3 Artificial Intelligence (AI) Stocks That Are Better and Safer Buys Than Anthropic

Anthropic's IPO is coming later this month, and it could fetch a valuation as high as $2 trillion, which would eclipse the valuation at which Space Exploration Technologies Corp went public earlier in the year. It's a hefty valuation, to say the least, for a business that faces a lot of competition in artificial intelligence (AI) and which still isn't truly profitable.

Rather than buying Anthropic's IPO, there are three better AI stocks that investors may be better off owning right now. Alphabet (NASDAQ:GOOG)(NASDAQ:GOOGL), Amazon (NASDAQ:AMZN), and Microsoft (NASDAQ:MSFT) are all iconic tech giants that are trading at some very reasonable valuations. Here's why they can be better and safer investments to hang on to for the long haul than Anthropic.

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Alphabet

Shares of Alphabet fell last week after the tech company posted less-than-exciting quarterly results. They fell short of analysts' expectations, and so the stock nosedived to nearly its 52-week low.

But Alphabet is a terrific business, with plenty of solid assets, including Google Search, YouTube, and its Gemini chatbot, which rivals Anthropic's Claude. With Alphabet, investors get exposure to a leading AI chatbot without having to take on all the risk that comes with investing in an IPO and a company that still has so much to prove.

Alphabet's recent results may not have beaten analyst expectations, but they were still incredibly strong overall. The company's revenue totaled $127.6 billion for the September quarter, which was an increase of 25% year over year. And its operating income totaled $40.6 billion, which was 32% of its top line.

This is an unstoppable AI stock to own, and with Alphabet trading at a forward price-to-earnings (P/E) multiple of just 18, based on analyst estimates, it can be a fantastic buy right now.

Amazon

Another company that gives investors plenty of exposure to AI is Amazon. It too is a growth beast, particularly in e-commerce where its online marketplace is a go-to option for consumers all over the world.

It has invested billions in Anthropic, being one of its key investors. For investors, buying shares of Amazon is a way to get some indirect exposure to Anthropic. It's not quite the same as buying the IPO directly, but it's also a much safer option overall; Amazon isn't going anywhere, and its operations remain robust.

In its most recent quarterly results, the company's net sales rose by 12% to $201.9 billion. Its Amazon Web Services segment did particularly well, rising by 39% year over year, as it benefits from strong AI-driven demand for its cloud services.

Amazon has ample ways to benefit from AI's growth in the future, and it has also been developing its own chips, which are so promising that CEO Andy Jassy believes that, if it were a stand-alone business, it could generate around $50 billion annually in sales.

The tech stock is having an underwhelming year thus far in 2026, as it's up around just 7%. It's trading at a forward P/E multiple of 22, which is still fairly modest for a business this massive and with such tremendous growth prospects; it's another solid option for AI investors to consider.

Microsoft

Tech giant Microsoft is another major AI player investors should consider instead of Anthropic. The company uses multiple chatbots across its products and services, allowing users to use them in its Office software to make spreadsheets easier or draft documents more efficiently.

Microsoft may not have a highly popular chatbot in development, but it certainly stands to benefit significantly from AI-related developments. When it reported earnings last week, its growth rate remained strong at 19% in the September quarter, with revenue reaching $92.3 billion. Operating income of $45.9 billion was massive, about half of its top line.

That's one thing that Anthropic and many other IPOs don't have out of the gate – strong profit margins. That can be crucial for a business to continue growing and reinvesting in its operations. Microsoft has an exceptional business model with plenty of AI-related growth opportunities.

For investors, buying the stock today can be a no-brainer move. Its forward P/E of 26 is the highest on this list, but the premium may be justifiable for one of the best tech companies in the world.

David Jagielski, CPA has no position in any of the stocks mentioned. The Motley Fool has positions in and recommends Alphabet, Amazon, and Microsoft. The Motley Fool recommends Space Exploration Technologies. The Motley Fool has a disclosure policy.