Former hedge fund manager Jim Cramer has advised investors to buy shares of Meta Platforms and Shopify, both of which have seen significant stock price declines. Meta's stock dropped 24% while Shopify's fell 46%, creating what Cramer and Wall Street analysts view as a strategic entry point. The recommendation hinges on both companies' aggressive investments in artificial intelligence and their potential to lead in evolving digital markets.

Meta Platforms is integrating AI across its social platforms, boosting user engagement and advertiser demand. Despite high spending on AI development, the company reported strong first-quarter revenue and net income, signaling early returns on investment. Analysts project 14% annual earnings growth through 2027, making the current valuation appealing.

Shopify, meanwhile, is advancing AI-driven e-commerce tools through its Shopify Magic suite and a partnership with Google on the Universal Commerce Protocol. This open standard aims to enable agentic commerce, where AI agents conduct transactions autonomously. Though Shopify's guidance disappointed some investors, its first-quarter results showed solid revenue and adjusted net income. Analysts forecast 29% annual earnings growth through 2028, reinforcing the long-term case for the stock.