The AI trade has become overcrowded, and with the exception of Google and Nvidia, the Mag 7 stocks haven’t even managed to beat the S&P 500 index in 2025. If recent comments from Goldman Sachs are anything to go by, 2026 could be similar, and investors will need to work harder to find alpha stocks from the rest of the market.
Peter Oppenheimer, a research analyst at Goldman Sachs, believes diversification could give better risk-adjusted returns in 2026. In an outlook report published on January 8, he is quoted as saying:
Investors should look for opportunities for broad geographic exposure, including an increased focus on emerging markets. They should seek a mix of growth and value stocks and look across sectors. And they may watch for the possibility that stocks move less in lockstep, creating a good opportunity for picking individual names.
Looking at the broader market makes sense. In a January 22 report, Schroders Wealth Management pointed out how the large companies, which comfortably outperformed between 2022 and 2025, plan to spend in the coming year. As a result, they are likely to suffer under the weight of their own investments:
Over 2025, the AI “hyperscalers” Meta, Amazon, Alphabet, Microsoft and Oracle invested over $400 billion in capital expenditure (capex), much of it directed toward AI. That’s almost $150 billion more than forecast a year ago, with plans to reach $900 billion in the next two years.
Amid this growth in spending, opportunities are likely to continue to arise elsewhere. This is why we decided to look at the 10 best NASDAQ growth stocks to buy for the Next 10 years.
Our Methodology
To compile our list of 10 Best NASDAQ Growth Stocks to Buy for the Next 10 Years, we considered only NASDAQ-listed stocks with a market capitalization of at least $5 billion, yielding fundamentally sound, well-established players. We then filtered out stocks with expected revenue growth exceeding 20% per annum over the next 5 years and forward EPS growth exceeding 20%. Next, we examined their potential upside according to analysts and ranked them in ascending order. We have also included the number of hedge funds that hold the stock as of Q3 2025.
All the share price data in the article is as of market close on January 30.
10. SiTime Corporation (NASDAQ:SITM)
Potential Upside: 5.96%
Number of Hedge Fund Holders: 35
Timothy Arcuri, an analyst at UBS, increased the firm’s price target on SiTime from $375 to $430 while keeping a Buy rating on the stock on January 26. The adjusted price target implies a further 20% upside from the current level.
Earlier, on January 16, Barclays upgraded the stock from Sell to Hold. Barclays analyst Tom O’Malley also raised the firm’s price target on SiTime from $260 to $360. The analyst highlighted in a research note to investors that the company now has improved prospects as growth in AI ventures continues to drive both margin improvement and revenue expansion. He further acknowledged that Barclays had previously underestimated the impact of the company’s portfolio transformation. He observed that the company has effectively evolved into a primarily AI-focused business.
He expressed his thoughts by stating:
This small-cap has real exposure to AI and a better mousetrap in MEMS timing (CED growing 46%/34% Y/Y in CY26/27). The company is attacking a [multi-billion dollar total addressable market] with a better solution and adding to their product offering (clocks, etc.). They are levered to [Credo Technology’s] [active electric cable] and [Nvidia’s] switching, two of our favorite trends.
SiTime Corporation (NASDAQ:SITM) is a developer, seller, and designer of silicon timing systems solutions in the United States, Taiwan, Singapore, Hong Kong, and internationally. It offers various types of oscillators and resonators & clock integrated circuits. The company was founded in 2003 and is based in Santa Clara, California.
9. Krystal Biotech, Inc. (NASDAQ:KRYS)
Potential Upside: 10.5%
Number of Hedge Fund Holders: 26
Andrea Tan, an analyst at Goldman Sachs, raised the firm’s price target on Krystal Biotech, Inc. (NASDAQ:KRYS) from $206 to $327 on January 30 while keeping a Buy rating. The firm’s revised price target implies an additional 16.7% upside from current levels. The company is positioning itself for short-term growth through three registrational programs. These programs include KB801, KB803, and KB407. All three programs are expected to support potential product launches around 2028, as outlined in a research note to investors.
The firm sees Ophthalmic programs as de-risked. They are also considered highly scalable because they can build on the existing Vyjuvek commercial platform. KB407 is also viewed as a promising opportunity in cystic fibrosis. However, stronger confidence in its long-term potential will depend on additional FEV1 data.
Moreover, on January 26, Clear Street analyst William Maughan increased the firm’s price target on Krystal Biotech, Inc. (NASDAQ:KRYS) from $288 to $338 while maintaining a Buy rating. The upward-adjusted price target offers a further 20.7% upside from the current levels. According to the analyst, the recent share price strength has been supported by the continued growth of Vyjuvek. It also pointed to the growing investor appreciation for the company’s expanding pipeline.
The firm also noted that the most sustained source of investor excitement is focused on the company’s potential in the neurotrophic keratitis market, driven by KB801. The higher estimates of KB801 were a key factor behind the upward revision in its price target, according to the firm.
In addition to Clear Street, Bank of America also raised its price target on Krystal Biotech, Inc. (NASDAQ:KRYS) from $288 to $318 on January 22 while keeping a Buy rating. The firm’s revised price target implies an additional 13.8% upside from current levels. The firm highlighted continued growth in Vyjuvek as a key support for the story. Beyond that, the analyst said that investors are expected to pay close attention to the timing of upcoming neurotrophic keratitis (NK) data as BofA views it as a significant catalyst for the stock this year.
Krystal Biotech, Inc. (NASDAQ:KRYS) is a commercial-stage biotechnology company. The company develops, discovers, manufactures, and commercializes genetic medicines to treat diseases with high unmet medical needs across the United States. Its products include VYJUVEK, KB105, KB104, KB407, KB707, and others. Krystal Biotech, Inc. was incorporated in 2016 and is based in Pittsburgh, Pennsylvania.
8. Advanced Micro Devices (NASDAQ:AMD)
Potential Upside: 16.86%
Number of Hedge Fund Holders: 115
On January 29, Susquehanna analyst Christopher Rolland reiterated his Buy rating on Advanced Micro Devices (NASDAQ:AMD) stock, along with a price target of $300. This represents a 19% upside from the current price.
The reasons for the above upgrade are twofold. First, AMD’s fundamentals are improving according to the analyst. AMD’s EPYC Server CPUs have a strong demand, with certain configurations sold out already for a major part of 2026. The Windows 10 end-of-life has also spurred PC demand, though memory constraints are likely going to keep the growth in check for now.
The other positive, according to Christopher Roland, is the AI demand. He believes Q4 results should come in strong thanks to robust data center demand, especially the MI350 GPU sales. AMD is expected to benefit from the launch of the MI450 accelerator in the second half of the year as large-scale AI deployments kick in.
AMD’s new Ryzen 7 chip, announced at CES 2026, is also receiving positive user feedback. According to a report on hardware website Tom’s Hardware, the Ryzen 7 9850X3D chip shows a 7% performance increase over the prior 9800X3D chip. Moreover, it achieves this without needing a significant upgrade on the memory front. This shows how AMD’s product upgrades continue to impress its users, a positive sign for any company’s R&D efforts.
Advanced Micro Devices (NASDAQ:AMD) is a semiconductor company known for its Ryzen CPUs, Radeon graphics cards, EPYC server processors, and, more recently, AI inference accelerators. The company is led by Dr. Lisa Su and is headquartered in Santa Clara, California.
7. Argenx SE (NASDAQ:ARGX)
Potential Upside: 19.29%
Number of Hedge Fund Holders: 50
According to a report released on January 21, Emily Bodnar of H.C. Wainwright maintained a Buy rating along with the price target of $915 on Argenx SE (NASDAQ:ARGX). The firm’s price target reflects a modest 8.93% upside from the current levels.
Additionally, on January 20, Wells Fargo reiterated its Buy rating on Argenx SE (NASDAQ:ARGX). However, Wells Fargo analyst Derek Archila raised the firm’s price target on the stock from $1,264 to $1,317, implying a further 55% upside from current levels.
In addition to the price target, the analyst also raised the firm’s Vyvgart revenue estimates for the 2026-2030 period by 5%-15%. This adjustment reflects Wells Fargo’s expectations for a stronger performance than previously anticipated. The firm highlighted that the FY 2026 consensus revenue estimate of $5.6 billion appears to underestimate the company’s growth potential. As per the firm’s estimates, the company could achieve $6.5 billion in revenue. This assumes single-digit QoQ growth in Q1, followed by low double-digit QoQ growth from Q2 through Q4.
Argenx SE (NASDAQ:ARGX) is a commercial-stage biopharmaceutical company. It develops various therapies for the treatment of autoimmune diseases across the Netherlands, the United States, China, Japan, and internationally. The company’s products include VYGART HYTRULO and VYGART. Argenx SE was founded in 2008 and is based in Amsterdam, the Netherlands.
6. Astera Labs, Inc. (NASDAQ:ALAB)
Potential Upside: 36.91%
Number of Hedge Fund Holders: 57
Investors are liking the progress on Astera Labs, Inc.’s (NASDAQ:ALAB) product roadmap. ALAB announced significant updates to its Scorpio X-Series line on January 23. The development highlights the company’s continued focus on addressing the evolving needs of the growing AI infrastructure market and hyperscale data centers.
The updated ScorpioX-Series, developed in collaboration with hyperscalers, will feature increased radix support, allowing the systems to accommodate a broader range of cluster sizes. This flexibility enables hyperscalers to optimize infrastructure and workloads for their specific needs, rather than relying on one-size-fits-all solutions. Additionally, the series will include protocols tailored to individual hyperscale platforms. These protocols are designed to remove integration barriers and facilitate smooth deployment.
Moreover, Astera Labs, Inc. (NASDAQ:ALAB) is also introducing other advanced capabilities, including in-network computing, hypercast technology, and optical connectivity. In-network computing enhances performance as it allows data-intensive tasks to move directly from GPUs to the fabric switch. These advancements are aimed at providing hyperscalers with the flexibility required for complex AI workloads and enabling multi-rack deployments.
Chief Business Officer at Astera Labs, Thad Omura, commented:
As hyperscalers scale to larger cluster sizes and deploy more complex AI workloads, they need flexible connectivity portfolios that can address varied architectural approaches—not one-size-fits-all solutions. The market opportunity is substantially larger than we initially anticipated, encompassing multiple device configurations, connectivity modalities, and protocol requirements. We’re accelerating our development efforts across the Scorpio X-Series to serve this expanded opportunity and deliver the purpose-built solutions the market demands.
Astera Labs, Inc. (NASDAQ:ALAB) is a manufacturer, designer, and seller of semiconductor-based connectivity solutions for cloud and AI infrastructure. The company provides an intelligent connectivity platform, the COSMOS software suite, PCIe/CXL smart DSP retimers & cable modules, CXL memory connectivity controllers, and smart fabric switches.
5. Broadcom Inc. (NASDAQ:AVGO)
Potential Upside: 37.99%
Number of Hedge Fund Holders: 183
Chris Caso of Wolfe Research upgraded Broadcom Inc. (NASDAQ:AVGO) from Peer Perform to Outperform, setting a price target of $400 on January 30. The firm’s price target implies an additional 20.7% upside from the current levels.
The upgrade came after channel checks indicated the company could ship as many as 7 million tensor processing units by 2028. According to the analyst, other ongoing projects are anticipated to add flexibility, giving Broadcom Inc. (NASDAQ:AVGO) additional optionality in its production and revenue outlook. In Wolfe Research’s bullish scenario, the company’s artificial intelligence revenue is projected to double by 2027. This expansion could drive earnings to around $18 per share, with the stock currently trading at roughly 22 times this projected earnings power.
The research note emphasized that Broadcom’s growing presence in tensor processing units cannot be ignored. Wolfe Research highlighted the company’s accelerating growth trajectory and increasing competitiveness in this key segment, signaling that Broadcom is becoming a major player in the AI hardware space.
Additionally, on January 27, Counterpoint Research reported that the company is expected to maintain its position as a leading artificial intelligence server compute ASIC design partner, capturing around 60% of the market by 2027.
Broadcom Inc. (NASDAQ: AVGO) is a developer, designer, and supplier of semiconductor devices and infrastructure software solutions. It operates through the Infrastructure Software and Semiconductor Solutions segments. The company provides wireless and networking connectivity, server and storage system solutions, and broadband solutions.
4. AeroVironment, Inc. (NASDAQ:AVAV)
Potential Upside: 44.82%
Number of Hedge Fund Holders: 37
On January 28, KeyBanc analyst Michael Leshock raised the firm’s price target on AeroVironment, Inc. (NASDAQ:AVAV) from $285 to $330 while maintaining a Buy rating. The firm’s upwardly adjusted price target indicates a further 12.5% upside from current levels.
The firm said that it is updating its outlook on the industry following a series of recent developments and headlines that have directly influenced the space and defense technology sectors. KeyBanc expects an attractive macroeconomic environment to persist through 2026. The firm anticipates this environment to support meaningful growth opportunities and potentially lead to valuation re-ratings across space and defense technology stocks.
Moreover, the United States Air Force awarded a $75M task order to UES, a division of the advanced research and development leader AeroVironment, Inc. (NASDAQ:AVAV), to support the modernization of the defense system. The contract is focused on the development of next-generation biotechnology materials science capabilities under the Functional Responsive Experimentation for Systems and Humans program.
AeroVironment, Inc. (NASDAQ:AVAV) produces, supports, develops, designs, and delivers a portfolio of robotic systems and related services for businesses and government agencies across the United States and the world. The company operates through the Space, Cyber, Directed Energy, and Autonomous Systems segments.
3. Arm Holdings plc (NASDAQ:ARM)
Potential Upside: 57.41%
Number of Hedge Fund Holders: 37
On January 26, UBS analyst Timothy Arcuri lowered the firm’s price target on Arm Holdings plc (NASDAQ:ARM) from $195 to $175 while reaffirming a Buy rating. The revised price target implies a further 66% upside from the current levels. This upside is consistent with the median Wall Street analyst estimate of 61%, based on 43 analysts covering the stock.
In addition to UBS, Wells Fargo reduced its price target on Arm Holdings plc (NASDAQ:ARM) on January 26. Joseph Quatrochi, an analyst at Wells Fargo, reiterated his Buy rating on the stock while lowering the firm’s price target from $195 to $160. The downward-adjusted price target reflects an additional 51.86% upside from the current levels.
The firm remains optimistic about the company’s long-term prospects, highlighting its strong position to benefit from emerging opportunities in artificial intelligence. Wells Fargo has reduced its revenue projections for 2027 and 2028. It also pointed out that the current street Royalty revenue estimates, which forecast a 27% year-over-year increase, appear overly optimistic.
Arm Holdings plc (NASDAQ:ARM) develops, licenses, and designs central processing unit products and related technologies for original equipment manufacturers and semiconductor companies. Its products are used in different markets, including computing infrastructure, the Internet of Things, automotive, and consumer technologies.
2. AppLovin Corporation (NASDAQ:APP)
Potential Upside: 59.92%
Number of Hedge Fund Holders: 110
On January 30, Evercore ISI analyst Robert Coolbrith reaffirmed a Buy rating and a $835 price target on AppLovin Corporation (NASDAQ:APP). The firm’s price target suggests a further 53.96% upside from here, consistent with the median Wall Street analyst estimate of 63.6%, based on 32 analysts covering the stock.
Additionally, investment firm Needham upgraded AppLovin Corporation (NASDAQ:APP) from Hold to Buy on January 26. Bernie McTernan of Needham set the price target of $700 for the shares, offering a further 29% upside from current levels. The upgrade was based on the analyst’s latest analysis showing stronger-than-expected growth in the company’s e-commerce revenue.
In a research note to investors, Bernie McTernan explained that they upgraded the stock after further analysis of the e-commerce segment, which has increased their confidence in the anticipated growth of e-commerce revenue in 2026. It reflects the firm’s growing optimism about the company’s short-term revenue potential. The firm now projects e-commerce revenue of $1.45 billion for 2026, up significantly from its previous forecast of $1.05 billion.
Analyst Bernie McTernan stated:
We are increasing our e-commerce estimates for ’26E to $1.45B vs. $1.05B prior, which includes sequential growth in 1Q as we now assume the growth in advertisers from the self-service launch and ramp up in spend more than offsets typical 1Q seasonality. Despite the increase to our e-commerce estimates, we think there is potential upside to our estimates in our bull case, which assumes APP revenue can experience a similar trajectory as TikTok.
AppLovin Corporation (NASDAQ: APP) develops a software-based platform for advertisers. Its platform improves monetization and marketing of the content. The company operates in the Apps and Advertising segments. It offers AppDiscovery, MAX, Adjust, and Wurl. AppLovin Corporation was founded in 2011 and is based in Palo Alto, California.
1. Mobileye Global Inc. (NASDAQ:MBLY)
Potential Upside: 67.13%
Number of Hedge Fund Holders: 43
Tigress Financials analyst Ivan Feinseth reaffirmed a Buy rating on Mobileye Global Inc. (NASDAQ:MBLY) while maintaining a price target of $25 on January 29. The firm’s price target suggests an attractive 178% upside from the current levels. This update came after the company released its FY 2025 financial results and provided guidance for Q1 2026, reflecting the firm’s confidence in its growth and strong demand for its EyeQ products.
Mobileye Global Inc. (NASDAQ:MBLY) closed 2025 on a strong note, as reported on January 22: revenue increased 15%, operating cash flow rose by more than 50%, and adjusted operating profit grew 45%. For the full year 2026, the company expects revenue to be in the range of 1.9 billion to $1.98 billion, indicating a flat to 5% growth. It projects the EyeQ volume to reach slightly above 37 million units. This includes 10 million units in the first quarter and just over 9 million units per quarter for the rest of the year.
Due to inflation, Mentee R&D expenses, advanced product infrastructure, and foreign exchange headwinds, operating expenses are anticipated to increase by approximately 10% to $1.1 billion. However, gross margin is expected to be down year-over-year because of the EyeQ5 costs and vehicle mix effects.
CFO Moran Rojansky commented on the Q1 2026 outlook:
We expect about 10 million EyeQ units shipped in Q1, which supports our outlook of approximately 19% year-over-year growth in the first quarter.
Mobileye Global Inc. (NASDAQ:MBLY) operates as a developer and deployer of autonomous driving technologies and solutions, including advanced driver assistance systems (ADAS). It operates in the Mobileye and Other segments. The company offers Base ADAS, Cloud-Enhanced ADAS, and Surround ADAS. It also provides Mobileye Chauffeur, SuperVision, and Mobileye Drive.
While we acknowledge the potential of MBLY as an investment, our conviction lies in the belief that some AI stocks hold greater promise for delivering higher returns and have limited downside risk. If you are looking for an AI stock that is more promising than MBLY and that has 100x upside potential, check out our report about the cheapest AI stock.
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