2025 marked the third consecutive year of double-digit returns for the S&P 500. A lot has changed over this period on the macroeconomic, geopolitical, and technological fronts. Whether 2026 will be another year of solid gains is up for debate.
On February 26, Seana Smith, Senior Investment Strategist at Global X ETFs, joined CNBC to discuss recent quarterly announcements across the tech sector that have eased fears of potential AI-related threats.
Smith acknowledged impressive results across the broader technology segment that have reduced the AI-linked anxiety, especially within the software vertical. She also mentioned that, despite the current overpricing of software names, a total collapse seems unlikely, given these recent announcements. She argued:
“I think what we are going to see play out over the next several years is going to be clear winners and losers within the space.”
On another note, while the technology space continues to see volatility, cautious sentiments persist amid geopolitical developments and a rotation towards other sectors, including energy. Hence, investors need to remain wary of market movements and evolving fundamentals.
That said, some investors also monitor billionaire portfolios and the changes therein for investment ideas, considering the attention their holdings attract. With that perspective, we present here our list of 15 Best Stocks To Invest In According to Billionaires.
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Our Methodology
To identify relevant stocks for this article, we screened U.S.-listed companies with market capitalizations above $2 billion and at least 20% upside potential according to TipRanks consensus, as of February 27 closing. Next, we identified the number of billionaires who held positions in these stocks by the end of the fourth quarter of 2025 using Insider Monkey’s database. Finally, we selected 15 stocks with the most billionaires holding stakes in them and ranked them in ascending order.
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).
15. The Charles Schwab Corp. (NYSE:SCHW)
The Charles Schwab Corp. (NYSE:SCHW) is one of the 15 best stocks to invest in according to billionaires.
On February 13, The Charles Schwab Corp. (NYSE:SCHW) reported total client assets of $12.2 trillion for January 2026, an 18% year-over-year increase. Core net new assets reached $27.8 billion, while new brokerage accounts grew 10% to 476,000. Daily average trades accelerated to 9.5 million amid higher equity engagement, and margin loan balances rose 4% to $116.3 billion.
Despite a seasonal $20.4 billion decline in transactional sweep cash to $433.3 billion, the report underscores strong investor momentum and scaling client participation across the platform.
On January 22, UBS increased the firm’s price target on The Charles Schwab Corp. (NYSE:SCHW) to $125 from $123. The firm maintained its Overweight rating on the stock. Following a “mixed” quarterly report, the firm notes that investor focus is now shifting toward 2026 guidance. The firm remains constructive on the outlook.
The Charles Schwab Corp. (NYSE:SCHW) is a savings and loan holding company that offers financial services worldwide. The company delivers wealth management, brokerage, banking, asset management, and advisory services to individuals and institutional clients. It covers several investment vehicles, including open-end mutual funds, exchange-traded funds, options, and equity and fixed-income trading.
14. Lam Research Corp. (NASDAQ:LRCX)
Lam Research Corp. (NASDAQ:LRCX) is one of the 15 best stocks to invest in according to billionaires.
On February 3, Argus increased the firm’s price target on Lam Research Corp. (NASDAQ:LRCX) to $280 from $175. The firm maintained its Buy rating on the stock following the second-quarter results that exceeded expectations. The stock offers a revised upside potential of almost 20%.
Argus expects extended growth driven by secular technology inflections, including gen-AI, cloud data centers, vehicle electrification, IoT, robotics, and AI-enabled edge devices.
On February 2, Lam Research Corp. (NASDAQ:LRCX) and CEA-Leti announced a multi-year partnership to enhance next-generation Specialty Technology products, including MEMS, sensor, power management, and photonics devices. The partnership will look to leverage new materials and processing techniques for compound semiconductors.
Leveraging co-development work, the companies are now jointly researching new materials for low-power and high-performance products. This aims to power next-generation RF filters, electro-optic modulation, and quantum optics for artificial intelligence and high-performance computing applications.
Lam Research Corp. (NASDAQ:LRCX) is a manufacturer and global supplier of semiconductor processing equipment that is useful for the fabrication of integrated circuits. The company specializes in thin-film deposition, wafer cleaning, plasma etch, and photoresist strip. It also offers products like Da Vinci, DV-Prime, and EOS for wafer cleaning applications.
13. MasterCard Inc. (NYSE:MA)
MasterCard Inc. (NYSE:MA) is one of the 15 best stocks to invest in according to billionaires.
On February 10, Truist increased its price target on MasterCard Inc. (NYSE:MA) to $611 from $609 while maintaining a Buy rating on the stock. This results in upside potential above 18% at the current level.
The revision is part of a broader research update on Payment sector companies following their fourth quarter earnings reports. The firm attributes the adjustment to expectations of stronger foreign exchange benefits and more optimistic projections for Other Network Assessments.
On February 1, Bank of America Securities reduced the price target on MasterCard Inc. (NYSE:MA) from $616 to $610. The firm maintained its Neutral rating on the shares, which still offer an upside of almost 18% following the downward revision. The firm revised its projections following the company’s latest earnings release and shared an updated outlook for the stock.
MasterCard Inc. (NYSE:MA) is a global technology company that delivers payment processing and related solutions worldwide. It facilitates transaction processing between individuals, merchants, business entities, and governments through a highly secure payment network. The company also offers payment products, reward systems, and prepaid programs to consumers.
12. Advanced Micro Devices Inc. (NASDAQ:AMD)
Advanced Micro Devices Inc. (NASDAQ:AMD) is one of the 15 best stocks to invest in according to billionaires.
On February 25, D.A. Davidson maintained its Neutral rating on Advanced Micro Devices Inc. (NASDAQ:AMD), with a $220 price target. This leads to an upside potential of almost 10% at the prevailing level.
The reiteration follows AMD’s announcement of a multi-year agreement with Meta Platforms to purchase more than $100B in AI computing capacity. D.A. Davidson views the partnership as a constructive development for AMD’s broader technology ecosystem and software capabilities, particularly as demand for AI infrastructure continues to strengthen.
On the same day, TD Cowen also maintained its Buy rating on Advanced Micro Devices Inc. (NASDAQ:AMD), with a $290 price target. The firm cited AMD’s recently announced multi-year partnership with Meta, which includes 6 gigawatts of AI compute capacity to support Meta’s next-generation infrastructure. The agreement features performance-based warrants and a customization component, similar to AMD’s prior arrangement with OpenAI.
Advanced Micro Devices Inc. (NASDAQ:AMD) is a multinational semiconductor company that designs high-performance computing, graphics processing units, and visualization technologies. The company also offers AI accelerators, microprocessors, embedded processors, and SoC products. The business is structured into three segments: Data Center, Client & Gaming, and Embedded.
11. DoorDash Inc. (NASDAQ:DASH)
DoorDash Inc. (NASDAQ:DASH) is one of the 15 best stocks to invest in according to billionaires.
On February 20, Citizens reduced the price target for DoorDash Inc. (NASDAQ:DASH) to $250 from $285 and retained an Outperform rating. The company indicated that 2026 will prioritize investment initiatives, despite improving unit economics across grocery and retail, international operations, and Deliveroo, which surpassed EBITDA guidance.
The firm also highlights that the company is well-positioned for sustainable multi-year growth due to the diverse opportunities available to it, though profit margins in the near term would remain low due to a focus on reinvestment and scaling operations.
On February 20, Citi analyst Ronald Josey maintained a Buy rating on DoorDash Inc. (NASDAQ:DASH). The analyst reduced the price target on the stock from $283 to $280, which still yields almost 59% upside potential for investors despite the downward revision.
Josey noted that the company delivered stronger-than-expected fourth-quarter results and anticipates EBITDA to trend higher throughout 2026. DoorDash Inc. (NASDAQ:DASH) remains Citi’s top pick within the internet sector.
DoorDash Inc. (NASDAQ:DASH) is a commerce platform that operates a technology-driven marketplace involving consumers, merchants, and independent delivery couriers. It offers various platforms, including DoorDash Marketplace, Wolt Marketplace, and Deliveroo Marketplace. These enable different services, including customer acquisition, demand generation, order fulfillment, and payment processing.
10. Boston Scientific Corp. (NYSE:BSX)
Boston Scientific Corp. (NYSE:BSX) is one of the 15 best stocks to invest in according to billionaires.
On February 24, Boston Scientific Corp. (NYSE:BSX) increased its share buyback authorization to $5 billion. In a regulatory filing, the company stated:
On February 18, 2026, the Board approved an increase to the company’s existing authorization to repurchase up to $1.0 billion of the company’s common stock by an additional $4.0 billion. As a result, the company is authorized to repurchase up to a total of $5.0 billion of common stock under the company’s stock repurchase program, all of which remains available as of the date hereof.
On February 17, William Plovanic from Canaccord Genuity reduced the price target on Boston Scientific Corp. (NYSE:BSX) to $109 from $112. The analyst reaffirmed his Buy rating on the stock, which still offers an upside potential of almost 42% despite the downward revision.
Plovanic’s rating is based on the firm’s revision to its model and projections to reflect the business’s organizational restructuring. Plovanic also adjusted his estimates based on management’s remarks during the earnings call and the subsequent commentary.
Boston Scientific Corp. (NYSE:BSX) specializes in medical devices for interventional specialties such as cardiovascular, endo-surgery, and neuro-modulation. The company operates through the MedSurg and Cardiovascular segments and offers a range of devices, including biliary stent systems, electrocautery-enhanced delivery systems, direct visualization systems, and single-use duodenoscopes.
9. Capital One Financial Corp. (NYSE:COF)
Capital One Financial Corp. (NYSE:COF) is one of the 15 best stocks to invest in according to billionaires.
On January 27, Truist Financial reduced its price target on Capital One Financial Corp. (NYSE:COF) from $290 to $275, while maintaining its Buy rating on the shares. The firm modestly reduced its projections following the company’s recent earnings report, citing higher operating expenses and dilution associated with the Brex transaction.
The firm added that the primary focus going forward will be on whether the expense levels have sufficiently adjusted.
On January 26, after the first-quarter earnings announcement, Barclays adjusted the price target for Capital One Financial Corp. (NYSE:COF) from $294 to $287, maintaining an Overweight rating on the stock.
The firm highlighted that the company’s decision to acquire Brex as part of its strategy to add more products to its portfolio, such as commercial cards, indicates a positive trend. The credit profile of Capital One has shown considerable improvement, as stated by the company, with increasing capital returns in the last quarter.
Capital One Financial Corp. (NYSE:COF) is a financial services holding company that offers a range of financial products and services through its subsidiaries. These include consumer banking, loan products, and commercial lending. The company provides checking and money market deposits, time deposits, and sweep accounts. The loan product portfolio comprises credit cards, personal loans, auto financing, and industrial loans.
8. UnitedHealth Group Inc. (NYSE:UNH)
UnitedHealth Group Inc. (NYSE:UNH) is one of the 15 best stocks to invest in according to billionaires.
On February 5, Mizuho Securities reduced the price target on UnitedHealth Group Inc. (NYSE:UNH) from $430 to $350. The firm maintained its Outperform rating on the shares, resulting in a revised upside of more than 19%.
The firm cited a delayed earnings recovery following the company’s fourth quarter results as the primary reason for the target price reduction.
On January 30, Wells Fargo analyst Stephen Baxter cut UnitedHealth Group Inc.’s (NYSE:UNH) price target to $370 from $400 while reiterating an Overweight rating on the shares.
Unsatisfactory Medicare Advantage rate, issues with Optum Health, and a lack of clarity on 2026 guidance for this division were the primary concerns following the fourth-quarter results, according to Baxter. Wells Fargo is adjusting its estimates to reflect revised expectations for Medicare Advantage and Medicaid projections in 2027.
UnitedHealth Group Inc. (NYSE:UNH) is a technology-led diversified healthcare company with operations around the world. It delivers highly integrated healthcare solutions by combining risk underwriting, technology, pharmacy benefits management, and care delivery. The company also offers health benefit plans for employers and individuals, covering organizations of different sizes.
7. Visa Inc. (NYSE:V)
Visa Inc. (NYSE:V) is one of the 15 best stocks to invest in according to billionaires.
As of the close of play on February 27, consensus sentiment for Visa Inc. (NYSE:V) was strongly bullish. The stock received coverage from 26 analysts, 24 of whom assigned Buy ratings and 2 gave Hold calls. With no Sell rating, the stock has a projected median 1-year price target of 400.64, implying a potential upside of nearly 24%.
In a recent development, on February 19, Visa Inc. (NYSE:V) announced that it has signed a definitive agreement to purchase Prisma Medios de Pago and Newpay in Argentina from Advent International.
Prisma offers processing services for credit, debit, and prepaid card issuers. Newpay operates as a multi-network infrastructure provider managing real-time payment services, the Banelco ATM network, and the PagoMisCuentas bill payment platform. The acquisition is subject to closing conditions, with the transaction expected to be completed during the second quarter.
Around the same time, Visa Inc. (NYSE:V) also announced the renewal of its multi-year partnership with Oracle Red Bull Racing and Visa Cash App Racing Bulls. Under the revised agreement, Visa will continue as a primary partner while increasing its on-car branding visibility, including prominent placement on the front wing of the RB22.
Visa Inc. (NYSE:V) is a payment technology company that enables electronic funds transfers (EFTs) around the globe. It offers VisaNet and Visa Direct platforms for money movement services, and authorization and settlement of transactions. The company also provides credit, debit, and prepaid cards, as well as other solutions, including tap-to-pay and tokenization.
6. Broadcom Inc. (NASDAQ:AVGO)
Broadcom Inc. (NASDAQ:AVGO) is one of the 15 best stocks to invest in according to billionaires.
On February 26, Broadcom Inc. (NASDAQ:AVGO) announced that it has begun shipping the industry’s first 2nm custom compute SoC built on its 3.5D XDSiP platform. By combining 2.5D and 3D-IC integration, this modular platform is foundational to next-generation XPUs. It enables independent scaling of compute, memory, and I/O, providing superior power efficiency and signal density for gigawatt-scale AI clusters.
On January 30, Broadcom Inc. (NASDAQ:AVGO) was upgraded to Outperform from Peer Perform by Wolfe Research analyst Chris Caso. The analyst set a price target of $400.
Caso highlighted that Broadcom Inc. (NASDAQ:AVGO) is expected to ship 7 million tensor processing units by 2028, with additional projects providing further growth potential. Wolfe’s bullish scenario anticipates a doubling of AI revenue in 2027, translating to $18 earnings per share. Additionally, the firm noted that the company’s leadership in AI hardware and TPUs can no longer be overlooked.
Broadcom Inc. (NASDAQ:AVGO) is a technology company and a global supplier of semiconductor devices and infrastructure software services. The company delivers networking connectivity, wireless device connectivity, and servers and storage solutions. It also offers an extensive suite of private cloud offerings, including VMware Cloud Foundation, Edge, a telco cloud platform, private AI, and more.
5. NVIDIA Corp. (NASDAQ:NVDA)
NVIDIA Corp. (NASDAQ:NVDA) is one of the 15 best stocks to invest in according to billionaires.
On February 26, NVIDIA Corp. (NASDAQ:NVDA) was reiterated as Outperform by Baird. The firm increased the price target from $275 to $300, resulting in a revised upside potential of more than 69%.
Baird noted that Nvidia’s data center revenue is reaccelerating to nearly twice its previous growth rate, while its virtual reality performance is outperforming industry peers, prompting an updated model to reflect these strong segment results.
On February 26, Wedbush increased the firm’s price target on NVIDIA Corp. (NASDAQ:NVDA) to $300 from $230. The firm maintained its Outperform rating on the stock following recent quarterly results, which offer more than 69% upside potential at the prevailing level.
While fourth-quarter data center sales were impressive amid the law of large numbers, the firm highlighted Q1 guidance as the primary standout. It noted that the outlook significantly exceeded prior buy-side forecasts.
NVIDIA Corp. (NASDAQ:NVDA) is a computing infrastructure company that has transitioned from PC graphics chips towards full-scale compute and networking solutions. It has now become a leading player within the AI and high-performance computing space. The company offers Data Center accelerated computing and networking platforms, along with automotive platforms and electric vehicle solutions.
4. Meta Platforms Inc. (NASDAQ:META)
Meta Platforms Inc. (NASDAQ:META) is one of the 15 best stocks to invest in according to billionaires.
On February 27, Meta Platforms Inc. (NASDAQ:META) signed an agreement to lease Google’s (GOOGL) AI chips, called tensor processing units, for developing new AI models, according to The Information’s Amir Efrati and Anissa Gardizy, who cited a source familiar with the discussions. The agreement spans multiple years and is reportedly worth billions of dollars.
On February 10, Citizens analyst Andrew Boone maintained his Market Outperform rating for Meta Platforms Inc. (NASDAQ:META), with a $900 price target. The rating was primarily fueled by massive engagement on Instagram.
According to Boone, Instagram’s global time spent surged 19.2% year-over-year in January, consistently outpacing user growth, which saw a modest 6% increase. In the U.S., engagement rose 16.5% despite just 2% growth in monthly active users. This trend suggests Meta is successfully squeezing more value and time out of its existing user base.
Meta Platforms Inc. (NASDAQ:META) operates various communication and social media platforms that connect users worldwide. Its business operates through two segments. The first is called Family of Apps (FoA), which runs Facebook, WhatsApp, Threads, Instagram, and Messenger. The second is the futuristic Reality Labs (RL), which includes the metaverse and VR/AR hardware.
3. Microsoft Corp. (NASDAQ:MSFT)
Microsoft Corp. (NASDAQ:MSFT) is one of the 15 best stocks to invest in according to billionaires.
As of February 27 closing, consensus sentiment for Microsoft Corp. (NASDAQ:MSFT) remained strongly bullish. The stock received coverage from 36 analysts, 33 of whom assigned Buy ratings and 3 gave Hold calls. With no Sell rating, it has a projected median 1-year price target of $594.02. This results in an upside potential of more than 49% at the prevailing level.
On February 27, in a joint press release, OpenAI and Microsoft Corp. (NASDAQ:MSFT) stated that their partnership, which started in 2019, has grown from a collaborative research effort to a significant technology focus. It is based on trust and commitment to innovation, despite OpenAI announcing new funding and partners.
However, the two companies clarified that the current announcements do not change the terms of their ongoing engagement, as stated in their October 2025 blog. The collaboration between the two companies is strong, as both are continuing to work together in research, engineering, and development.
Microsoft Corp. (NASDAQ:MSFT) is a technology leader that delivers software, cloud computing, and PC solutions. Some of its offerings include Microsoft 365 commercial, enterprise mobility, Power BI, Microsoft Teams, and security and compliance solutions. The company’s Intelligent Cloud segment includes its public cloud platform, Azure, that delivers server products and enterprise mobility services.
2. Alphabet Inc. (NASDAQ:GOOGL)
Alphabet Inc. (NASDAQ:GOOGL) is one of the 15 best stocks to invest in according to billionaires.
As of February 27 closing, Alphabet Inc. (NASDAQ:GOOGL) carried a strongly bullish consensus sentiment. The stock was covered by 32 analysts, 26 of whom assigned Buy ratings and 6 gave Hold calls. With no Sell rating, it has a projected median 1-year price target of $380.13. This results in an upside potential of almost 22% at the current level.
Among the recent updates, on February 17, Citizens maintained its Market Outperform rating on Alphabet Inc. (NASDAQ:GOOGL). The firm also reaffirmed a target price of $385, yielding an upside potential of almost 24% for investors.
Back on February 13, TD Cowen also maintained a Buy rating on Alphabet Inc. (NASDAQ:GOOG), with a $365 target price, based on impressive growth across the autonomous vehicle unit Waymo.
In another development, on February 26, Google announced the launch of AI-powered features in Google Translate to help users match the tone of their conversation to settings ranging from casual to professional.
Using Gemini’s multilingual capabilities, Translate now provides alternative translations, particularly useful for idioms and colloquial phrases. Users can tap “understand” for context or “ask” follow-up questions about specific scenarios. This feature is available today on Android and iOS in the U.S. and India, with web availability coming soon.
Alphabet Inc. (NASDAQ:GOOGL) is a technology conglomerate that provides AI, advertising, cloud, internet, and hardware solutions to users around the globe. Some of its offerings include Android, Google Chrome, Gmail, Google Drive, Maps, Google Photos, and YouTube. The company enables in-app purchases, consumer subscriptions, and subscription-based AI services.
1. Amazon.com Inc. (NASDAQ:AMZN)
Amazon.com Inc. (NASDAQ:AMZN) is one of the 15 best stocks to invest in according to billionaires.
On February 28, TD Cowen maintained a Buy rating with a $300 price target on Amazon.com Inc. (NASDAQ:AMZN). The firm views OpenAI’s announcement as “a positive signal for AWS.”
Following OpenAI’s disclosure of a strategic partnership and $50 billion investment from Amazon.com Inc. (NASDAQ:AMZN), the firm noted that OpenAI will expand its AWS compute commitment by $100B, which includes leveraging 2 gigawatts of AWS Trainium capacity.
On February 27, Chief AI Scientist for Amazon.com Inc. (NASDAQ:AMZN), Peter DeSantis, shared his views on the company’s ability to develop AI models more affordably using proprietary chips. This supports the company’s pursuit to catch up with competitors in building AI models and applications for consumers and businesses.
Amazon.com Inc. (NASDAQ:AMZN) expects that lower costs for products with AI will also motivate businesses to select Amazon for AI solutions, especially considering the high cost of semiconductor chip products and training for AI models.
Amazon.com Inc. (NASDAQ:AMZN) is a technology company engaged in e-commerce, cloud computing, streaming, AI solutions, and physical retail. It offers consumer retail, advertising, and subscription solutions through an extensive network of online and brick-and-mortar stores worldwide. The company also develops and sells electronic devices such as Kindle, Fire tablets, Fire TVs, Blink, and eero.
While we acknowledge the potential of AMZN as an investment, 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 AMZN and that has 100x upside potential, check out our report about this cheapest AI stock.
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