In this article, we will look at the 13 Most Promising New Technology Stocks to Buy According to Hedge Funds.
On September 27, Jose Rasco, chief investment officer of Americas, joined CNBC for an interview. He noted that the first wave of AI was much like the dot-com era back in the 1990s. However, he sees the next wave, which we are entering now, as the key driver of the future rally of the market. He views the AI trade as part of a broader tech and economic transformation that will eventually lead to a wider market rally, beyond just the narrow group of leading tech stocks.
Rasco acknowledged that much of the AI optimism, such as Nvidia’s huge investment in OpenAI, and other such recent announcements, may already be priced in the market. He noted that the recent sell-off with some of the tech names is simply the market recalibrating from a growth-heavy rally toward a broader base. Rasco believes that this broadening out of the rally will include names that have been forgotten but are well-positioned to benefit from AI adoption and deliver earnings growth in late 2025.
Rascoe also highlighted the importance of a resilient economy to sustain the rally, noting the Federal Reserve’s recent start to an easing cycle supported by cooling labor markets and moderating inflation trends. He views the strong inflows of foreign direct investment into the US as a positive factor, despite potential challenges from too many dollars chasing limited goods.
With that, let’s take a look at the 13 Most Promising New Technology Stocks to Buy According to Hedge Funds.
Our Methodology
To curate the list of 13 Most Promising New Technology Stocks to Buy According to Hedge Funds, we used the Finviz Stock Screener and Insider Monkey’s Q2 2025 database. Using the screener, we aggregate a list of stocks that have had their IPO in the past 3 years, sorted by market capitalization. Next, we ranked these stocks in ascending order of the number of hedge fund holders.
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 373.4% since May 2014, beating its benchmark by 218 percentage points (see more details here).
13 Most Promising New Technology Stocks to Buy According to Hedge Funds
13. Pony AI Inc. (NASDAQ:PONY)
Number of Hedge Fund Holders: 19
Pony AI Inc. (NASDAQ:PONY) is one of the Most Promising New Technology Stocks to Buy According to Hedge Funds. On September 20, Pony AI Inc. (NASDAQ:PONY) announced its entry into the Singapore Market by partnering with ComfortDelGro. ComfortDelGro is one of Singapore’s largest transportation service providers.
As part of this partnership, the companies will launch autonomous vehicle services in the Punggol area. This initiative supports Singapore’s plan to integrate autonomous vehicles with existing transport, like taxis, private cars, and the subway. It also addresses driver shortages, especially during off-peak hours.
Both companies first partnered in July 2024, signing a Memorandum of Understanding. They ran a successful pilot program in Guangzhou in March 2025, leading to the launch of the service, which is expected to start after regulatory approvals in a few months.
Pony AI Inc. (NASDAQ:PONY) specializes in autonomous driving technology. The company operates three main businesses, including robotaxi services, robotruck services, and licensing smart driving solutions.
12. SailPoint, Inc. (NASDAQ:SAIL)
Number of Hedge Fund Holders: 27
SailPoint, Inc. (NASDAQ:SAIL) is one of the Most Promising New Technology Stocks to Buy According to Hedge Funds. On September 15, Meta Marshall from Morgan Stanley maintained a Buy rating on SailPoint, Inc. (NASDAQ:SAIL) with a price target of $25.
The analyst noted that the company showed strong Q2 results with its total annual recurring revenue reaching $982 million, reflecting a 28% increase year-over-year. The company also delivered strong operating margins of 20%.
Marshall highlighted that although the Q3 guidance is conservative, he sees the potential for annual recurring revenue to pick up again. He noted the company’s Agentic Identity Security and real-time authorization features are expected to attract investor interest.
SailPoint, Inc. (NASDAQ:SAIL) provides identity security solutions for enterprises. It unifies identity data across employees, contractors, machines, and AI agents.
11. CoreWeave, Inc. (NASDAQ:CRWV)
Number of Hedge Fund Holders: 29
CoreWeave, Inc. (NASDAQ:CRWV) is one of the Most Promising New Technology Stocks to Buy According to Hedge Funds. On September 25, CoreWeave, Inc. (NASDAQ:CRWV) announced expanding its partnership with OpenAI worth up to $6.5 billion.
The aim of this expansion is to power the training of OpenAI’s advanced next-generation models. The initial contract with OpenAI was announced in March 2025, with a contract value of $11.9 billion. This contract was expanded in May 2025 to $4 billion. This latest agreement takes the total contract value with OpenAI to around $22.4 billion.
In addition, CoreWeave, Inc. (NASDAQ:CRWV) also committed £1.5 billion to support AI growth in the UK and launched CoreWeave Ventures to invest in AI startups. It also expanded its platform by acquiring OpenPipe, a reinforcement learning startup, and Weights & Biases, an AI developer platform.
CoreWeave, Inc. (NASDAQ:CRWV) provides a cloud platform specialized in AI workloads. Their infrastructure offers high-performance GPU and CPU compute, networking, and storage tailored for AI model training and inference.
10. Joint Stock Company Kaspi.kz (NASDAQ:KSPI)
Number of Hedge Fund Holders: 33
Joint Stock Company Kaspi.kz (NASDAQ:KSPI) is one of the Most Promising New Technology Stocks to Buy According to Hedge Funds. On August 4, Joint Stock Company Kaspi.kz (NASDAQ:KSPI) released its fiscal second-quarter results for 2025. The company posted mixed results as revenue of $1.79 billion grew 41.41% and topped analyst expectations by $337.07 million. However, the EPS of $2.50 missed the Wall Street consensus by $0.11.
Management noted that payment TPV and transactions grew 21% and 14% year-over-year. Moreover, the payment revenue and net income were up 16% and 19% year-over-year, respectively. Notably, Joint Stock Company Kaspi.kz (NASDAQ:KSPI) reaffirmed full-year guidance, expecting around 15% net-income growth.
Following the release, on August 20, Reginald Smith from J.P. Morgan reiterated a Hold rating on the stock with a price target of $96.
Joint Stock Company Kaspi.kz (NASDAQ:KSPI) is a Kazakhstan-based financial technology company that offers online payments, e-commerce, and digital banking services.
9. Ralliant Corporation (NYSE:RAL)
Number of Hedge Fund Holders: 40
Ralliant Corporation (NYSE:RAL) is one of the Most Promising New Technology Stocks to Buy According to Hedge Funds. On September 17, Ralliant Corporation (NYSE:RAL) announced two new product launches from its Tektronix business. These include the 7 Series DPO oscilloscope and the MP5000 Series modular precision test system.
Management highlighted that the 7 Series DPO oscilloscope offers enhanced clarity and performance. It also supports emerging technologies like AI, advanced communications, robotics, and quantum computing. On the other hand, the MP5000 Series test system features a modular design. Using this system, engineers can quickly add or reconfigure modules, reducing downtime. The company believes that both of these products strengthen Tektronix’s role in critical customer workflows and expand its support for next-gen electronics innovation.
Ralliant Corporation (NYSE:RAL) is a global provider of precision technologies, designing and manufacturing high-quality instruments and engineered products.
8. Arm Holdings plc (NASDAQ:ARM)
Number of Hedge Fund Holders: 41
Arm Holdings plc (NASDAQ:ARM) is one of the Most Promising New Technology Stocks to Buy According to Hedge Funds. On September 10, Arm Holdings plc (NASDAQ:ARM) announced Arm Lumex, which is the company’s most advanced compute subsystem platform designed to power AI experiences on flagship smartphones and next-gen PCs.
Management noted that Lumex combines the latest Arm CPUs with Scalable Matrix Extension version 2, powerful GPUs, and system IP to deliver high AI performance, efficiency, and privacy. The company also highlighted that by 2030, SME and SME2 will add over 10 billion TOPS of AI compute across 3 billion devices.
The platform is flexible for partners, which means that it allows them to either use Lumex as-is or customize it for their system-on-chip designs. Moreover, key components include the SME2-enabled Armv9.3 CPU clusters for flagship devices, C1-Premium for sub-flagship models, and the new Mali G1-Ultra GPU with advanced ray tracing and AI boosts.
Arm Holdings plc (NASDAQ:ARM) designs and licenses high-performance, energy-efficient computing platforms. It develops CPU, GPU, and system intellectual property used by device makers worldwide.
7. Klaviyo, Inc. (NYSE:KVYO)
Number of Hedge Fund Holders: 41
Klaviyo, Inc. (NYSE:KVYO) is one of the Most Promising New Technology Stocks to Buy According to Hedge Funds. On September 19, Elizabeth Porter from Morgan Stanley upgraded Klaviyo, Inc. (NYSE:KVYO) from Neutral to Buy with a price target of $50.
The analyst highlighted the company’s strategic focus from email marketing to a full CRM platform for B2C businesses. She notes that this strategic move opens a larger market opportunity for the company. Porter expects the company to grow revenue by over 20% annually for the next three years.
Moreover, Porter also emphasized that Klaviyo, Inc. (NYSE:KVYO) has a strong history of technological innovation. This means that it stands out in a software sector where high growth is rare. She believes the company’s current valuation is attractive. The enterprise value to sales ratio is about 6x, which she considers undervalued for a company considering its growth potential.
Klaviyo, Inc. (NYSE:KVYO) offers a customer relationship management platform designed for business-to-consumer brands.
6. Chime Financial, Inc. (NASDAQ:CHYM)
Number of Hedge Fund Holders: 46
Chime Financial, Inc. (NASDAQ:CHYM) is one of the Most Promising New Technology Stocks to Buy According to Hedge Funds. On September 11, James Faucette from Morgan Stanley maintained a Buy rating on Chime Financial, Inc. (NASDAQ:CHYM) with a price target of $40.
The analyst noted that he believes the company will not be hit hard by the recent court ruling on debit interchange fees. The court vacated the Federal Reserve’s Regulation II; however, this mainly affects banks with assets over $10 billion. Chime Financial, Inc. (NASDAQ:CHYM)’s bank partners are smaller and therefore exempt from the ruling.
He added that this exemption is important because debit fees make up a large part of Chime Financial, Inc. (NASDAQ:CHYM)’s revenue. Keeping their pricing model unchanged helps protect their income stream.
Additionally, the Federal Reserve is appealing the decision. Any changes due to this ruling would likely take several years to occur if the appeal fails. Faucette sees this as a sign that the company’s business model is safe for the near and medium term.
Chime Financial, Inc. (NASDAQ:CHYM) is a consumer fintech company offering banking services through FDIC-insured partners.
5. Sandisk Corporation (NASDAQ:SNDK)
Number of Hedge Fund Holders: 49
Sandisk Corporation (NASDAQ:SNDK) is one of the Most Promising New Technology Stocks to Buy According to Hedge Funds. On September 25, Asiya Merchant from Citi raised the price target on Sandisk Corporation (NASDAQ:SNDK) from $80 to $125, while keeping a Buy rating on the stock.
Merchant noted that they expect the company’s earnings per share to increase over the next fiscal year, backed by improved margins. She noted that the company is experiencing strong demand for hyperscale enterprise SSDs. Moreover, the overall demand environment is also favorable, with supply and demand being balanced.
The analyst highlighted that the NAND bit demand is also projected to grow, driven by strong data center needs. Sandisk Corporation (NASDAQ:SNDK) is also gaining market share in enterprise SSD bit shipments to data centers, which depicts that the company’s strategic focus is paying off.
Sandisk Corporation (NASDAQ:SNDK) develops and manufactures data storage devices and solutions using NAND flash technology.
4. ServiceTitan, Inc. (NASDAQ:TTAN)
Number of Hedge Fund Holders: 51
ServiceTitan, Inc. (NASDAQ:TTAN) is one of the Most Promising New Technology Stocks to Buy According to Hedge Funds. On September 25, ServiceTitan, Inc. (NASDAQ:TTAN) announced its collaboration with Verisk to connect the company’s Xactimate property claims software with the ServiceTitan platform.
The integration targets trades businesses, especially in roofing and exteriors, that handle insurance work. Management noted that the aim is to help contractors create and submit insurance estimates at a quicker pace and with more accuracy. The integration will enable this by reducing manual data entry and avoiding rework.
Moreover, once the integration is complete, it will let contractors transfer estimated data from ServiceTitan into Xactimate for review and validation. The finalized claims data will then sync back into ServiceTitan. The collaboration is designed to improve efficiency and keep all documentation and communication aligned within the contractor’s system.
ServiceTitan, Inc. (NASDAQ:TTAN) is a cloud-based software platform designed for contractors. It helps manage key business workflows like scheduling, dispatching, estimating, invoicing, and payment processing.
3. Rubrik, Inc. (NYSE:RBRK)
Number of Hedge Fund Holders: 52
Rubrik, Inc. (NYSE:RBRK) is one of the Most Promising New Technology Stocks to Buy According to Hedge Funds. On September 24, Rubrik, Inc. (NYSE:RBRK) announced the launch of its Rubrik Okta Recovery at Oktane 2025 in Las Vegas.
Management noted that this new solution protects and restores Okta Identity Provider environments by providing automated, immutable backups and granular in-place recovery of key Okta objects. The solution also enables organizations to quickly recover from disruptions caused by misconfigurations, human errors, or malicious changes.
Moreover, the solution extends Rubrik, Inc. (NYSE:RBRK)’s existing identity recovery capabilities for Active Directory and Entra ID, making it the only unified recovery platform protecting all three major IdPs. Some of the key features include continuous automated backups, air-gapped immutable storage, and fast, granular recovery directly within Okta tenants.
Rubrik, Inc. (NYSE:RBRK) is a leading cloud data management company that provides a Zero Trust Data Security platform. It helps organizations protect their data from cyberattacks, insider threats, and operational disruptions.
2. Astera Labs, Inc. (NASDAQ:ALAB)
Number of Hedge Fund Holders: 56
Astera Labs, Inc. (NASDAQ:ALAB) is one of the Most Promising New Technology Stocks to Buy According to Hedge Funds. Wall Street is bullish on Astera Labs, Inc. (NASDAQ:ALAB) since the company released its fiscal second-quarter results for 2025.
Astera Labs, Inc. (NASDAQ:ALAB) delivered a revenue of $191.93 million, up 149.74% and ahead of consensus by $19.47 million. The EPS of $0.44 also topped estimates by $0.12. Management also released its fiscal third-quarter financial outlook and expects revenue in the range of $203 million to $210 million.
Several analysts have expressed their bullish sentiment on the stock since the release. For instance, on August 29, Joseph Moore from Morgan Stanley reiterated a Buy rating on the stock, while raising the price target from $155 to $200. More recently, on September 17, Atif Malik from Citi also raised the price target on the stock from $160 to $275, while keeping a Buy rating.
Astera Labs, Inc. (NASDAQ:ALAB) is a semiconductor company that designs connectivity solutions for cloud and AI infrastructure.
1. Core Scientific, Inc. (NASDAQ:CORZ)
Number of Hedge Fund Holders: 78
Core Scientific, Inc. (NASDAQ:CORZ) is one of the Most Promising New Technology Stocks to Buy According to Hedge Funds. Wall Street has a mixed opinion on Core Scientific, Inc. (NASDAQ:CORZ) since the company delivered mixed results for its fiscal second quarter of 2025. The revenue of $78.63 million decreased 44.28% year-over-year and missed the estimates by $4.57 million. On the bright side, the EPS of negative $0.04 came in ahead of the consensus by $0.04.
Management noted that the decline in revenue was caused by a 62% decrease in bitcoin mined. This was partially offset by a 50% increase in bitcoin’s average price. Since the release, Wall Street has had a mixed opinion on Core Scientific, Inc. (NASDAQ:CORZ).
On August 23, Darren Aftahi from Roth MKM reduced the firm’s price target on the stock from $20 to $17, while reiterating a Hold rating. Later, on September 9, George Sutton from Craig-Hallum also reiterated a Hold rating on the stock without disclosing any price targets. More recently, on September 15, Gautam Chhugani from Bernstein reiterated a Buy rating on Core Scientific, Inc. (NASDAQ:CORZ) with a price target of $17.
Core Scientific, Inc. (NASDAQ:CORZ) provides digital infrastructure for high-density colocation and digital asset mining.
While we acknowledge the potential of CORZ 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 CORZ and that has 100x upside potential, check out our report about this cheapest AI stock.
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