In this article, we will take a look at the tech stocks with the best earnings growth in 2026.
As digital transformation and the use of AI deepen across markets, technology remains one of the sectors in focus. From cloud computing to AI and semiconductors to enterprise software, technology leaders are leveraging structural changes that continue to reshape the global market.
With rising tensions between the U.S., Israel, and Iran, investors are wondering: Which sectors benefit, and which are at risk? According to the Bank for International Settlements (BIS), markets witnessed significant shifts beneath the surface, despite presenting a calm front at the outset.
Published on March 16, the BIS Quarterly Review outlined that global equity markets experienced both regional and sectoral shifts in late 2025 as investors drove away from US large-cap and growth stocks. Worries related to AI spending and disruption impacted richly valued technology companies, the publication noted, adding that these concerns redirected attention to private credit portfolios, particularly those with high software exposures.
As investors questioned lofty valuations, momentum in tech stocks faded, and capital shifted toward alternative sectors. As stated in the article,
“Large US technology stocks faced volatility despite strong earnings, as concerns over elevated valuations and future capital spending emerged. Guidance on higher capital spending raised fears of potential earnings disappointments, particularly for AI ‘hyperscalers’.”
With this in mind, we have compiled a list of the 12 tech stocks with the best earnings growth in 2026.
Photo by Adam Nowakowski on Unsplash
Our methodology
For this article, we began by filtering for stocks in the technology sector with a market capitalisation of over $2 billion. Next, we shortlisted stocks with EPS Growth this year of at least 20% and the highest number of hedge fund holdings. We limited our final selection to companies that have recently reported noteworthy developments likely to impact investor sentiment. These stocks were then ranked in ascending order by the number of hedge fund holdings.
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).
12. Synopsys, Inc. (NASDAQ:SNPS)
Synopsys, Inc. (NASDAQ:SNPS) is among the 12 Tech Stocks with Best Earnings Growth in 2026. On March 11, Synopsys, Inc. (NASDAQ:SNPS) hosted the Converge 2026 Keynote, outlining its strategic shift in the technology space. The event highlighted the company’s positioning in electronic design automation and advancement in system-level solutions after the Ansys acquisition. With an emphasis on silicon and systems integration, the conference discussed the impact of agentic AI on enhancing engineering capabilities.
In the operational update, Synopsys, Inc. (NASDAQ:SNPS) underscored its acquisition of Ansys and strategic investments in co-design, digital twin, and agentic AI. The company is also developing AI-powered tools and workflows across its offerings and initiating collaborations with tech giants to scale its AI initiatives.
Looking ahead, Synopsys, Inc. (NASDAQ:SNPS) plans to lead the convergence of silicon and systems, supporting both pervasive intelligence and physical AI. The company remains committed to addressing concerns surrounding power challenges, latency, and uncontrolled environments in intelligent system design. With that said, the company aims to accelerate the adoption of agentic AI to improve engineering capabilities and productivity.
Previously, on February 27, Morgan Stanley downgraded Synopsys, Inc. (NASDAQ:SNPS) from Overweight to Equalweight and trimmed the price target to $480 from $550. According to the firm, new joint products with Ansys are anticipated for the initial half of 2026 across electronic design automation, with the intellectual property business expected to improve in the second half.
Synopsys, Inc. (NASDAQ:SNPS) is a California-based company that provides IP solutions in the semiconductor and electronics industries. Incorporated in 1986, the company operates through two main segments: Design Automation and Design IP.
11. Adobe Inc. (NASDAQ:ADBE)
Adobe Inc. (NASDAQ:ADBE) is among the 12 Tech Stocks with the Best Earnings Growth in 2026. On March 16, Argus downgraded Adobe Inc. (NASDAQ:ADBE) to Hold from Buy following the announcement of CEO Shantanu Narayan’s departure. According to the analyst Joseph Bonner, the company’s Q1 FY2026 results were overshadowed by the leadership transition.
Bonner believes that Adobe Inc. (NASDAQ:ADBE) is driving consistent innovation with generative AI across its expanding product suite. The firm reiterated its non-GAAP EPS forecast for FY26 at $23.68 and FY27 estimate at $26.62 per share.
Three days earlier, UBS trimmed the price target on Adobe Inc. (NASDAQ:ADBE) from $340 to $290 and reaffirmed a Neutral rating on the stock. This follows the company’s Q1 financial results, in which it reported beats across revenue, margins, and EPS. UBS points to several factors that can influence investor sentiment, including the CEO’s departure after 18 years, and notes pressure on annual recurring revenue growth as the company promotes freemium products.
Adobe Inc. (NASDAQ:ADBE) is a California-based technology company operating through Digital Media, Digital Experience, and Publishing and Advertising segments.
