Investors are closely monitoring the stock market as analysts, including Dan Ives of Wedbush Securities, forecast that 2026 will be a pivotal year for technology stocks, particularly those capitalizing on artificial intelligence (AI). During a recent appearance on CNBC, Ives emphasized the significant potential for growth driven by the monetization of AI, particularly within software sectors. He indicated that large-cap tech stocks, commonly referred to as the “Mag Seven,” could see gains exceeding 20%, with major players like Microsoft and Google potentially rising by 30% to 40%.
Ives projects that over the next three to four years, the tech industry could witness investments ranging from $3 trillion to $4 trillion. He noted that the ongoing sell-off in major tech stocks may present a lucrative buying opportunity for investors. As the market anticipates these shifts, attention has turned to a curated list of stocks expected to thrive by 2026.
Top 10 Stocks to Watch in 2026
The following stocks have been identified as having substantial upside potential based on a combination of analyst ratings and hedge fund interest. The list employs data from the Finviz stock screener, CNN, and Insider Monkey’s Q3 2025 hedge fund database, focusing on stocks with more than 50% upside potential.
10. BioNTech SE (NASDAQ:BNTX)
**Analyst Upside Potential:** 53.64%
**Number of Hedge Fund Holders:** 24
BioNTech recently completed its acquisition of CureVac N.V., enhancing its oncology and infectious disease pipeline. H.C. Wainwright reaffirmed a Buy rating with a price target of $140, citing promising results from a Phase 2 trial for a new cancer therapy.
9. IonQ, Inc. (NYSE:IONQ)
**Analyst Upside Potential:** 50.58%
**Number of Hedge Fund Holders:** 30
IonQ has expanded its partnership with QuantumBasel, with a contract valued at over $60 million. Analysts expect sales to double by 2025, reflecting the company’s strong market position in quantum computing.
8. Credo Technology Group Holding Ltd (NASDAQ:CRDO)
**Analyst Upside Potential:** 53.20%
**Number of Hedge Fund Holders:** 56
Despite a recent dip, Credo’s revenue surged by 272.08% year-over-year, reaching $268.03 million. Analysts predict continued growth, with guidance indicating further market expansion.
7. 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 positions the company as a leader in AI cloud services. Analysts are optimistic about its growth potential, especially within the biotech sector.
6. Core Scientific Inc. (NASDAQ:CORZ)
**Analyst Upside Potential:** 69.87%
**Number of Hedge Fund Holders:** 68
Core Scientific’s recent performance has led to upgraded ratings, with expectations for significant revenue growth in Q4 2025 projected at $108.48 million.
5. Coinbase Global, Inc. (NASDAQ:COIN)
**Analyst Upside Potential:** 59.11%
**Number of Hedge Fund Holders:** 73
Coinbase is diversifying beyond cryptocurrency, though analysts express caution regarding the sustainability of its new revenue streams.
4. Coupang, Inc. (NYSE:CPNG)
**Analyst Upside Potential:** 57.33%
**Number of Hedge Fund Holders:** 83
Following a major data breach, Coupang’s stock has seen some volatility, but analysts maintain a positive long-term outlook, highlighting the resilience of its business model.
3. Roblox Corporation (NYSE:RBLX)
**Analyst Upside Potential:** 83.06%
**Number of Hedge Fund Holders:** 90
Roblox is working to address regulatory concerns in Russia, which could help lift a ban and enhance its market position. Analysts project significant upside based on user engagement metrics.
2. Sea Limited (NYSE:SE)
**Analyst Upside Potential:** 60.70%
**Number of Hedge Fund Holders:** 102
The company is set to release its fiscal Q4 earnings, with analysts optimistic about its growth trajectory, especially following a recent partnership with OpenAI.
1. Oracle Corporation (NYSE:ORCL)
**Analyst Upside Potential:** 53.67%
**Number of Hedge Fund Holders:** 122
Oracle is poised to benefit significantly from a joint venture involving TikTok, which could enhance its cloud infrastructure revenue. Analysts expect the deal to close by January 22, 2026.
As investors evaluate these stocks, the insights from analysts like Dan Ives signal a robust outlook for technology companies as they navigate the evolving landscape of AI and digital transformation. This anticipated growth presents both opportunities and challenges for investors eyeing the market in the coming years.
