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Steer clear of artificial intelligence penny stocks and instead profit from the new technology through these kinds of stocks

The top AI stocks will profitably bring the new technology into the world. But the benefits will mostly accrue to well-established businesses, not start-ups

Many investors interested in new technologies wonder how to invest in artificial intelligence. Here’s how AI works—and how to profit from it.

CALIAN TECHNOLOGIES $19.92 (Toronto symbol CTY; TSINetwork Rating: Speculative) (613-599-8600; www.calian.comtarget=”_blank”; Shares outstanding: 7.3 million; Market cap: $147.1 million; Yield: 5.6%) has acquired Ottawa-based DWP Solutions for an undisclosed amount.

DWP has been in business for 18 years and helps government and defence customers secure their computer networks. The company’s annual revenue is around $6 million. To put that in context, Calian reported $51.2 million of revenue in the latest quarter.

The purchase is small for Calian, but it will be a good fit with the company’s Business and Technology Services division, which supplies engineers, health care workers, information technology professionals and other personnel on a contract basis.

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SYMANTEC CORP. $24.50 (Nasdaq symbol SYMC; TSINetwork Rating: Average) (408-517-8000; www.symantec.com; Shares outstanding: 690.5 million; Market cap: $16.9 billion; Dividend yield: 2.5%) is one of two companies that Home Depot (New York symbol HD) has hired to help investigate its recently discovered data breach.

Stolen Home Depot credit card numbers have turned up for sale on a website called Rescator.cc, which has been linked to a Ukrainian dealer in stolen credit cards.

It’s not yet clear how many customers were affected, but the total could exceed 60 million in Canada and the U.S. Customers at Home Depot’s Mexico stores were not affected, nor were online shoppers at HomeDepot.com. Personal identification numbers (PINs) for debit cards were not taken.

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The Successful Investor

BLACKBERRY LTD., $11.52, Toronto symbol BB, provides wireless communication services, mainly to businesses and government agencies.


The stock jumped 12% this week after an arbitrator awarded the company $814.9 million U.S....

We continue to recommend a number of companies that are now involved in, or are planning to expand into, green technology and green power production. However, while green stocks appeal to a lot of investors on an emotional and conceptual level, many offer only limited investment potential. That’s because green stocks may need a long time to move from the research or concept stage to profitability. The weak economy has also cast doubt on the future of government subsidies for green stocks. To cut your risk in green stocks, we recommend focusing on established firms that have a sound base of other operations, or whose products have a number of different uses....

Standard & Poor’s and the TMX Group, which operates the Toronto Stock Exchange, recently launched the S&P/TSX Clean Technology Index. This new index consists of 21 TSX-listed green technology stocks that provide products and services that help solve environmental problems.

Focus on quality when investing in green technology stocks

A number of the companies on the S&P/TSX Clean Technology Index are speculative in nature. (However, the index does contain one established company that may have found a profitable niche in wind and solar-power generation. Read on for further details.)...