In this article, we will look at the 13 Best Cloud Stocks to Buy Now.
On November 20, Kim Posnett, Goldman Sachs’ co-head of investment banking, joined CNBC television to discuss the AI trade and concerns regarding a growing AI bubble. She noted it is still too early to tell if there is an AI bubble or not. Posnett acknowledged the transformative nature and value creation potential of AI, but she also sees some similarities with the dotcom era. However, she emphasized that AI differs from the internet revolution in terms of its scale, pace of growth, and applicability. Posnett noted a recent study by her research team, which examined periods of major tech innovation over the last 175 years. The research found 51 instances of major technology innovations during this time, and out of these instances, 75% innovation periods led to equity price bubbles. She highlighted that the research also looked to trace similarities of the previous bubbles with the current AI revolution and found that, despite the similarities, there isn’t an AI bubble yet.
Posnett further added she believes that the AI trade will continue to move higher; however, the path will be bumpy. She elaborated that this is due to the huge amount of capital that is being allocated, which suggests that the market will see winners and losers along the way. She noted that the key to winning is through effective capital allocation.
Now that we have looked at the commentary of Kim Posnett on the AI bubble, let’s take a look at the 13 Best Cloud Stocks to Buy Now.
Our Methodology
To curate the list of 13 Best Cloud Stocks to Buy Now, we sifted through the top holdings of three ETFs, including the First Trust Cloud Computing ETF, WisdomTree Cloud Computing Fund, and Global X Cloud Computing ETF. Next, we sorted this aggregated list based on market capitalization. After sorting the list, we selected pureplay cloud computing stocks with positive analyst upside potential. Lastly, we ranked the stocks in ascending order by market cap. We have also added the hedge fund sentiment around each stock sourced from Insider Monkey’s Q2 2025 database.
Please note that the data was recorded on November 21, 2025. The market cap data was sourced from the WSJ, and the analyst upside potential was sourced from CNN.
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).
13 Best Cloud Stocks to Buy Now
13. Akamai Technologies, Inc. (NASDAQ:AKAM)
Market Capitalization: $12.57 billion
Analyst Upside Potential: 3.00%
Number of Hedge Fund Holders: 42
Akamai Technologies, Inc. (NASDAQ:AKAM) is one of the Best Cloud Stocks to Buy Now. On November 17, Param Singh from Oppenheimer initiated Akamai Technologies, Inc. (NASDAQ:AKAM) with a Buy rating and a $100 price target. Earlier on November 13, Michael Elias from TD Cowen had reiterated a Hold rating on the stock, but raised the price target from $98 to $104.
The positive outlook on the stock follows the fiscal Q3 2025 earnings beat. The company released results for Q3 2025 on November 6, with revenue growing 4.97% year-over-year to $1.05 billion, surpassing estimates by $10.74 million. Moreover, the EPS of $1.86 also topped estimates by $0.22. The revenue growth was attributed to a 10% increase in Security Service revenue and an 8% increase in Cloud Computing revenue. Notably, the Cloud Infrastructure revenue grew 39% year-over-year to $81 million.
Dr. Tom Leighton, Akamai Technologies, Inc.’s (NASDAQ:AKAM) Chief Executive Officer, highlighted increased interest in the company’s newly launched Akamai Inference Cloud, which is powered by NVIDIA AI infrastructure. Looking ahead, management anticipates Q4 2025 revenue in the range of $1.065 billion to $1.085 billion.
Akamai Technologies Inc. (NASDAQ:AKAM) operates a global content delivery network (CDN) and provides cybersecurity and edge computing services.
12. Nutanix, Inc. (NASDAQ:NTNX)
Market Capitalization: $15.87 billion
Analyst Upside Potential: 51.90%
Number of Hedge Fund Holders: 58
Nutanix, Inc. (NASDAQ:NTNX) is one of the Best Cloud Stocks to Buy Now. Wall Street is bullish on Nutanix, Inc. (NASDAQ:NTNX) ahead of its fiscal Q1 2026 results expected to be announced on November 25. On November 19, Jason Ader from William Blair reiterated a Buy rating on the stock without disclosing any price targets. Earlier, on November 17, Param Singh from Oppenheimer had also maintained a Buy rating on the stock with a $90 price target.
Jason Ader from William Blair noted that he sees the company in a favorable position to capitalize on dissatisfied VMware customers, who are facing pricing changes and unfavorable licensing. Ander sees Nutanix, Inc. (NASDAQ:NTNX) as an alternative for these customers.
In addition to this, the company on November 18 announced expanding Microsoft’s Azure virtual desktop flexibility across its hybrid clouds. Management noted that this integration will allow organizations to run Azure Virtual Desktop on Nutanix AHV hypervisor.
For the upcoming fiscal Q1 2026 results, management anticipates revenue to be in the range of $670 million – $690 million, along with a non-GAAP operating margin in the range of 19.5% to 20.5%.
Nutanix, Inc. (NASDAQ:NTNX) provides cloud software that allows organizations to run applications and manage data seamlessly across multiple cloud environments.
