In this piece we will look at the 5 Best Up and Coming AI Stocks to Buy Now. Please visit 8 Best Up and Coming AI Stocks to Buy Now if you’d like to see an extended list and how we came up with the list of Best Up and Coming AI Stocks to Buy Now.
5. Qnity Electronics, Inc. (NYSE:Q)
Number of Hedge Fund Holders: 58
Qnity Electronics, Inc. (NYSE:Q) is one of the Best Up and Coming AI Stocks to Buy Now. The company reported its fiscal Q1 2026 earnings on May 12. The decline comes despite Qnity Electronics, Inc. (NYSE:Q)’s significant beat as adjusted EPS of $1.08 topped the estimated $0.92. Moreover, the revenue reached $1.315 billion, exceeding the forecasted $1.27 billion.
Management noted an 18% year-over-year increase in revenue and 33% increase in adjusted EPS during the quarter. CEO Jon Kemp highlighted this as the company’s eighth consecutive quarter of double-digit profitable organic growth, and attributed growth to Qnity’s integrated portfolio spanning advanced chips, packaging, interconnects, and thermal management. Management noted that growth is increasingly driven by complex, multi-chip system designs, which is one of the strategic advantages of the company.
Looking ahead, management raised the full-year revenue outlook to a range of $5.23 billion to $5.38 billion and adjusted EPS guidance to between $3.80 and $4.14 and cited strong first-quarter momentum as the primary driver.
Qnity Electronics, Inc. (NYSE:Q) is a semiconductor and electronics materials company spun off from DuPont that develops components for AI, high-performance computing, and 5G technologies.
4. Credo Technology Group Holding Ltd (NASDAQ:CRDO)
Number of Hedge Fund Holders: 59
Credo Technology Group Holding Ltd (NASDAQ:CRDO) is one of the Best Up and Coming AI Stocks to Buy Now. The company recently reported its fiscal Q4 2026 earnings on June 1. Following the release on June 2, Mizuho analyst Vijay Rakesh raised the price target on Credo Technology Group Holding Ltd (NASDAQ:CRDO) from $260 to $290 and maintained an Outperform rating on the shares.
During the quarter, the company reported strong results with revenue growing 157% year-over-year to $437 million, ahead of the expected $433.3 million. The EPS of $1.16 also topped the $1.03 consensus estimate. Management noted the growth to be driven by surging demand for Active Electrical Cables and AI data center connectivity solutions. The company noted that customers are scaling larger GPU clusters, and Credo is benefiting directly.
Notably, gross margins remained healthy at around 68%, and non-GAAP net income for the quarter came in at $277 million. Looking ahead, management guided Q1 fiscal 2027 revenue between $465 million and $475 million.
Analyst Rakesh noted the quarter to be solid and also pointed out the guidance to be above consensus, hence increased the price target.
Founded in 2008, Credo Technology Group Holding Ltd (NASDAQ:CRDO) develops high-speed connectivity products and solutions for the data infra market (specifically optical and electrical Ethernet and PCIe applications), including SerDes chiplets, integrated circuits, and electrical cables. The company is based in the Cayman Islands.
3. CoreWeave, Inc. (NASDAQ:CRWV)
Number of Hedge Fund Holders: 63
CoreWeave, Inc. (NASDAQ:CRWV) is one of the Best Up and Coming AI Stocks to Buy Now. On June 2, Bloomberg reported that a data center subsidiary linked to CoreWeave, Inc. (NASDAQ:CRWV) has raised $900 million through a high-yield bond offering, adding to the growing wave of debt issuance funding AI infrastructure expansion.
The report noted that 5-year bonds were issued by Elk Grove Village Property LLC, priced at par with a 7.5% yield. According to the report, the proceeds of this sale are expected to fund building a hyperscale data center in the Chicago metropolitan area. Notably, the facility has already been fully leased to CoreWeave for 15 years, representing approximately $2.2 billion in contracted revenue, thereby providing a stable and long-term cash flow.
The report noted that developers are increasingly turning to the junk bond market to finance rapid capacity expansion driven by AI demand.
Overall, the Street is bullish on CoreWeave, Inc. (NASDAQ:CRWV) as 62% of the 39 analysts covering the stock maintain a Buy rating. Moreover, the 12-month average price target suggests more than 39% upside from the current levels.
CoreWeave Inc. (NASDAQ:CRWV) works as a cloud infrastructure technology company. It offers various services, which include proprietary software and cloud services used for automation, infrastructure control solutions, and data storage. Moreover, it provides model and agent development tools, GPU and CPU compute, virtual and bare metal servers, pixel streaming, batch processing solutions, and more.
2. Core Scientific, Inc. (NASDAQ:CORZ)
Number of Hedge Fund Holders: 81
Core Scientific, Inc. (NASDAQ:CORZ) is one of the Best Up and Coming AI Stocks to Buy Now. Recently, on June 3, Bernstein raised its price target on the stock from $24 to $32 and maintained an Outperform rating on the shares. Earlier on May 27, B. Riley also raised the price target on Core Scientific, Inc. (NASDAQ:CORZ) from $30 to $33 and maintained a Buy rating on the shares.
Bernstein noted that the update in price target comes as a result of the firm’s updated valuation methodology, which now focuses on the company’s AI infrastructure business, rather than its bitcoin mining operations. This shift comes as Core Scientific reallocates power capacity away from bitcoin mining and toward AI infrastructure.
On the other hand, B. Riley noted that the recent pace and scale of hyperscale contracts have accelerated sharply, which the firm believes is a positive sign for the company. The firm highlighted updating its models to reflect recent deal announcements, site developments, and quarterly results.
The analyst pointed out that NIMBY opposition and electrical equipment shortages have shifted from background risks to real, material constraints on data center development. This supply-side friction works in Core Scientific’s favor as companies that can reliably secure and deliver power capacity are becoming increasingly valuable in a market where development bottlenecks are tightening.
Core Scientific Inc. (NASDAQ:CORZ) operates digital Bitcoin mining and HPC infrastructure. The company uses its own fleet of computers, called miners, to earn Bitcoin for its own account and also provides hosting services for Bitcoin mining and HPC customers at US-based operational data centers.
1. Sandisk Corporation (NASDAQ:SNDK)
Number of Hedge Fund Holders: 114
Sandisk Corporation (NASDAQ:SNDK) is one of the Best Up and Coming AI Stocks to Buy Now. Analysts have been getting increasingly more bullish on Sandisk Corporation (NASDAQ:SNDK). Over the past week, Morgan Stanley and Susquehanna raised price targets on SNDK with Outperform ratings.
On June 3, Morgan Stanley raised the price target from $1,100 to $1,750 and maintained an Outperform rating on the shares. The firm’s bullish case is based on a persistent memory shortage with “no quick fix.” Morgan Stanley expects tight supply conditions to last two to three years or longer. This is seen as a meaningful tailwind for memory companies like Sandisk. Despite memory stocks already delivering strong performance in both 2025 and 2026, the firm believes the rally still has room to run.
Earlier, Susquehanna also raised the price target on SNDK from $2,000 to $3,250 with a Buy rating. The firm noted that its industry checks point to very strong pricing momentum. For instance, the Q2 DRAM average selling prices are trending up 50% to 60% quarter-over-quarter, slightly ahead of the 50% consensus expectation, while NAND pricing remains equally impressive, tracking up 75% to 100%. As a result of the strong prices, Susquehanna has raised estimates across its memory manufacturer coverage.
Sandisk Corporation (NASDAQ:SNDK) is involved in the development, manufacture, and provision of storage devices and solutions based on NAND flash technology. The company’s products include solid-state drives, memory cards, and USB flash drives.
While we acknowledge the potential of SNDK 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 SNDK and that has 100x upside potential, check out our report about the cheapest AI stock.
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