In this article, we discuss the 15 stocks set to explode in 2026.
While the market figures out whether artificial intelligence is driving the next bubble or the next industrial revolution, a quiet rotation of capital into the next wave of growth leaders outside Big Tech is occurring.
AI spending is expected to hit the $500 billion mark by 2026, according to UBS. Amid this surge, power infrastructure, construction, and traditional industries—essential to supporting AI expansion—will attract investors’ attention. On CNBC’s ‘Power Lunch’ on October 15, Anneka Treon, ING’s global head of Private Banking, said, “AI bubble or not, it boils down to real dollars being spent on real capex with a very long runway of funding ahead.”
Appearing on CNBC’s ‘Squawk on the Street’ on October 14, Larry Fink, BlackRock chairman and CEO, noted, “Investing in AI does not just mean investing in GPUs and chips, it means investing in HVAC and IT, investing in power grids and power supplies.” Due to the ripple effect, sectors such as industrials, materials, and financials are expected to be beneficiaries of AI’s vast capital footprint.
At the same time, MetLife Investment Management’s Drew Matus expressed a cautious outlook for 2026, which he shared on ‘Squawk Box’ on October 3. While predicting “sticky yields,” a Federal Reserve shift to rate cuts, and a “steepening in the yield curve,” he stated, “2026 is going to be a stall year.” Thus, overall equity momentum could be kept subdued, he noted.
Asked whether we are in an AI bubble, Pat Gelsinger, former Intel CEO, responded by saying, “Of course we are.” He added that he does not see it going away for “several years.” Gelsinger appeared on ‘Squawk Box’ on October 13.
With this background in mind, let’s jump to our list of 15 stocks set to explode in 2026.
Copyright: stegarau / 123RF Stock Photo
Our Methodology
To curate our list of 15 stocks set to explode in 2026, we began by screening U.S.-listed companies with a market capitalization of over $2 billion and a potential upside of more than 50%, as of November 4, 2025. We also ensured that these stocks receive significant analyst coverage. Furthermore, we considered hedge fund ownership of these stocks using Insider Monkey’s hedge fund database, which tracks over 1,000 hedge funds as of Q2 2025. Finally, we ranked these stocks in ascending order based on their upside potential.
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. Amicus Therapeutics, Inc. (NASDAQ:FOLD)
Number of Hedge Fund Holders: 40
Upside Potential: 73.53%
With significant upside potential and hedge fund interest, Amicus Therapeutics, Inc. (NASDAQ:FOLD) secured a spot on our list of the 15 stocks set to explode in 2026.
On November 5, 2025, Goldman Sachs raised its price target on Amicus Therapeutics, Inc. (NASDAQ:FOLD) from $9 to $11, maintaining a “Neutral” rating.
The revision follows the company’s performance in the third quarter, marked by the first positive GAAP net income and solid revenue execution. With the expectation of sustained profitability, these outcomes reinforced the analyst’s confidence in Amicus Therapeutics, Inc.’s (NASDAQ:FOLD) full-year revenue outlook.
Prior to this revision, Amicus Therapeutics, Inc. (NASDAQ:FOLD) reported its Q3 2025 results on November 4, posting a 17% revenue surge to $169.1 million. With GAAP net income of $17.3 million, or $0.06 per share basic and diluted, the quarter marked the company’s milestone transition to GAAP profitability. Commenting on the company’s quarterly performance, CEO Bradley Campbell highlighted commercial momentum and steady clinical progress, including the on-track Phase 3 enrollment of DMX-200, as key drivers of long-term growth.
Looking ahead, Amicus Therapeutics, Inc.’s (NASDAQ:FOLD) management has reaffirmed its full-year revenue guidance and its target to exceed $1 billion in sales by 2028. Thus, it looks well-positioned for durable expansion, reinforcing investor optimism.
Amicus Therapeutics, Inc. (NASDAQ:FOLD), a global biotechnology company, develops and commercializes innovative medicines for patients living with rare diseases.
14. Summit Therapeutics Inc. (NASDAQ:SMMT)
Number of Hedge Fund Holders: 30
Upside Potential: 78.62%
Summit Therapeutics Inc. (NASDAQ:SMMT) is one of the 15 stocks set to explode in 2026.
On November 7, 2025, Summit Therapeutics Inc. (NASDAQ:SMMT) announced results from the Phase III HARMONi trial conducted in China. The results were published by its partner Akeso, Inc.
The study tested ivonescimab, an innovative bispecific antibody, combining it with platinum-doublet chemotherapy in patients whose lung cancer had a specific genetic mutation (EGFR) and whose cancer was advanced or had spread. Furthermore, these patients were those who had already been treated with EGFR-TKI therapy.
A statistically significant improvement in overall survival was noted by the trial, marked by a median OS of 16.8 months for ivonescimab plus chemotherapy versus 14.1 months for chemotherapy alone. Ivonescimab demonstrated a manageable safety profile, in line with previous Phase III studies.
With these results, Summit Therapeutics Inc. (NASDAQ:SMMT) highlighted ivonescimab’s potential to cater to high unmet medical needs in NSCLC. The antibody promises to offer efficacy where PD-1 therapies had previously failed. Thus, the therapy’s momentum solidifies further as over 40,000 patients in China have already been treated with ivonescimab across clinical and commercial settings.
Previously, on November 3, 2025, Truist Financial analyst Asthika Goonewardene maintained a “Buy” rating on Summit Therapeutics Inc. (NASDAQ: SMMT).
Summit Therapeutics Inc. (NASDAQ:SMMT), a biopharmaceutical company specializing in oncology, develops innovative therapies, with ivonescimab being its lead development candidate.
13. Chime Financial, Inc. (NASDAQ:CHYM)
Number of Hedge Fund Holders: 46
Upside Potential: 83.37%
With significant upside potential and hedge fund interest, Chime Financial, Inc. (NASDAQ:CHYM) secured a spot on our list of the 15 stocks set to explode in 2026.
On November 5, 2025, Chime Financial, Inc. (NASDAQ:CHYM) reported Q3 2025 results.
This quarter surpassed the company’s guidance, helping Chime Financial, Inc. (NASDAQ:CHYM) lift its full-year outlook, amid rising utilization of fintech for everyday banking. With 65% growth in platform-related revenue and 16% in payments, CHYM recorded a 29% year-over-year increase in its revenue, bringing it to $544 million.
Meanwhile, gross profit hit $474 million, resulting in an 87% margin, while adjusted EBITDA climbed to $29 million, helping the company mark a 9-point margin expansion from last year. Furthermore, 21% growth in active members was noted, taking the total to 9.1 million. At the same time, acquisition costs per new active member declined for the third straight quarter.
During the third quarter, the company successfully rolled out the Chime Card in September, reported rapid scaling of its Outbound Instant Transfer (OIT) feature to $640 million in volume, and full migration to ChimeCore, its proprietary processing platform. The quarter also featured a $200 million share repurchase program. Strong performance in the quarter helped the company raise its full-year revenue guidance to a range of up to $2.173 billion.
Chime Financial, Inc. (NASDAQ:CHYM), a leading consumer fintech company, delivers fee-free digital banking solutions.
