On November 26, Dan Ives of Wedbush joined CNBC’s ‘Closing Bell Overtime’ to talk about the big tech trade, the AI revolution, and his view that the market is not currently in a bubble. Ives immediately addressed the flighty nature of the market and cautioned listeners to avoid getting caught up in weekly hype. He cited recent past narratives as examples of overreaction, including the idea that OpenAI would destroy Google Search, that Apple was dead money for initially missing out on AI (before the announcement of Apple Intelligence), and the more recent contention that Oracle is the fourth hyperscaler. He emphasized the need for investors to do their homework rather than chase weekly buzz. Ives then transitioned to his firm’s top tech picks and stated that Wedbush dedicates its time across Asia and the world to gauge demand, which informs its selections.
Ives also revisited his central thesis and declared that those who call the current market a bubble do so because the value is not yet visible in the spreadsheet. He firmly believes that the current tech bull market will continue for another 2 years. He connected this to a broader governmental support structure and referenced a recent executive order signed by the President for a major AI project called the Genesis mission, which he likened to the post-World War Two Manhattan Project. Ives believes this signals a government backstop for the AI bull market. He noted that, for the first time in 30 years, the US is ahead of China in tech, and Big Tech, led by Godfather of AI Jensen (Huang/Nvidia) and Microsoft (and OpenAI), benefits from government support. He maintained that despite worries about companies being too big to fail, the AI game is only in the top of the third, or maybe one out, with two more years left in the bull market.
That being said, we’re here with a list of the 12 most profitable tech stocks to buy.
Our Methodology
We first sifted through the Finviz stock screener to compile a list of the top tech stocks. We then used Seeking Alpha to pick profitable stocks that had high TTM net income (over $1 billion) and a high TTM net income margin (over 15%). From that list, we selected 12 stocks that were the most popular among elite hedge funds and that analysts were bullish on. The stocks are ranked in ascending order of the number of hedge funds that have stakes in them, as of Q3 2025.
Note: All data was sourced on December 4.
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 427.7% since May 2014, beating its benchmark by 264 percentage points (see more details here).
12 Most Profitable Tech Stocks to Buy
12. Palantir Technologies Inc. (NASDAQ:PLTR)
TTM Net Income as of December 4: $1.09 billion
TTM Net Income Margin as of December 4: 28.11%
Number of Hedge Fund Holders: 81
Palantir Technologies Inc. (NASDAQ:PLTR) is one of the most profitable tech stocks to buy. On December 4, Palantir Technologies, Nvidia (NASDAQ:NVDA), and US utility CenterPoint Energy (NYSE:CNP) announced that they are jointly developing a new software platform called Chain Reaction. This system is being created to accelerate the extremely complex process of building new AI data centers, which can consume as much electricity as a small city.
The partners view the current bottleneck to AI innovation as being energy and compute infrastructure, rather than algorithms, and Chain Reaction is designed as an operating system to resolve these issues. The Chain Reaction software is intended to help firms build these gigawatt-scale AI factories by streamlining challenges related to permitting, supply chain, and construction. It will use AI tools to coordinate and optimize the supply chain across various critical actors, including energy producers, power grid operators, data centers, and infrastructure builders.
This effort must account for the logistical interdependencies across different types of companies. For instance, the system will need to align the efforts of Nvidia’s chipmaking partners, like Taiwan Semiconductor Manufacturing, with the work of utilities like CenterPoint Energy, which secure permits for and construct electrical grid upgrades. The system will build upon the previous collaboration between Palantir and Nvidia that was unveiled last month, which applied AI to solve logistical challenges for retailers. However, Chain Reaction extends this model by integrating the entire AI infrastructure value chain
Palantir Technologies Inc. (NASDAQ:PLTR) builds and deploys software platforms for the intelligence community to assist in counterterrorism investigations and operations in the US, the UK, and internationally.
11. ASML Holding (NASDAQ:ASML)
TTM Net Income as of December 4: $11.08 billion
TTM Net Income Margin as of December 4: 29.38%
Number of Hedge Fund Holders: 82
ASML Holding (NASDAQ:ASML) is one of the most profitable tech stocks to buy. On December 3, Bank of America raised the firm’s price target on ASML to $1,331 from $1,092 and kept a Buy rating on the shares. BofA views fiscal 2027 as a key inflection point for ASML, which the firm believes will trigger a higher re-rating for the stock. This expected acceleration in performance is driven by two main factors: increased lithography intensity and an expansion in the company’s gross margins due to a more favorable product mix.
Earlier in its Q3 2025 earnings report, ASML Holding disclosed that the company achieved total net sales of EUR7.5 billion ($8.75 billion), falling within its guidance range. This was a 7.60% year-over-year increase. The EPS for the quarter totaled $6.39, which beat Street estimates by $0.17. Net System Sales totaled EUR5.6 billion, with EUV system sales contributing EUR2.1 billion of that figure, and Installed Base Management Sales reaching EUR2 billion.
Additionally, ASML showed strong demand for its most advanced technology, reporting Net System Bookings of EUR5.4 billion, with EUV systems accounting for EUR3.6 billion of that total. Looking ahead, ASML projects total net sales between EUR9.2 and EUR9.8 billion for Q4. For the Full Year 2025, the company expects total sales to be around EUR32.5 billion. ASML also highlighted a partnership with Mistral AI to enhance AI capabilities across its portfolio.
ASML Holding (NASDAQ:ASML) provides lithography solutions for the development, production, marketing, sales, upgrading, and servicing of advanced semiconductor equipment systems. It offers lithography, metrology, and inspection systems.
10. Autodesk Inc. (NASDAQ:ADSK)
TTM Net Income as of December 4: $1.11 billion
TTM Net Income Margin as of December 4: 16.13%
Number of Hedge Fund Holders: 83
Autodesk Inc. (NASDAQ:ADSK) is one of the most profitable tech stocks to buy. On November 26, Baird raised the firm’s price target on Autodesk to $377 from $367 and maintained an Outperform rating on the shares. This sentiment was announced by the firm as Baird updated its estimates following the company’s beat and raise results.
Autodesk’s revenue for FQ3 2026 grew by 18% year-over-year to make $1.85 billion, with non-GAAP EPS of $2.67. Billings surged by 21% to $1.85 billion, and free cash flow saw an increase of 116% year-over-year, reaching $430 million. The company’s growth was particularly strong in its Architecture, Engineering, Construction, and Operations/AECO segment, which grew by 23% to $921 million.
Autodesk is now executing a broad transformation in enterprise software by enhancing its products with cloud-based platforms and AI capabilities. The Autodesk Construction Cloud is gaining traction, with significant customer migrations and increased project penetration. Similarly, the Fusion platform is showing strong growth, marked by increased extension attached rates and higher average sales prices. RPO also grew 20% year-over-year to $7.4 billion, providing strong revenue visibility. For the full fiscal year 2026, Autodesk projects revenue between $7.15 and $7.165 billion, billings between $7.465 and $7.525 billion, and non-GAAP EPS between $10.18 and $10.25.
Autodesk Inc. (NASDAQ:ADSK) provides 3D design, engineering, and entertainment technology solutions worldwide.
9. Analog Devices Inc. (NASDAQ:ADI)
TTM Net Income as of December 4: $2.27 billion
TTM Net Income Margin as of December 4: 20.58%
Number of Hedge Fund Holders: 84
Analog Devices Inc. (NASDAQ:ADI) is one of the most profitable tech stocks to buy. On November 26, Morgan Stanley analyst Joseph Moore raised the firm’s price target on Analog Devices to $293 from $288 with an Overweight rating on the shares. This sentiment was posted after the company reported another strong quarter, accompanied by an above-seasonal outlook. Moore attributes this strength to a combination of company-specific and cyclical factors. The company’s growth in market share across various end markets, combined with its exposure to trends like data center and AI, is offsetting broader macroeconomic softness.
Analog Devices’ reported that it made $3.08 billion in FQ4 2025, which was a year-over-year rise of 25.90% and also surpassed expectations by $59.41 million. The company also earned $2.26 per share, which beat Street estimates by $0.03. For the full fiscal year 2025, Analog Devices achieved record revenue of $11 billion, which marked a 17% increase from 2024. EPS grew 22% compared to 2024, and reached $7.79.
The company’s growth was broad-based, with double-digit growth achieved across all end markets during the fiscal year, driven by both cyclical and company-specific factors. For FQ1 2026, Analog Devices projects revenue of ~$3.1 billion. This guidance reflects anticipated sequential growth led by Industrial and Communications, while Auto is expected to be down mid-single digits and Consumer down low double digits.
Analog Devices Inc. (NASDAQ:ADI) designs, manufactures, tests, and markets ICs, software, and subsystems products in the US, the rest of North and South America, Europe, Japan, China, and the rest of Asia.
8. Adobe Inc. (NASDAQ:ADBE)
TTM Net Income as of December 4: $6.96 billion
TTM Net Income Margin as of December 4: 30.01%
Number of Hedge Fund Holders: 88
Adobe Inc. (NASDAQ:ADBE) is one of the most profitable tech stocks to buy. On December 4, Citi lowered the firm’s price target on Adobe to $366 from $400, while keeping a Neutral rating on the shares. This announcement was made ahead of the company’s Q4 2025 earnings report. The firm anticipates that the company will slightly exceed its revenue estimates but has lowered its margin forecasts.
In the previous quarter, Adobe achieved record revenue of $5.99 billion in Q3 2025, which marked 10% year-over-year growth. GAAP EPS reached $4.18, which showed an 11% growth and Non-GAAP EPS reached $5.31, which rose by 14%. Reflecting this confidence and momentum, the company raised its full-year 2025 revenue target to a range of $23.65 to $23.70 billion, and its Q4 revenue target to between $6.075 and $6.125 billion.
The company’s performance was driven by its two main segments. The Digital Media segment, which includes Creative Cloud and Document Cloud, generated $4.46 billion in revenue, growing 11% year-over-year. This growth was supported by strong demand for AI-infused offerings, causing the Digital Media ARR to grow 11.7% to $18.59 billion. The Digital Experience segment reported revenue of $1.48 billion, representing 9% year-over-year growth. Critically, Adobe’s internally tracked AI-influenced ARR surpassed $5 billion.
Adobe Inc. (NASDAQ:ADBE) operates as a technology company worldwide. The company has a strategic alliance with HUMAIN for the development of generative AI models and AI-powered applications.
7. Applied Materials Inc. (NASDAQ:AMAT)
TTM Net Income as of December 4: $6.99 billion
TTM Net Income Margin as of December 4: 24.67%
Number of Hedge Fund Holders: 89
Applied Materials Inc. (NASDAQ:AMAT) is one of the most profitable tech stocks to buy. On December 4, TD Cowen analyst Krish Sankar raised the firm’s price target on Applied Materials to $315 from $260 and maintained a Buy rating on the shares. The firm believes the company is currently at the intersection of two major market uptrends: one in the DRAM sector and another in leading-edge Foundry.
Earlier in its Q4 2025 earnings report, the company disclosed achieving a revenue of $28.4 billion for the full year 2025, representing a 4% increase from 2024. The Non-GAAP EPS increased by 9% year-over-year. The revenue growth was broad-based across the company’s segments. Semiconductor Systems revenue was up 4%, setting a record for both foundry systems revenue and DRAM sales outside China. Applied Global Services revenue grew 3% to a record $6.4 billion. Display revenue rose by 20%.
For FQ1 2026, Applied Materials anticipates a revenue of ~$6.85 billion and Non-GAAP EPS of ~$2.18. The company is positioned to benefit from the AI computing boom, which is driving investment in advanced semiconductors and wafer fab equipment/WFE. Applied Materials is confident in its ability to capture more than 50% of its served market in these segments, supported by deep co-innovation relationships that provide visibility into future technology nodes, sometimes extending to over 2 years.
Applied Materials Inc. (NASDAQ:AMAT) provides manufacturing equipment, services, and software to the semiconductor, display, and related industries. The company operates through three segments: Semiconductor Systems, Applied Global Services, and Display.
6. Lam Research Corporation (NASDAQ:LRCX)
TTM Net Income as of December 4: $5.81 billion
TTM Net Income Margin as of December 4: 29.66%
Number of Hedge Fund Holders: 93
Lam Research Corporation (NASDAQ:LRCX) is one of the most profitable tech stocks to buy. On December 2, Morgan Stanley analyst Shane Brett raised the firm’s price target on Lam Research to $158 from $137 with an Equal Weight rating on the shares. This decision comes as the firm has largely maintained its 2026 Wafer Fab Equipment/WFE forecast at $129 billion, which represents 11% year-over-year growth. Concurrently, it increased its 2027 WFE forecast to $145 billion, representing a 13% increase.
In FQ1 2026, Lam Research reported revenues of $5.32 billion, which represented a 28% increase from the $4.17 billion reported in the year-ago quarter. Non-GAAP earnings for the quarter were $1.26 per share, showing a year-over-year increase of 46.5%. The company’s total revenues were divided between two main segments. Systems revenues totaled $3.55 billion, accounting for 66.6% of total revenues. This figure saw a 48% increase and a 3% rise from the previous quarter. The Customer Support Business Group contributed $1.77 billion in revenues, making up 33.4% of the total. This was a 2.5% rise sequentially and a modest 0.1% increase from the year-ago period.
Lam Research also provided strong guidance for FQ2 2026. The company projects revenues of ~$5.2 billion, which suggests a year-over-year growth of 9.8%. Non-GAAP EPS is projected to be ~$1.15, based on a diluted share count of 1.26 billion. This EPS guidance indicates a year-over-year growth of 15.4%.
Lam Research Corporation (NASDAQ:LRCX) designs, manufactures, markets, refurbishes, and services semiconductor processing equipment used in the fabrication of ICs in the US, China, Korea, Taiwan, Japan, Southeast Asia, and Europe.
5. Intuit Inc. (NASDAQ:INTU)
TTM Net Income as of December 4: $4.12 billion
TTM Net Income Margin as of December 4: 21.19%
Number of Hedge Fund Holders: 96
Intuit Inc. (NASDAQ:INTU) is one of the most profitable tech stocks to buy. Earlier on November 21, BMO Capital analyst Daniel Jester lowered the firm’s price target on Intuit to $810 from $870 but kept an Outperform rating on the shares. The company began FY2026 with better-than-expected results, particularly within its Credit Karma segment and the QuickBooks Online/QBO ecosystem. The QBO ecosystem’s strength is attributed to two factors: an improved mix in accounting services, driven by the push into the middle-market, and robust growth in its payments offerings.
Intuit reported generating a total revenue of $3.9 billion in FQ1 2026, which is an 18% year-over-year growth. Non-GAAP Operating Income rose to $1.3 billion (compared to $953 million last year), and Non-GAAP Diluted EPS grew to $3.34 (compared to $2.50 last year), which marked a 34% increase. Intuit’s strategy is currently focused on an AI-driven expert platform to help businesses manage from lead to cash and consumers manage from credit building to wealth building.
Intuit’s Online Ecosystem revenue grew by 21% in FQ1, or 25% when excluding the performance of Mailchimp. The Global Business Solutions Group achieved an 18% revenue growth during the quarter, driven by a 29% growth in Total Online Payments Volume. The consumer platforms also showed strength: Credit Karma revenue grew 27% in the said quarter, and TurboTax revenue grew 6%. The company’s focus on AI is yielding results, with 2.8 million customers now using its virtual team of AI agents for greater efficiency. Intuit also highlighted that its new AI native ERP platform, Intuit Enterprise Suite, is already disrupting the mid-market.
Intuit Inc. (NASDAQ:INTU) provides financial management, payments & capital, compliance, and marketing products and services in the US. The company operates in four segments: Global Business Solutions, Consumer, Credit Karma, and ProTax.
4. Micron Technology Inc. (NASDAQ:MU)
TTM Net Income as of December 4: $8.45 billion
TTM Net Income Margin as of December 4: 22.84%
Number of Hedge Fund Holders: 105
Micron Technology Inc. (NASDAQ:MU) is one of the most profitable tech stocks to buy. On December 3, Micron Technology announced that it will exit its consumer memory business, including the sale of products under its Crucial brand. This is being done to double down on advanced memory chips used in AI data centers, which is a segment facing a global supply shortage. Micron’s consumer memory unit was not considered a significant driver of the company’s overall business.
Micron will halt the sale of Crucial consumer-branded products at retailers, e-tailers, and distributors worldwide, but product shipments through the consumer channel will continue until the end of its FQ2, which is February 2026. The decision reflects Micron’s commitment to its portfolio transformation, allowing it to focus on core enterprise and commercial segments that offer more secular, profitable growth.
The company is shifting its focus to High-Bandwidth Memory/HBM, a type of Dynamic Random Access Memory/DRAM that involves stacking chips vertically. HBM chips are essential for AI development because they reduce power consumption and help process the large volumes of data required for AI workloads, offering higher prices and more lucrative margins than consumer memory. This segment has become the most competitive area among the world’s three largest memory suppliers: Micron, South Korea’s SK Hynix, and Samsung.
Micron Technology Inc. (NASDAQ:MU) designs, develops, manufactures, and sells memory and storage products in the US, Taiwan, Singapore, Japan, Malaysia, China, India, and internationally.
3. Salesforce Inc. (NYSE:CRM)
TTM Net Income as of December 4: $7.22 billion
TTM Net Income Margin as of December 4: 16.87%
Number of Hedge Fund Holders: 119
Salesforce Inc. (NYSE:CRM) is one of the most profitable tech stocks to buy. On December 4, Truist lowered the firm’s price target on Salesforce to $380 from $400 but maintained a Buy rating on the shares. This decision was made as Truist noted that the company’s strong Q3 performance, coupled with net-new Annual Order Value/AOV growth, increased confidence. This performance suggests the company will achieve improving double-digit organic subscription and support revenue growth over the next 12 to 18 months. However, the firm reduced its price target, reflecting lower assumed valuations across the entire sector.
On the same day, Salesforce reported its Q3 2025 earnings report, where the company achieved quarterly revenue of $9.44 billion, which marked an 8% year-over-year growth. Subscription and Support Revenue grew by 9%. The company reported Non-GAAP EPS of $2.41, which included a $0.18 charge from strategic investment adjustments. The company’s future revenue visibility remained solid, with RPO at $53.1 billion (up 10%), and Current RPO at $26.4 billion (up slightly more than 10%).
Salesforce’s AI-driven strategy is gaining significant market traction. The new AI-driven platform, Agentforce, closed over 200 deals in just one week, indicating strong initial market demand. These initial deals were largely add-ons to Service Cloud, the company’s largest cloud, but the potential extends across Sales, Marketing, and Commerce Clouds. Furthermore, the Data Cloud was included in 8 of the top 10 deals in the quarter, underscoring its crucial role in AI transformations and data harmonization efforts. To meet this increased demand, the company is expanding its workforce by hiring 1,400 account executives globally.
Salesforce Inc. (NYSE:CRM) provides customer relationship management/CRM technology that connects companies and customers worldwide.
2. Oracle Corporation (NYSE:ORCL)
TTM Net Income as of December 4: $12.44 billion
TTM Net Income Margin as of December 4: 21.08%
Number of Hedge Fund Holders: 122
Oracle Corporation (NYSE:ORCL) is one of the most profitable tech stocks to buy. On December 4, Citi analyst Tyler Radke lowered the firm’s price target on Oracle to $375 from $415, while keeping a Buy rating on the shares. Citi lowered its price target for Oracle, citing the compression of the stock’s valuation as the reason for the cut. Despite this adjustment, the firm anticipates that Oracle will report strong bookings figures.
Earlier in its FQ1 2026 earnings report, Oracle Corp. disclosed generating a total revenue of $14.9 billion, which represents an 11% increase from the previous year. Cloud services were the main driver, with Total Cloud revenue growing 27% to $7.2 billion. Cloud Infrastructure revenue surged 54% to $3.3 billion, with OCI Consumption revenue increasing by 57%. The company’s RPO saw a massive increase of 359% from last year, reaching $455 billion.
Oracle’s core database business showed significant strength, with Cloud Database Services revenue reaching annualized revenues of ~$2.8 billion, up 32%. Within this segment, Autonomous Database revenue grew 43%, and Multi-cloud REV Database revenue saw explosive growth of 1,529% in FQ1. The Cloud Application revenue grew 10% to $3.8 billion, with Strategic Back Office Application revenue specifically growing 16% to $2.4 billion. In contrast, Total Software revenue for the quarter decreased by 2% to $5.7 billion. Additionally, Oracle has become a key player in AI workloads, securing major contracts with companies like OpenAI, Meta, NVIDIA, and AMD.
Oracle Corporation (NYSE:ORCL) offers products and services that address enterprise information technology environments worldwide.
1. Broadcom Inc. (NASDAQ:AVGO)
TTM Net Income as of December 4: $18.93 billion
TTM Net Income Margin as of December 4: 31.59%
Number of Hedge Fund Holders: 183
Broadcom Inc. (NASDAQ:AVGO) is one of the most profitable tech stocks to buy. On December 1, UBS raised the firm’s price target on Broadcom to $472 from $415, while keeping a Buy rating on the shares.
On the same day, Bank of America analyst Vivek Arya raised the firm’s price target on Broadcom to $460 from $400 with a Buy rating on the shares. BofA sees the rising leverage of TPUs as a positive for Broadcom. Arya estimates that the number of TPU units will likely expand from the current 2 million units in 2025 to over 3 million units in 2026.
Earlier in its Q3 2025 earnings report, Broadcom disclosed that the company achieved a record total revenue of $16 billion, which marked a substantial 22% year-on-year growth, primarily driven by strong performance in AI semiconductors and the integration of VMware. The Semiconductor revenue segment grew 26% to $9.2 billion. Within this, AI Semiconductor revenue surged to $5.2 billion, representing a 63% increase and marking 10 consecutive quarters of robust growth.
This momentum is set to continue, as the company secured over $10 billion in orders for AI rigs based on their XPUs. CEO Hock Tan noted that the increased confidence for 2026 is due to both increasing volumes from existing customers and the crucial addition of a fourth customer with immediate and substantial demand, which will ship strongly in 2026. The company is selective, currently focused on a total of seven prospects, four of which are now customers.
Broadcom Inc. (NASDAQ:AVGO) designs, develops, and supplies various semiconductor devices and infrastructure software solutions worldwide. The company operates in two segments: Semiconductor Solutions and Infrastructure Software.
While we acknowledge the potential of AVGO 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 AVGO and that has 100x upside potential, check out our report about the cheapest AI stock.
READ NEXT: 30 Stocks That Should Double in 3 Years and 11 Hidden AI Stocks to Buy Right Now.
Disclosure: None.
