Investor Joe Terranova buys these AI plays with 'strong momentum, strong fundamentals’

Joe Terranova said he sees an opportunity in both Twilio and Generac as the artificial intelligence trade continues to take over the market. Terranova said on CNBC's " Halftime Report " on Tuesday afternoon that he recently reallocated funds to these two stocks. "The two names that I purchased are Twilio — software name that has worked remarkably well, benefiting from agentic AI, touching messaging and voice — and then Generac," the chief market strategist for Virtus Investment Partners said. "Generac, which is now participating in the AI power story as backup power to the AI data center. Both of those names — strong momentum, strong fundamentals." Twilio shares have gained about 60% year to date, while Generac stock has more than doubled over the same period. Terranova also highlighted Starbucks as a trade he currently likes from a technical perspective. "You have a nice pullback here into the support of moving averages; you're using 200 days, you stop at $91," he said. While Starbucks shares have gained almost 14% year to date, the stock is down nearly 10% over the past month. SBUX YTD mountain Starbucks stock year to date During the show, investor Brian Belski also shared that he had recently bought Dick's Sporting Goods and Academy Sports and Outdoors . Belski called Dick's Sporting Goods a "fantastic retailer" that has "done a really great job," with the integration of Foot Locker serving as a catalyst. …