In this article, we will take a look at the 11 Best Large-Cap Tech Stocks to Invest In.
The technology sector is being reshaped by demand for enterprise hardware, driven by the growth of AI computing and next-generation data centers. Much of the technology investment cycle is now centered around AI.
According to Gartner, the top 10 strategic technology trends in leading organizations include AI-Native Development Platforms, AI Supercomputing Platforms, Confidential Computing, Multiagent Systems, Domain-Specific Language Models, Physical AI, Preemptive Cybersecurity, Digital Provenance, AI Security Platforms, and Geopatriation. The majority of operations in the technology sector are either directly or indirectly linked to AI. Here is what VP Analyst at Gartner, John-David Lovelock, said:
AI infrastructure growth remains rapid despite concerns about an AI bubble, with spending rising across AI‑related hardware and software. Demand from hyperscale cloud providers continues to drive investment in servers optimized for AI workloads.
Gartner expects server spending to accelerate in 2026, increasing approximately 36.9% from a year ago. Total data center spending is projected to reach $650 billion in 2026, up from nearly $500 billion in 2025.
According to research from Deloitte, the rapid expansion of AI workloads is pushing unprecedented growth, with the global AI infrastructure market recording high double-digit growth over the past several years. Deloitte expects the global AI infrastructure market to reach $758 billion by 2029.
AI infrastructure is also supporting the semiconductor market, as the demand for AI-optimized processors, edge computing devices, and high-performance chips is fueling robust semiconductor growth. According to the World Semiconductor Trade Statistics, the global semiconductor market is set to approach $1 trillion in 2026, up 26.3% from 2025.
With that, let’s take a look at the 11 Best Large-Cap Tech Stocks to Invest In.
Photo by Pascal Bernardon on Unsplash
Our Methodology
To create the list of 11 best large-cap tech stocks to invest in, we looked at the largest technology companies widely held by hedge funds. We selected the top 11 tech companies with positive analyst views and strong upside. Finally, we ranked these 11 stocks based on the number of hedge fund holders in each stock using the hedge fund data sourced from Insider Monkey’s database, as of Q4 2025.
Why are we interested in the stocks that hedge funds pile into? The reason is simple: our research has shown that we can outperform the market by imitating the top stock picks of the best hedge funds. Our quarterly newsletter’s strategy selects 14 small-cap and large-cap stocks every quarter and has returned 498.7% since May 2014, beating its benchmark by 303 percentage points (see more details here).
Note: All the data is as of market close on March 10, 2026.
11. Lam Research Corporation (NASDAQ:LRCX)
Number of Hedge Fund Holders: 104
Lam Research Corporation (NASDAQ:LRCX) is one of the best large-cap tech stocks to invest in.
On March 10, TheFly reported that Thomas O’Malley at Barclays raised the price target on Lam Research Corporation (NASDAQ:LRCX) from $250 to $255, while maintaining its Equal Weight rating.
Barclays lifted the price target on LRCX after its analysts increased estimates for the wafer fab equipment companies. O’Malley believes that the robust investment environment in the sector will be a major catalyst for LRCX.
In other news, Argus Research also increased its price target on LRCX from $175 to $280 on February 3, while maintaining its Buy rating. The firm updated the rating after strong Q2 FY2026 results. Lam Research posted adjusted earnings per share of $1.27, surpassing estimates by $0.10. Revenue of $5.34 billion was ahead of consensus estimates by $105.35 million.
The firm noted that Lam Research is well-positioned to benefit from long-term technology trends fueling the semiconductor demand. These trends include gen AI, cloud data centers, IoTs, EVs, robotics, and AI-enabled edge devices.
Lam Research Corporation (NASDAQ:LRCX) focuses on the design and development of semiconductor processing equipment used to fabricate integrated circuits (ICs) worldwide.
10. Applied Materials, Inc. (NASDAQ:AMAT)
Number of Hedge Fund Holders: 111
Applied Materials, Inc. (NASDAQ:AMAT) is one of the best large-cap tech stocks to invest in.
On March 10, Applied Materials, Inc. (NASDAQ:AMAT) announced a long-term research and development partnership with SK hynix. The collaboration focuses on speeding the development of next-gen DRAM and HBM technologies for AI and high-performance computing.
A team of engineers from both companies will work together at Applied Materials’ EPIC Center in Silicon Valley. The engineering team will focus on materials engineering, process integration, and advanced 3D packing to enhance the performance and manufacturing ability of future memory systems. SK Hynix will be a founding partner, joining Applied Materials at the EPIC Center, along with providing advanced packaging research in Singapore.
Applied noted that its $5 billion EPIC Center is expected to open later this year. The center is designed to provide earlier access to chipmakers to develop an R&D portfolio, reduce development cycles, and accelerate the transition of next-gen semiconductor technologies into high-volume manufacturing for AI.
As of March 10, 37 analysts cover AMAT, with 29 rating the stock a Buy and 8 a Hold. The average price target of $427.50 implies an upside potential of more than 23.50%.
Applied Materials, Inc. (NASDAQ:AMAT) offers materials engineering solutions, along with equipment, services, and software to the semiconductor and related industries worldwide. The company operates through Semiconductor Systems and Applied Global Services (AGS) segments.
