Ten stocks stood firmer on Tuesday, bucking a lackluster performance on Wall Street, as investors digested a flurry of strong corporate earnings and upbeat company outlooks.
Meanwhile, only the Dow Jones finished in the green, up 0.10 percent. The S&P 500 and the tech-heavy Nasdaq both fell by 0.33 percent and 0.59 percent, respectively.
In this article, we focus on the 10 top-performing names on Tuesday and break down the reasons behind their gains.
To come up with the list, we considered only the stocks with a $2 billion market capitalization and 5 million shares in trading volume.
Photo by Jonathan Borba on Pexels
10. Shopify Inc. (NASDAQ:SHOP)
Shopify extended its winning streak to a third consecutive day on Tuesday, jumping 7.47 percent to close at $127.24 apiece as investors digested a mix of rating and price target upgrades from investment firms ahead of the e-commerce operator’s earnings release.
In its market report, ATB Cormark Capital raised its rating for Shopify Inc. (NASDAQ:SHOP) to “outperform” from “sector perform” previously, while maintaining a $250 price target, saying that the latter is in an attractive territory and is well positioned to be a capital light beneficiary from the booming AI.
Meanwhile, another investment firm, BMO, reiterated its “outperform” rating for the stock, albeit slashing its price target to $150 from $190 previously.
The rating upgrade was based on expectations that the company would post a solid earnings performance in the last quarter of the year, driven by sustained market share gains against US holiday e-commerce sales that modestly exceeded expectations.
Shopify Inc. (NASDAQ:SHOP) is scheduled to release its financial and operating highlights on Wednesday, February 11.
Lastly, Shopify Inc. (NASDAQ:SHOP) was issued a “buy” recommendation from equity research firm MoffettNathanson, an upgrade from “neutral” previously. It also received a higher price target of CA$203.57 versus CA$171.94 earlier.
9. Hasbro Inc. (NASDAQ:HAS)
Hasbro rallied to a new six-year high on Tuesday, as investors took heart from an investment firm’s “buy” recommendation for its stock despite a dismal earnings performance last year.
In its market report, Roth MKM reaffirmed its “buy” on shares of Hasbro Inc. (NASDAQ:HAS), alongside a price target of $105.
Meanwhile, the stock soared to its highest price of $105.35 at intra-day trading before trimming gains to end the day just up by 7.48 percent at $104 apiece.
Hasbro Inc. (NASDAQ:HAS) announced on Tuesday that it swung to an attributable net loss of $322.4 million from a $385.6 million net income in 2024, despite net revenues jumping by 14.6 percent to $4.7 billion from $4.1 billion year-on-year.
In the fourth quarter alone, the company incurred a $201.6 million attributable net income, reversing a $34.3 million net loss in the same comparable period. Net revenues jumped by 31 percent to $1.4 billion from $1.1 billion.
Looking ahead, Hasbro Inc. (NASDAQ:HAS) remains upbeat about its outlook for 2026, with revenues expected to grow by 3 to 5 percent. Adjusted EBITDA is pegged at $1.4 billion to $1.45 billion.
Earnings aside, Hasbro Inc. (NASDAQ:HAS) announced the distribution of a $0.70 cash dividend to all common shareholders as of February 18, payable on March 4, 2026.
It is also planning to repurchase $1 billion worth of its shares in a bid to boost shareholder value.
8. Fermi Inc. (NASDAQ:FRMI)
Fermi extended its winning streak to a third day on Tuesday, surging 8.17 percent to finish at $9.40 apiece as investors cheered its successful raising of $500 million in fresh funds through debt.
In a statement, Fermi Inc. (NASDAQ:FRMI) said that it was able to secure the funds through a loan with MUFG Bank Ltd., one of the 10 largest financial groups globally. The loan was made in partnership with Texas Tech University System.
Fermi Inc. (NASDAQ:FRMI) said that proceeds from the offer will be used to support the development of its 11-gigawatt energy campus called Project Matador, with the company targeting to deliver an initial 2.3 GW of power.
A huge chunk will be used for the acquisition of three F-class gas turbines from Siemens Energy, while the balance will be allocated for the repayment of existing loans, as well as the delivery, completion, and deployment of additional turbines within its fleet within the first half of the year.
“This financing puts real muscle behind our strategy—securing long-lead equipment early, staying ahead of the market, and executing with certainty,” said Fermi Inc. (NASDAQ:FRMI) CEO Toby Neugebauer.
”We’re doing what most people said was unthinkable, and we’re doing it at Fermi speed,” he noted.
7. Masco Corp. (NYSE:MAS)
Masco jumped to a new 52-week high on Tuesday, after beating earnings expectations and receiving a price target upgrade from an investment firm.
At intra-day trading, the stock jumped to its highest price of $79.19 before paring gains to finish the session just up by 8.67 percent at $77.82 apiece.
In an earnings call, Masco Corp. (NYSE:MAS) said that adjusted earnings per share last year stood at $3.96, beating its earlier guidance of $3.90 to $3.95.
Attributable net income dipped by 1 percent to $810 million from $822 million in 2024, while net sales declined by 3 percent to $7.56 billion from $7.83 billion year-on-year.
In the fourth quarter alone, attributable net income decreased by 9.3 percent to $165 million from $182 million. Net sales declined by 2.2 percent to $1.79 billion from $1.83 billion, dragged by lower sales from decorative architectural products and North American sales.
“Overall, our fourth quarter operating results were largely in line with our expectations, as we continued to navigate through a dynamic geopolitical and macroeconomic environment,” said Masco Corp. (NYSE:MAS) President and CEO Jon Nudi.
For this year, Masco Corp. (NYSE:MAS) is projecting sales to be roughly flat or grow by low single digits, while adjusted EPS is targeted at a range of $4.10 to $4.30 per share.
6. Figma Inc. (NYSE:FIG)
Figma grew its share prices by 8.90 percent on Tuesday to close at $24.10 apiece as investors loaded portfolios ahead of its earnings outcome for the fourth quarter and full-year periods of 2025.
The company is scheduled to report its financial and operating highlights after market close on Wednesday, February 18. A conference call will be held to discuss the results.
The rally was supported by the company’s earlier upbeat outlook for the said period.
For the full-year alone, Figma Inc. (NYSE:FIG) is looking to register $1.044 billion to $1.046 billion in revenues, or an implied growth of 40 percent year-on-year from the midpoint.
Operating income is also expected at $112 million to $117 million.
In the fourth quarter alone, the company is expecting revenues between $292 million and $294 million, or a 35 percent growth year-on-year from the midpoint.
Investors will also be closely watching out for Figma Inc.’s (NYSE:FIG) outlook for the first quarter and full-year 2026.
Analysts have earlier posted an optimistic outlook for software stocks, saying the selloff in the sector was already “overdone” and that investors should take it as an opportunity to buy on dips rather than a warning.
JPMorgan also suggested loading up on higher-quality software stocks that are resilient to AI.
5. Entegris Inc. (NASDAQ:ENTG)
Entegris jumped to a new 52-week high on Tuesday, as investors cheered its upbeat outlook for the first quarter of the year, despite reporting a dismal earnings performance last quarter.
At intra-day trading, Entegris Inc. (NASDAQ:ENTG) soared to its highest price of $137.05 before paring gains to finish the session just up by 9.03 percent at $133.44 apiece.
In a statement, the company announced targets of growing its net income by 3.3 percent to 22 percent, to $65 million to $77 million from $62.9 million in the same period last year.
Net sales are targeted at $785 million to $825 million, or an implied growth of 1.5 percent to 6.7 percent from the $773.2 million reported in the same period a year earlier.
Last year, Entegris Inc. (NASDAQ:ENTG) dropped its net income by 19.5 percent to $235.6 million from $292.8 million in 2024. Net sales dipped by 1.2 percent to $3.2 billion from $3.24 billion year-on-year.
For the fourth quarter alone, net income fell by 51.7 percent to $49.4 million from $102.3 million, while net sales decreased by 3 percent to $823.9 million from $849.8 million year-on-year.
4. Credo Technology Group Holding Ltd (NASDAQ:CRDO)
Credo Technology extended its winning streak to a fourth consecutive day on Tuesday, jumping 9.16 percent to close at $134.72 apiece as investor sentiment was bolstered by a highly optimistic outlook for this year and the next, with revenues targeted to more than triple year-on-year.
In a statement, the company said it expects revenues to grow by “more than 200 percent year-over-year” amid the rapidly growing demand from the AI sector.
Credo Technology Group Holding Ltd (NASDAQ:CRDO) also released preliminary results on its third quarter earnings performance ending January 31, with expectations of $404 million to $408 million in revenues, or above the high-end of its previous guidance of $335 million to $345 million.
Official results are scheduled for release after market close on March 2.
In other news, Credo Technology Group Holding Ltd (NASDAQ:CRDO) announced that its PCIe 6.0 technology-capable Toucan PCIe retimer has recently earned PCI-SIG compliance.
The said product, which achieved compliance at PCIe 5.0 technology speeds, ensures interoperability, signals integrity, and low-power performance across industry-standard platforms. This enables customers to deploy the technology and previous generation systems, avoiding compatibility and debugging challenges common with legacy-only solutions while preparing for future PCIe technology transitions.
3. Koninklijke Philips NV (NYSE:PHG)
Philips soared to a new 52-week high on Tuesday, as investors cheered its strong earnings performance and upbeat business outlook over the next two years.
At intra-day trading, the stock soared to its highest price of $33.44 before trimming gains to finish the session just up by 11.11 percent at $32.91 apiece.
During its earnings call, Koninklijke Philips NV (NYSE:PHG) announced targets of growing its sales by 3 to 4.5 percent year-on-year, alongside an adjusted EBITDA margin of 12.5 percent to 13 percent, taking into account the current global tariff environment.
In the next two years, it plans to grow its comparable sales by mid-single digits CAGR, and also targets an adjusted EBITA margin to rise by mid-teens in 2028.
Last year, Koninklijke Philips NV (NYSE:PHG) swung to an 897 million euro net income from a $698 million euro net loss in 2024. Sales dipped by 17.8 billion euros from 18.02 billion euros year-on-year.
In the fourth quarter alone, net income stood at 397 million euros, reversing a 333 million euro net income in the same quarter a year earlier. Sales inched up by 1.2 percent to 5.1 billion euros from 5.04 billion euros year-on-year.
2. Datadog Inc. (NASDAQ:DDOG)
Datadog rallied for a third straight day on Tuesday, jumping 13.74 percent to close at $129.67 apiece after posting a strong revenue performance in both the full-year and fourth quarter of 2025.
In an earnings call, Datadog Inc. (NASDAQ:DDOG) said that revenues last year surged by 27 percent to $3.4 billion from $2.68 billion in 2024, while revenues in the fourth quarter alone jumped by 29 percent to $953 million from $737.7 million year-on-year.
Net income, on the other hand, declined by 41 percent last year to $107.7 million from $183.7 million in 2024, but net profit in the fourth quarter inched up by 2 percent to $46.6 million from $45.6 million year-on-year.
Looking ahead, Datadog Inc. (NASDAQ:DDOG) is targeting revenues between $951 million to $961 million, with earnings per share of $0.49 to $0.51.
For the full-year 2026, revenues are projected at $4.06 billion to $4.1 billion, while EPS is pegged at $2.08 to $2.16.
“Looking forward to 2026, we are excited about our plans to deliver more AI-powered innovation and help our customers with their complex challenges in modern Observability, Security, Software Delivery, Service Management, and Product Analytics,” said Datadog Inc. (NASDAQ:DDOG) CEO Olivier Pomel.
1. Spotify Technology SA (NYSE:SPOT)
Spotify soared by 14.75 percent on Tuesday to close at $476.02 apiece as investor sentiment was boosted by its strong earnings performance last year.
In an earnings call, Spotify Technology SA (NYSE:SPOT) said that attributable net income last year surged by 94 percent to 2.2 billion euros from 1.1 billion euros in 2024. Total revenues jumped by 10 percent to 17.19 billion euros from 15.67 billion euros year-on-year.
In the fourth quarter alone, Spotify Technology SA (NYSE:SPOT) generated 1.17 billion euros in net income, higher by 220 percent than the 367 million euros year-on-year.
Revenues stood at 4.5 billion euros, higher than the 4.2 billion euros on the same comparable period.
During the quarter, Spotify Technology SA (NYSE:SPOT) also ended at 290 million premium subscribers, marking a 10 percent jump year-on-year.
Monthly active users stood at 751 million, or 11 percent higher than last year.
“Today, what we’ve really built is a technology platform for audio—and increasingly, for all the ways creators connect with audiences. And this identity will matter even more going forward. The next wave of technology shifts—AI, new interfaces, wearables, new ways of interacting with content—these will reshape how people discover and experience audio and media. The hard problems ahead—in music, in podcasts, in books, in video, in live, and in things we haven’t built yet—we’re going to keep building the technology to solve them,” said Executive Chairman Daniel Ek.
While we acknowledge the potential of SPOT to grow, 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 SPOT and that has 100x upside potential, check out our report about this cheapest AI stock.
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