In this article, we will be taking a look at the 20 Most Profitable Stocks of the Last 20 Years.
Investing in the stock market could be both advantageous and difficult, especially for those seeking companies with robust long-term development and profitability. Since profitability demonstrates operational effectiveness, competitive advantages, and the capacity to endure erratic market conditions, it remains a significant concern. As 2026 begins, market players are paying more attention to how shifts in the economy and world politics can affect returns in the coming year.
According to Bloomberg’s January 2 article, “Here’s (Almost) Everything Wall Street Expects in 2026,” Wall Street broadly acknowledges the growing risks tied to the artificial intelligence boom. However, most firms continue to view AI as a transformational force rather than a trend to avoid. JPMorgan Wealth Management emphasized that the greater risk lies in not having exposure to AI at all. Even though there are still issues like trade restrictions, geopolitical tensions, and a weakening U.S. labor market, there is cause for optimism due to the rapid adoption of AI, the anticipation of looser monetary policy, and significant fiscal stimulus programs like Germany’s expansionary spending plans and President Donald Trump’s One Big Beautiful Bill Act.
Market optimism was echoed by Joe Tanious, Chief Investment Strategist at Northern Trust, who recently highlighted improving conditions on CNBC’s Power Lunch in December 2025. Tanious pointed to substantial fiscal stimulus, double-digit earnings growth, a more supportive Federal Reserve, and a growing market boom that extended beyond mega-cap technology companies. Tanious pointed out that significant downside risks have decreased in comparison to prior months, even though worries about inflation, market concentration, and valuation risk still exist.
Meanwhile, consumer trends remain uneven. TD Cowen’s Oliver Chen observed in November 2025 that higher-income consumers continue to support spending, while middle- and lower-income households face mounting pressure, reinforcing a bifurcated economic landscape heading into 2026.
Stocks
Our Methodology
To compile our list of the 20 most profitable stocks of the last 20 years, we used the screener to filter for US stocks with a market capitalization of more than $2 billion, profit margins of atleast 20%. From this pool, we shortlisted the top 20 stocks with the highest trailing twelve-month (TTM) net income. These are then ranked in ascending order according to their net income.
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).
Here is our list of 20 most profitable stocks of the last 20 years.
20. EQT Corporation (NYSE:EQT)
Net Income (TTM): $1.78 billion
Operating Margin: 37.04%
Market Capitalization: $34.65 billion
EQT Corporation (NYSE:EQT) is among the most profitable stocks.
TheFly reported on January 22 that Stephens analyst Mike Scialla lowered the price target on EQT to $68 from $69 and maintained an Overweight rating. The firm noted that its Q4 cash flow per share and production estimates are 5% and 1% below consensus, respectively. Despite this, Stephens anticipates that EQT’s integrated asset base and low-cost operational structure will allow it to maintain a premium valuation in comparison to its natural gas peers.
Similarly, a day earlier on January 21, Scotiabank analyst Cameron Bean lowered the price target on EQT Corporation (NYSE:EQT) to $63 from $67 and maintained a Sector Perform rating. The adjustment was part of a broader update to Scotiabank’s coverage of North American natural gas stocks. The company’s projections, which support predictions for higher natural gas prices and associated equity valuations over the coming year, continue to indicate supply shortages in the United States and Western Canada despite the reduced goal.
EQT Corporation (NYSE:EQT) is a leading U.S. energy company focused on the production, gathering, and transmission of natural gas, primarily in the Appalachian Basin.
19. Fortinet, Inc. (NASDAQ:FTNT)
Net Income (TTM): $1.87 billion
Operating Margin: 31.01%
Market Capitalization: $60.71 billion
The next stock on our list is Fortinet, Inc. (NASDAQ:FTNT).
TheFly reported on January 23 that TD Cowen analyst Shaul Eyal upgraded FTNT to Buy from Hold with an unchanged price target of $100. The firm’s channel checks indicate stability throughout fiscal 2026, with upside potential for Q4 billings and revenue, and the possibility that the company’s 11.6% billings estimate for 2026 could be revised higher. Eyal noted that artificial intelligence is “not eating security software but rather augmenting it” and described Fortinet’s current valuation as “reasonable.”
Similarly, on the same day, on January 23, Oppenheimer maintained its Perform rating on Fortinet, Inc. (NASDAQ:FTNT). The firm noted that while firewall share dynamics were stable in Q4 2025, the 2026 End-of-Service (EoS) refresh opportunity is declining. Oppenheimer consequently reduced its forecast for the growth of product and services revenue in 2026 and anticipates that services would slow down in the first half of 2026 before picking up speed in the second. The company described Fortinet as a “mixed story” overall and noted that SASE growth should improve in the near future as Lacework stabilizes.
Fortinet, Inc. (NASDAQ:FTNT) is a U.S. cybersecurity and network security company that develops and sells integrated security solutions, such as firewalls, endpoint protection, and threat detection, to protect enterprises, service providers, and government organizations worldwide.
18. Public Storage (NYSE:PSA)
Net Income (TTM): $1.89 billion
Operating Margin: 46.97%
Market Capitalization: $49.72 billion
Public Storage (NYSE:PSA) is one of the most profitable stocks on our list.
TheFly reported on January 20 that Truist Securities raised its price target on PSA to $317 from $315 and maintained a Buy rating. The adjustment was made as part of Truist’s 2026 outlook for the REIT sector. The firm noted that REIT fundamentals are improving as new supply slows and demand remains steady for high-quality assets, though valuations across the sector do not appear particularly cheap.
In contrast, earlier on January 13, Barclays lowered its price target on Public Storage (NYSE:PSA) to $331 from $349 while maintaining an Overweight rating. This adjustment was also a part of the PSA’s 2026 outlook for the REIT sector. Barclays sees the most upside in apartments, storage, and single-family rentals, while it is least positive on cold storage and retail, and remains Neutral on REITs overall for 2026.
Public Storage (NYSE:PSA) is a U.S. real estate investment trust (REIT) and the largest self‑storage owner and operator, with thousands of facilities across the United States and Europe. It acquires, develops, owns, and manages self‑storage properties, generates stable rental income, and provides storage solutions for individuals and businesses.
17. TransDigm Group Incorporated (NYSE:TDG)
Net Income (TTM): $2.07 billion
Operating Margin: 47.43%
Market Capitalization: $80.12 billion
The next stock on our list of most profitable stocks is TransDigm Group Incorporated (NYSE:TDG).
TheFly reported on January 20 that Goldman Sachs analyst Noah Poponak raised the price target on TDG to $1,871 from $1,684 and gave it a Buy rating. The firm noted TDG’s recent acquisitions of Stellant Systems for $960 million and Jet Parts Engineering with Victor Sierra Aviation for $2.2 billion, together representing roughly 6.4% of CY25 revenue. Stellant fits TransDigm’s proprietary, aftermarket-focused model, while the PMA-heavy Jet Parts and Victor Sierra deals provide high-margin growth and strategic optionality, highlighting ongoing acquisition opportunities in the aerospace supply chain.
TransDigm Group Incorporated (NYSE:TDG) is a U.S. aerospace company that designs, manufactures, and supplies highly engineered aircraft components, systems, and subsystems used on nearly all commercial and military aircraft worldwide. Its proprietary parts include power, control, and airframe products, supporting both original equipment and aftermarket demand.
16. Simon Property Group, Inc. (NYSE:SPG)
Net Income (TTM): $2.24 billion
Operating Margin: 50.69%
Market Capitalization: $69.45 billion
Simon Property Group, Inc. (NYSE:SPG) is placed sixteenth on our list of most profitable stocks.
TheFly reported on January 16 that Morgan Stanley raised its price target on SPG to $205 from $180 while maintaining an Equal Weight rating. The firm reiterated its in-line view of the REIT sector, forecasting a roughly 15% total return. Additionally, Morgan Stanley changed its sector preferences, moving industrial, cold storage, and triple-net REITs to neutral and adding apartments, billboards, and data centers to its most liked categories.
Similarly, on January 14, Scotiabank raised its price target on Simon Property Group, Inc. (NYSE:SPG) to $189 from $186 while maintaining a Sector Perform rating. The update was part of a broader revision of the firm’s U.S. Real Estate & REITs coverage ahead of the Q4 earnings season. Additionally, Scotiabank observed an improvement in buy-side sentiment regarding the Self Storage and Multifamily subsectors, which it believes are unlikely to fall short of FY26 forecasts.
Simon Property Group, Inc. (NYSE:SPG) is a U.S. real estate investment trust (REIT) and the largest owner and manager of shopping malls, premium outlets, and mixed-use retail destinations in North America and internationally.
15. Analog Devices, Inc. (NASDAQ:ADI)
Net Income (TTM): $2.26 billion
Operating Margin: 27.24%
Market Capitalization: $149.32 billion
Analog Devices, Inc. (NASDAQ:ADI) is placed fifteenth on our list of most profitable stocks.
TheFly reported on January 22 that Susquehanna raised its price target on ADI to $360 from $350 while maintaining a Positive rating. The update came as part of the firm’s broader semiconductor earnings preview, where it expects results to range from in-line to modestly above expectations in Q4. Susquehanna cited a stabilizing upcycle and the expanding artificial intelligence infrastructure supply chain as supportive factors. The firm also noted that while conditions in the industrial end market are showing improvement, the automotive segment continues to face some pressure.
Similarly, a day earlier on January 21, BofA Securities raised its price target on Analog Devices, Inc. (NASDAQ:ADI) to $350 from $320 while maintaining a Buy rating. The adjustment was part of a broader update across the firm’s diversified analog semiconductor coverage. BofA expects modest calendar Q4 beats and Q1 estimate increases, led primarily by industrial semiconductors amid ongoing rebounds across most subsegments. The firm also cited favorable pricing conditions and strong growth in strategic artificial intelligence-related businesses as key drivers supporting the higher valuation.
Analog Devices, Inc. (NASDAQ:ADI) is a U.S. global semiconductor leader that designs, manufactures, and markets high-performance analog, mixed-signal, and digital signal processing integrated circuits and subsystems. Its technology converts real-world signals into usable data for industrial, automotive, communications, healthcare, and consumer applications worldwide.
14. Venture Global, Inc. (NYSE:VG)
Net Income (TTM): $2.33 billion
Operating Margin: 37.16%
Market Capitalization: $24.19 billion
Venture Global, Inc. (NYSE:VG) stands fourteenth on our list of most profitable stocks.
TheFly reported on January 22 that UBS lowered its price target on VG to $16 from $18 while maintaining a Buy rating. The update followed VG’s successful arbitration decision with Repsol (REPYY), which the company cited as a significant event in its most recent research note.
Venture Global, Inc. (NYSE:VG) also reported a day earlier on January 21 that the International Chamber of Commerce International Court of Arbitration had informed Venture Global Calcasieu Pass, LLC which is an indirect subsidiary of VG, that a final award had been issued in the previously disclosed arbitration proceedings with Repsol LNG Holding, S.A. related to LNG sales from the Calcasieu Pass project under a long-term LNG sales and purchase agreement.
Venture Global, Inc. (NYSE:VG) is a U.S. energy company and one of the largest exporters of liquefied natural gas (LNG). It develops and operates LNG production facilities along the Gulf Coast, supplying long-term global contracts and integrated supply chain services, including gas production, transport, shipping, and regasification.
13. Intuitive Surgical, Inc. (NASDAQ:ISRG)
Net Income (TTM): $2.85 billion
Operating Margin: 29.26%
Market Capitalization: $185.75 billion
Intuitive Surgical, Inc. (NASDAQ:ISRG) is one of the most profitable stocks on our list.
TheFly reported on January 23 that Evercore ISI analyst Vijay Kumar lowered the price target on ISRG to $550 from $580 while maintaining an In Line rating. The analyst said the company’s performance was largely in line with expectations, with notable beats in both revenue and EPS driven by strong system placements and procedure growth.
In contrast, on the same day, Piper Sandler raised its price target on Intuitive Surgical, Inc. (NASDAQ:ISRG) to $620 from $610 and maintained an Overweight rating. The firm said that ISRG’s Q4 revenue and earnings exceeded consensus projections. According to the analyst, management reiterated the 2026 procedural guidelines it had previously published.
Additionally, the company said on the same day that da Vinci robotic systems have now performed surgery on over 20 million patients globally. Over 3.1 million da Vinci procedures were carried out worldwide by the end of 2025, marking the achievement of this milestone. This reflected continued adoption and expanded patient access toISRG’s technology.
Intuitive Surgical, Inc. (NASDAQ:ISRG) is a U.S. medical technology company that designs, manufactures, and markets robotic systems for minimally invasive surgery. Its flagship da Vinci Surgical System and Ion endoluminal platform help physicians perform complex procedures with precision.
12. Prologis, Inc. (NYSE:PLD)
Net Income (TTM): $3.20 billion
Operating Margin: 39.78%
Market Capitalization: $120.95 billion
The twelfth stock on our list of most profitable stocks is Prologis, Inc. (NYSE:PLD).
TheFly reported on January 23 that Freedom Capital Markets downgraded PLD from a Buy to a Hold rating and cited the stock’s valuation as it nears its target. The firm raised its price target to $138 from $134. The analyst pointed out that despite the downgrade, PLD’s Q4 report demonstrated the quality of its portfolio and the robustness of its business model, especially as the U.S. industrial real estate market continues to stabilize.
Conversely, a day earlier on January 22, BMO Capital Markets raised its price target for Prologis, Inc. (NYSE:PLD) to $123 from $119 while maintaining a Market Perform rating. The increase reflects a higher net asset valuation. The firm highlighted PLD’s improving near-term earnings, strong institutional support, and a “positive inflection point” in industrial fundamentals, but noted the shares still trade at a significant premium to its industrial and data center REIT peers.
Prologis, Inc. (NYSE:PLD) is a global leader in logistics real estate, specializing in industrial warehouses and distribution centers. The company owns, manages, and develops high-quality properties that support supply chains for e-commerce, retail, and manufacturing clients.
11. Royal Caribbean Cruises Ltd. (NYSE:RCL)
Net Income (TTM): $4.06 billion
Operating Margin: 26.39%
Market Capitalization: $78.03 billion
Royal Caribbean Cruises Ltd. (NYSE:RCL) stands eleventh among the most profitable stocks on our list.
TheFly reported on January 23 that Goldman Sachs raised its price target for RCL to $310 from $275 while keeping a Buy rating. Despite conflicting cruise mood and competitive pressures, the firm outlined projections for 1.5%–3.5% net yield growth and at least $17.50 in EPS for 2026, which is driven by new ships, private destinations, and cost discipline.
In contrast, on January 22, Truist Securities lowered its price target for Royal Caribbean Cruises Ltd. (NYSE:RCL) to $318 from $321 while maintaining a Hold rating. The firm recommended modest expectations for first-half net yield increase, citing somewhat stronger supply than demand in the mass-market cruise segment.
Royal Caribbean Cruises Ltd. (NYSE:RCL) is a leading global cruise company offering vacation experiences across its fleet of innovative ships. The company focuses on providing memorable travel, entertainment, and leisure services while emphasizing safety, sustainability, and customer satisfaction.
10. Diamondback Energy, Inc. (NASDAQ:FANG)
Net Income (TTM): $4.19 billion
Operating Margin: 36.53%
Market Capitalization: $44.11 billion
Diamondback Energy, Inc. (NASDAQ:FANG) is another of the most profitable stocks on our list.
TheFly reported on January 23 that Morgan Stanley reduced its price target for FANG to $171 from $183 and maintained an Overweight rating. The revision reflects updated oil price assumptions for 2026–27. The firm is expecting solid fourth-quarter operations but weaker cash flow due to lower realized commodity prices.
Similarly, a day earlier on January 22, Mizuho also reduced its price target for Diamondback Energy, Inc. (NASDAQ:FANG) slightly to $194 from $195 while maintaining an Outperform rating, following a routine update to its model ahead of the company’s fourth-quarter earnings report.
Diamondback Energy, Inc. (NASDAQ:FANG) is an independent oil and natural gas company focused on the acquisition, development, and production of unconventional resources in the Permian Basin.
9. Canadian Pacific Kansas City Limited (NYSE:CP)
Net Income (TTM): $4.26 billion
Operating Margin: 36.96%
Market Capitalization: $65.62 billion
The ninth stock on our list of most profitable stocks is Canadian Pacific Kansas City Limited (NYSE:CP).
TheFly reported on January 21 that Scotiabank increased its price target for CP to C$124 from C$119 and maintained an Outperform rating on the stock.
Additionally, on the same day, Canadian Pacific Kansas City Limited (NYSE:CP) reported that it is continuing its multi-year locomotive fleet renewal as part of an approximately $800 million investment in U.S. manufacturing. After completing the purchase of 100 Tier 4 locomotives from Wabtec in 2025, the company expects delivery of 70 additional Wabtec units in 2026 and plans to receive 30 new Tier 4 locomotives from Progress Rail later in the year, which will be built at the company’s facility in Indiana.
Canadian Pacific Kansas City Limited (NYSE:CP) is a leading North American rail network connecting Canada, the United States, and Mexico. The company provides efficient freight transportation services, supporting trade across key industrial and consumer markets.
8. Regeneron Pharmaceuticals, Inc. (NASDAQ:REGN)
Net Income (TTM): $4.58 billion
Operating Margin: 26.72%
Market Capitalization: $77.31 billion
Regeneron Pharmaceuticals, Inc. (NASDAQ:REGN) is among the most profitable stocks.
TheFly reported on January 22 that Evercore ISI increased its price target for REGN to $875 from $750 and maintained an Outperform rating on the stock. The firm expressed confidence in REGN’s updated outlook and recent pricing actions. Evercore ISI identified Dupixent and Eylea HD as key players in the company’s growth and noted that both products are well-positioned to sustain current competitiveness and improve future performance.
Similarly, earlier this month, on January 8, Goldman Sachs also raised its price target for Regeneron Pharmaceuticals, Inc. (NASDAQ:REGN) to $914 from $807 and gave it a Buy rating. The firm cited strong sector performance in 2025 and expects the positive momentum to continue into 2026, which is supported by favorable market conditions, easing policy risks, and potential M&A activity.
Regeneron Pharmaceuticals, Inc. (NASDAQ:REGN) is a biotechnology company specializing in the discovery, development, and commercialization of innovative medicines for serious diseases.
7. EOG Resources, Inc. (NYSE:EOG)
Net Income (TTM): $5.53 billion
Operating Margin: 33.38%
Market Capitalization: $58.78 billion
The seventh stock on our list of most profitable stocks is EOG Resources, Inc. (NYSE:EOG).
TheFly reported on January 23 that Morgan Stanley cut its price target for EOG to $128 from $138 and maintained an Equal Weight rating. The firm expects solid Q4 operations but slightly lower cash flow from price realizations.
Separately, on January 21, Barclays also lowered its price target for EOG Resources, Inc. (NYSE:EOG) to $133 from $136 and maintained an Equal Weight rating. This modification was a component of a larger Q4 analysis of the exploration and production industry. Barclays observed that the upstream cash return model is still robust in the face of macro volatility and that there are appealing onshore prospects in the United States, although prudence is advised in light of the near-term uncertainty surrounding commodities.
EOG Resources, Inc. (NYSE:EOG) is a leading independent oil and natural gas company focused on exploration, development, and production in the United States and internationally.
6. BlackRock, Inc. (NYSE:BLK)
Net Income (TTM): $5.55 billion
Operating Margin: 32.66%
Market Capitalization: $184.01 billion
BlackRock, Inc. (NYSE:BLK) is one of the most profitable stocks on our list.
TheFly reported on January 23 that Freedom Capital’s analyst, Mikhail Paramonov, upgraded BLK from Hold to Buy and set a price target of $1,364, up from $1,255. The firm noted that BLK’s Q4 results reinforce its long-term earnings potential, which is driven by growth across base fees, performance fees, and technology services.
In a recent move, on January 26, BlackRock, Inc. (NYSE:BLK) filed with the SEC to launch the iShares Bitcoin Premium Income ETF, which is a fund designed to provide bitcoin exposure while generating income through a covered-call strategy, primarily by selling options on its existing iShares Bitcoin Trust (IBIT). The fund has not yet been assigned a ticker or fee structure. This move builds on BLK’s presence in the spot bitcoin ETF market and targets investors seeking income-focused strategies within the crypto space.
BlackRock, Inc. (NYSE:BLK) is a global investment management firm providing a wide range of financial services, including asset management, risk advisory, and technology solutions. The company serves institutional and individual clients worldwide.
5. ASML Holding N.V. (NASDAQ:ASML)
Net Income (TTM): $9.46 billion
Operating Margin: 34.85%
Market Capitalization: $537.91 billion
ASML Holding N.V. (NASDAQ:ASML) is placed fifth among the most profitable stocks.
According to TheFly, on January 23, Berenberg raised its price target for ASML to €1,300 from €1,200 while maintaining a Buy rating on the stock.
Earlier, on January 22, Bernstein raised its price target for ASML Holding N.V. (NASDAQ:ASML) to $1,642 from $1,528 and maintained an Outperform rating. The firm noted that upside from ASML’s DUV business is currently being underappreciated and added that revenue from China-related DUV demand is unlikely to see a significant decline.
ASML Holding N.V. (NASDAQ:ASML) is a leading semiconductor equipment company that specializes in advanced lithography systems used to manufacture integrated circuits.
4. Netflix, Inc. (NASDAQ:NFLX)
Net Income (TTM): $10.98 billion
Operating Margin: 29.49%
Market Capitalization: $393.52 billion
The fourth stock on our list of most profitable stocks is Netflix, Inc. (NASDAQ:NFLX).
TheFly reported on January 26 that Phillip Securities analyst Helena Wang upgraded NFLX from Sell to Accumulate and increased its price target to $100 from $95. The change followed the firm’s decision to roll its valuation framework forward to fiscal 2026. Phillip Securities highlighted NFLX’s leadership in the video-on-demand market, supported by strong pricing power and a solid structural and financial position for long-term growth.
Separately, on January 22, Argus cut its price target for Netflix, Inc. (NASDAQ:NFLX) to $110 from $141 while maintaining a Buy rating. The firm admitted that investors’ concerns about future bidding competition, regulatory and antitrust scrutiny, and potential political meddling have affected the stock since NFLX agreed to buy Warner Bros. Discovery. However, given the growing competition from sites like YouTube and TikTok, Argus sees the deal as a strategic chance for NFLX to bolster its position in long-form streaming.
Netflix, Inc. (NASDAQ:NFLX) is a global streaming entertainment company offering on-demand movies, TV series, and original content to subscribers worldwide.
3. Oracle Corporation (NYSE:ORCL)
Net Income (TTM): $15.43 billion
Operating Margin: 31.94%
Market Capitalization: $509 billion
The third stock on our list is Oracle Corporation (NYSE:ORCL).
TheFly reported on January 23 that Morgan Stanley lowered its price target for ORCL to $213 from $320 and maintained an Equal Weight rating. The firm acknowledged that GPU-as-a-Service represents a sizable revenue opportunity but noted that the buildout is likely to push EPS below company targets and increase funding needs. Additionally, Morgan Stanley stated that it believes ORCL has no obvious way to meet its EPS targets, which is reflected in the current share price and the lowered objective.
Separately, on January 22, Oracle Corporation (NYSE:ORCL)’s shares rose $4.02 (2.31%) to around $177.90. Options activity was near average, with calls slightly outpacing puts, giving a put/call ratio of 0.54 (vs. 0.81 typical). While the flattening put-call skew indicated a somewhat positive tone, implied volatility dropped 2.16 points to 46.84, over the 52-week median, suggesting an anticipated daily move of about $5.25.
Oracle Corporation (NYSE:ORCL) is a global technology company specializing in database software, cloud solutions, and enterprise software products. It provides businesses with tools for data management, analytics, and digital transformation.
2. Meta Platforms, Inc. (NASDAQ:META)
Net Income (TTM): $58.53 billion
Operating Margin: 43.22%
Market Capitalization: $1.66 trillion
Meta Platforms, Inc. (NASDAQ:META) is placed second on our list.
TheFly reported on January 26 that Rothschild & Co Redburn upgraded META from Neutral to Buy and raised its price target to $900 from $740. The firm noted that while higher costs could push 2026 earnings estimates lower and cause shares to dip in the short term, it sees a disconnect between the current stock price and META’s long-term value. Rothschild argued that at current levels, the upside potential outweighs near-term risks and suggested that investors use any weakness following the Q4 report to start building positions.
Separately, earlier on January 23, Stifel lowered its price target for Meta Platforms, Inc. (NASDAQ:META) to $785 from $875 and maintained a Buy rating. The update came as part of the firm’s Q4 digital advertising review. While Q4 results were supported by strong performance, particularly from Instagram Reels, Stifel noted that investor focus is likely to shift toward META’s total and capital expenditure projections for 2026.
Meta Platforms, Inc. (NASDAQ:META) is a global technology company specializing in social media, virtual reality, and digital communication platforms. Through services like Facebook, Instagram, and WhatsApp, Meta connects billions of users.
1. Microsoft Corporation (NASDAQ:MSFT)
Net Income (TTM): $112.01 billion
Operating Margin: 46.26%
Market Capitalization: $3.46 trillion
Microsoft Corporation (NASDAQ:MSFT) tops our list for being one of the most profitable stocks.
On January 23, 2026, UBS lowered its price target for MSFT to $600 from $650 while maintaining a Buy rating. The firm highlighted that the ongoing ramp-up of MSFT’s large Fairwater AI data centers in Atlanta and Wisconsin is a key near-term driver for Azure growth, with the Wisconsin facility expected to come online in Q1. Progress at these sites supports an upgraded outlook for Azure ahead of MSFT’s fiscal second-quarter earnings report on January 28.
Moreover, on January 22, at Xbox’s Developer_Direct presentation, Microsoft Corporation (NASDAQ:MSFT)’s Double Fine studio unveiled its new multiplayer party brawler, “Kiln.” The game is scheduled for release in Spring 2026 and will be available across Xbox Series X|S, PC, Xbox Cloud Gaming, PlayStation 5, Steam, and through Xbox Game Pass Ultimate.
Microsoft Corporation (NASDAQ:MSFT) is a global technology leader offering software, hardware, cloud, and AI solutions. Known for Windows, Office, and Azure, it empowers individuals and organizations through innovation, productivity, and digital transformation, while emphasizing sustainability, security, and long-term growth.
While we acknowledge the potential of MSFT 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 MSFT and that has 100x upside potential, check out our report about this cheapest AI stock.
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