As the financial landscape evolves, analysts are predicting that 2026 will mark a significant turning point for technology stocks, particularly those connected to the artificial intelligence (AI) sector. On December 20, 2023, Dan Ives, Managing Director at Wedbush Securities, shared insights on CNBC regarding the anticipated boom in AI-related investments. Ives highlighted the growing monetization of AI technologies, especially in software, as a driving force behind this bullish outlook.
According to Ives, major tech stocks, particularly the “Magnificent Seven,” are expected to see gains of over 20% in the coming years. He specifically pointed to companies like Microsoft and Google, forecasting increases of 30% to 40%. With projected investments totaling between $3 trillion to $4 trillion over the next few years, Ives believes that the current sell-off in some tech stocks presents an ideal buying opportunity for investors.
Identifying the Top Stocks for 2026
To identify the ten stocks with the highest potential for growth by 2026, a rigorous methodology was employed. This included the use of the Finviz stock screener, insights from CNN, and data from Insider Monkey’s Q3 2025 hedge fund database. The objective was to curate a list of stocks with an anticipated upside of more than 50%.
The stocks were ranked based on their upside potential and the number of hedge fund holders, with data collected as of December 19, 2025. The reasoning behind this selection process lies in research indicating that mimicking the top stock picks of successful hedge funds can lead to outperformance in the market.
Ten Stocks to Watch
1. **BioNTech SE (NASDAQ:BNTX)**
Analyst Upside Potential: 53.64%
Number of Hedge Fund Holders: 24
BioNTech recently finalized its acquisition of CureVac N.V. (NASDAQ:CVAC), enhancing its focus on mRNA technology. Following promising results from a Phase 2 trial for a new cancer treatment, analysts are optimistic about the firm’s future.
2. **IonQ, Inc. (NYSE:IONQ)**
Analyst Upside Potential: 50.58%
Number of Hedge Fund Holders: 30
IonQ expanded its agreement with QuantumBasel, with a contract valued at over $60 million. Analysts anticipate continued growth, with sales expected to double again in 2025.
3. **Credo Technology Group Holding Ltd (NASDAQ:CRDO)**
Analyst Upside Potential: 53.20%
Number of Hedge Fund Holders: 56
Despite a 12.27% decline following its fiscal Q2 2026 earnings, analysts remain positive, citing significant revenue growth and strong future guidance.
4. **Nebius Group N.V. (NASDAQ:NBIS)**
Analyst Upside Potential: 73.26%
Number of Hedge Fund Holders: 65
The launch of Nebius AI Cloud 3.1 aims to enhance performance and operational transparency, positioning the company favorably within the AI infrastructure market.
5. **Core Scientific Inc. (NASDAQ:CORZ)**
Analyst Upside Potential: 69.87%
Number of Hedge Fund Holders: 68
Following a drop of more than 19.34% in stock value, analysts have upgraded their outlook based on robust growth projections in HPC infrastructure.
6. **Coinbase Global, Inc. (NASDAQ:COIN)**
Analyst Upside Potential: 59.11%
Number of Hedge Fund Holders: 73
Despite a cautious outlook from some analysts regarding its diversification strategy, Coinbase remains a key player in the cryptocurrency space.
7. **Coupang, Inc. (NYSE:CPNG)**
Analyst Upside Potential: 57.33%
Number of Hedge Fund Holders: 83
Following a major data breach, Coupang adjusted its price target. Nonetheless, the long-term outlook remains positive, emphasizing the company’s innovative logistics.
8. **Roblox Corporation (NYSE:RBLX)**
Analyst Upside Potential: 83.06%
Number of Hedge Fund Holders: 90
Recently facing regulatory challenges in Russia, Roblox is willing to modify its platform to comply with local laws, which could pave the way for future growth.
9. **Sea Limited (NYSE:SE)**
Analyst Upside Potential: 60.70%
Number of Hedge Fund Holders: 102
The company has been actively collaborating with OpenAI to enhance AI usage in Southeast Asia while maintaining strong growth metrics.
10. **Oracle Corporation (NYSE:ORCL)**
Analyst Upside Potential: 53.67%
Number of Hedge Fund Holders: 122
Recent reports indicate a potential $14 billion joint venture involving TikTok, expected to significantly enhance Oracle’s Cloud Infrastructure revenue, while addressing data security concerns.
The insights shared by Dan Ives and the subsequent analysis of these stocks highlight the evolving nature of the technology sector, particularly in relation to AI. Investors may find opportunities for substantial returns as these companies navigate the competitive landscape leading into 2026.
