Companies Beyond Tech are Using A.I. as ChatGPT Mania Takes Hold

It's not just big tech stocks that are taking notes from ChatGPT as an artificial intelligence revolution begins.

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There has been a lot of talks lately about artificial intelligence (AI), which has been used by companies for years to improve products, efficiency, and business models. As a result of the launch of ChatGPT, a language chatbot that has been backed by Microsoft, there has been a frenzy among investors and on Wall Street around the use of artificial intelligence.

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ChatGPT is estimated to have gathered 100 million users in January alone, causing Alphabet, Meta Platforms, and many other companies to share how artificial intelligence is being used to improve their business during their quarterly earnings conferences, according to data from UBS.

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While it might seem impossible to imagine how Artificial Intelligence (AI) can play a role in everyday life, it is important to understand that AI tools can help companies better analyze data, reduce costs, improve efficiency, and - theoretically, at least - increase shareholders' value in the long run.

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As we see in recent earnings calls of industry giants such as financial bellwethers, oil giants, and industrial behemoths, it is apparent that the push for artificial intelligence is taking hold in our daily lives and is beginning to make its way into our daily lives. As a result, you should not be surprised if it changes how we live, sleep, and work in the future in terms of how we live, sleep, and work in the future.

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While Trade Algo is harnessing the power of artificial intelligence to improve expenses within high-speed broadband and innovate within the industry, Stanley Black & Decker is using it to improve the way concrete is measured as it hardens.

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In its analysis of FactSet, Trade Algo discovered frequent references to artificial intelligence, ChatGPT, and similar terms, as well as variations on those terms, in the transcripts of the fourth quarter earnings calls of a number of health, industrial, and financial stocks.

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AI is improving the business of some of the biggest companies outside of technology:

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Artificial intelligence is the future of healthcare

Healthcare companies may be one of the biggest beneficiaries of the latest trends in artificial intelligence in the near future.

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A GE Healthcare Technologies earnings call this month highlighted how AI and deep learning applications are improving efficiencies, better-detecting population trends, and reducing scan times for imaging affecting approximately 5.5 million patients worldwide.

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A particular advantage of utilizing AI within Vivid's cardiac ultrasound portfolio is that it speeds up imaging measurements and improves the assessment of heart muscle function, according to CEO Peter Arduini.

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In addition to GE, there are a number of other companies doing the same. Cardinal Health, as well as the hospital operator HCA, highlighted the use of artificial intelligence and machine learning to help customers better manage their inventories and purchases. As a matter of fact, even Quest Diagnostics has acknowledged the potential benefits of AI for productivity and sampling.

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It is also worth noting that some healthcare companies view AI and machine learning as tools that can be utilized when there is a shortage of doctors or resources in specific areas. Karleen Oberton, the chief financial officer of the medical imaging company Hologic, recently discussed the value of machine learning as a way of improving patient experience and enhancing the efficiency of radiologists' practices.

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Health care and biotechnology are seen by Wells Fargo as being the next frontier for AI research and development. According to analyst Nathan Treybeck, for example, he recently initiated coverage of iRhythm Technologies with an overweight rating. The Zio monitors are created by a company called Zio, which uses artificial intelligence and machine learning to detect arrhythmias more efficiently than more traditional methods of tracking them.

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“It is clear that Zio monitors have demonstrated leading patient compliance and diagnostic yield metrics,” the analyst wrote. He placed a $150 price target on Hologic shares, which represents a nearly 38% gain over Tuesday's closing price.

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Financials

A number of other areas of the market are poised to profit from the implementation of artificial intelligence, according to the management teams of these companies.

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As far back as 2021, Wells Fargo announced that it would be launching its first AI-powered virtual assistant known as Fargo. During an earnings call last month, CEO Charles Scharf said that the company is on track to introduce the tool to its customers later this year, where it is already being used by some employees.

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Several months ago, Wells Fargo also introduced Vantage, an AI tool that offers tailored recommendations based on a client's preferences.

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During Nasdaq's earnings call last month, its president and CEO Adena Friedman said that Nasdaq is looking forward to developing AI-based orders within its markets platform by utilizing the exchange operator's cloud infrastructure and analytics capabilities.

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“In collaboration with our exchange technology clients, we will deploy cloud-based market infrastructures in their home markets as well,” she said.

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Industrials and energy producers

A number of old-school industrial stocks, energy providers, and their service providers have also lauded the use of artificial intelligence in improving efficiency in their businesses.

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Parker-Hannifin said artificial intelligence tools are helping it better forecast demand from customers and suppliers. SLB, the world's largest offshore drilling contractor, noted strong growth in its AI sales.

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Xcel Energy, a Minneapolis-based utility company, recently announced its intention to use artificial intelligence technology to improve efficiency at its plants and make maintenance more proactive and preventative, according to Brian Van Abel, Xcel's chief financial officer.

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"We are heavily investing in real-time scheduling as well as other opportunities to use AI in our business," he said. The CEO of Caterpillar, Jim Umpleby, stated during a recent earnings call with investors that the company is "investing heavily" in AI tools to increase aftermarket service, repair, and parts availability for its construction equipment.

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“The right parts need to be at the right place at the right time in order to ensure that we can anticipate where those parts will be needed and that is one of the advantages of having connected assets and utilizing Artificial Intelligence to ensure that we can anticipate where those parts will be needed,” he explained.

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There is no doubt that artificial intelligence will have a place in the recruitment business in the future.

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There were at least five instances of AI being mentioned on Bob Half International's January conference call, with management emphasizing the use of AI in the recruitment process.

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M. Keith Waddell, CEO of M. Keith Waddell & Associates, LLC, said the tools have revolutionized the way he identifies and selects candidates. "We are now focusing our efforts on using artificial intelligence tools to identify the warmest leads for the field professionals in our sales departments," he said. “It’s early days, but we’re optimistic.”