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The shares of developing AI companies that are typically low-priced, typically under $5, are referred to as "AI Penny Stocks." Because these companies are generally in their early stages, investment in their stocks may be risky. Companies with significant innovation potential, on the other hand, have the potential for massive growth in the coming years.

Penny stocks are small-company equities that trade for less than $5. The majority of these stocks are traded over-the-counter via the electronic OTC Bulletin Board (OTCBB) or OTC Markets Group, and are hence referred to as OTC stocks. Some even trade on the NASDAQ or NYSE and must comply with the US Securities and Exchange Commission (SEC).