risk capital structure. That mix of AI potential, solid profitability metrics and earnings volatility is exactly why many investors are watching Cerillion closely but still have more work to do on the balance of risk and reward.

AI loaded billing software with real telecom customers is only half the Cerillion story. See how that opportunity stacks up against revenue pressure, non cash earnings and the capital structure in the 4 key rewards and 1 important major warning sign

Build your own shortlist of AI driven software stocks

Cerillion and the other two stocks in this article all surfaced from a single Simply Wall St screen, but the real edge comes when you tailor the filters yourself. Use our Screener to mix valuation, quality, risk and balance sheet filters in a way that fits your approach, or start with one of our curated Investing Ideas.

Bytes Technology Group (LSE:BYIT)

Bytes Technology Group is an IT solutions provider that helps organisations move to the cloud, secure their systems and roll out AI enabled software, including Large Language Model integrations and managed AI/ML platforms. The company generates about £220.6 million from its IT Solutions Provider segment, covering software, security, hardware and cloud subscriptions across the United Kingdom and abroad. Bytes Technology Group has a market cap of around £977 million.

Investors looking at the AI theme may see Bytes Technology Group as a way to benefit from companies that are actually rolling out cloud based AI and LLM projects, rather than just talking about them. The business is investing in AI focused software, cybersecurity and a new marketplace portal. It is also dealing with pressure from lower margin public contracts, Microsoft rebate changes and a reset of profit expectations out to 2027. That mix of AI exposure, solid profitability metrics and execution risk around hiring, office expansion and rebate alignment means there is more to unpack before deciding how Bytes really fits into an AI heavy portfolio.

Bytes Technology Group sits at the crossroads of real world AI rollouts and reset profit expectations. This is exactly why many investors are reassessing it through the 3 key rewards and 1 important warning sign

AdvancedAdvT (AIM:ADVT)

AdvancedAdvT is a London based software group focused on business and healthcare solutions, with its clearest AI link coming from AI based healthcare intelligence, compliance and accreditation tools, plus intelligent process automation and cloud workforce management SaaS. The company reports about £53.4 million of revenue from Internet Software & Services, largely in the United Kingdom, and has a market cap of roughly £231 million.

AdvancedAdvT gives you a pure software exposure where AI is being used for concrete jobs in hospitals and businesses, from automating compliance checks to helping managers plan staffing in the cloud. Investors are weighing earnings expectations and demand for healthcare automation against compressed profit margins, a recent one off loss and reliance on external borrowing. For investors seeking AI that is closer to regulated workflows than consumer chatbots, this is a story that may warrant closer monitoring.

AdvancedAdvT is building real traction in AI powered healthcare and business software, yet compressed margins and that recent one off loss leave a crucial question unanswered. The 2 key rewards and 2 important warning signs could reveal what many investors are still missing

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This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.

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