In this article, we will take a look at the 7 Best Tech Stocks to Buy Now for the “Vera Rubin” Chip Cycle.
NVIDIA began the year with an unexpected move: it announced its next-generation AI computer architecture months before schedule. The Vera Rubin launch, introduced on June 1 during Nvidia CEO Jensen Huang’s speech at the Computex conference in Taipei, is now in full development, with systems expected to be delivered to cloud and enterprise clients in the fall. According to the company, the platform provides 10x the agentic AI throughput of its previous-gen Grace Blackwell technology at one-tenth the cost per token.
The ‘Vera Rubin’ cycle comes at a time when investor concerns about hyperscaler AI capex are intensifying. However, Peter Oppenheimer, chief global equity strategist at Goldman Sachs, offered a contrasting view, stating that “a capex supercycle is taking hold.”
According to Goldman Sachs, hyperscalers are predicted to spend $757 billion this year, up 84% from a year ago, and an additional $920 billion by 2027. The spending boom has dramatically increased earnings for companies poised to gain from the AI adoption.
Speaking on this continuous trend, Oppenheimer added:
“In a higher cost-of-capital environment where multiple expansion is more limited, this combination of earnings growth and positive revisions remains a key driver of outperformance.”
Our Methodology
To identify the stocks most likely to benefit from the Vera Rubin cycle, we searched for companies with market capitalizations exceeding $2 billion that generate substantial revenue from AI infrastructure sectors, such as semiconductors, memory, and networking. These companies were further narrowed down based on hedge fund sentiment as of Q1 2026. Preference was given to companies that are projected to benefit directly from Rubin-related hyperscaler deployments.
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. Insider Monkey’s quarterly newsletter strategy selects 14 small-cap and large-cap stocks every quarter and has returned 599.2% since May 2014, beating its benchmark by 372 percentage points (see more details here).
7. Hewlett Packard Enterprise Company (NYSE:HPE)
Number of Hedge Fund Holders: 58
Hewlett Packard Enterprise Company (NYSE:HPE) ranks among the best tech stocks to buy now for the “Vera Rubin” chip cycle. On June 3, Argus increased its price target for Hewlett Packard Enterprise Company (NYSE:HPE) to $70 from $30 while retaining a Buy rating on the company’s shares, emphasizing AI momentum and solid quarterly results. Analyst Jim Kelleher stated that Hewlett Packard Enterprise Company (NYSE:HPE) exceeded average revenue and non-GAAP EPS projections for the second quarter of 2026.
The company’s results exceeded Wall Street’s forecasts of $9.8 billion in revenue and $0.53 in EPS. The performance was driven primarily by a 148% gain in the Networking segment and a 23% rise in the Cloud & AI segment.
While the development of agentic AI is strengthening its conventional server business, the company is incorporating AI throughout its service offerings, including networking. During its investor event in October 2025, management explained how AI infrastructure investments and the acquisition of Juniper would enhance networking capabilities, improve financial performance, and support strategic expansion.
Hewlett Packard Enterprise Company (NYSE:HPE) operates as a global technology provider focused on intelligent solutions. Its platforms help customers capture, analyze, and act on data from edge to cloud. The customer base ranges from small and medium-sized businesses to large enterprises and government organizations.
6. Nebius Group N.V. (NASDAQ:NBIS)
Number of Hedge Fund Holders: 60
Nebius Group N.V. (NASDAQ:NBIS) ranks among the best tech stocks to buy now for the “Vera Rubin” chip cycle. On June 9, Bank of America analyst Tal Liani boosted Nebius Group’s price target to $280 from $240, noting strong compute needs and a growing strategic technology stack. The upgrade came after Nebius Group N.V. (NASDAQ:NBIS) announced a £1.7 billion upgrade to its UK data center, financed by NVIDIA, as well as a new Physical AI Living Lab initiative for robot startups.
Nebius Group N.V. (NASDAQ:NBIS) has been aggressively expanding of late, attracting major cloud agreements from companies like Microsoft and Meta, a $2 billion investment from Nvidia, as well as new data centers in Europe and the United States.
Furthermore, a day earlier, Nebius Group N.V. (NASDAQ:NBIS) signed a 10-year agreement with Kao Data to install a 22-megawatt AI network at the data center operator’s Harlow facility in the UK. The installation will support the Nebius AI Cloud platform along with its managed inference platform, the Nebius Token Factory.
Nebius Group N.V. (NASDAQ:NBIS) is an AI cloud company that provides full-stack infrastructure, compute, storage, networking, inference, data, and agentic AI services for developers, startups, enterprises, and AI builders.
While we acknowledge the potential of NBIS 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 NBIS and that has 100x upside potential, check out our report about the cheapest AI stock.
5. CoreWeave Inc. (NASDAQ:CRWV)
Number of Hedge Fund Holders: 63
CoreWeave Inc. (NASDAQ:CRWV) ranks among the best tech stocks to buy now for the “Vera Rubin” chip cycle. On June 16, Cantor Fitzgerald reiterated its Overweight rating and $167 price target for CoreWeave Inc. (NASDAQ:CRWV). According to the firm, CoreWeave Inc. (NASDAQ:CRWV) included additional information in its bond offering note that equity investors generally disregarded.
According to Cantor Fitzgerald, comparing the bond number to historical reported figures can provide insight into CoreWeave’s intra-quarter performance regarding contract signings and backlog increase. The firm added that CoreWeave Inc. (NASDAQ:CRWV) is expected to considerably exceed consensus backlog forecasts for the second quarter of 2026.
Portogas D Ace/Shutterstock.com
Meanwhile, on June 2, BNP Paribas began coverage of CoreWeave Inc. (NASDAQ:CRWV), assigning an Outperform rating and a $192 price target on the company’s shares. Analyst Stefan Slowinski described CoreWeave Inc. (NASDAQ:CRWV) as “one of the most strategically important companies within the AI infrastructure ecosystem.”
Although CoreWeave Inc. (NASDAQ:CRWV) isn’t beyond hurdles, BNP Paribas believes there is potential for a ‘catch-up’ trade if management delivers on its development plan.
CoreWeave Inc. (NASDAQ:CRWV) is a software infrastructure company that offers the CoreWeave Cloud platform to deliver the automation & efficiency needed to manage AI infrastructure at scale.
4. Dell Technologies Inc. (NYSE:DELL)
Number of Hedge Fund Holders: 72
Dell Technologies Inc. (NYSE:DELL) ranks among the best tech stocks to buy now for the “Vera Rubin” chip cycle. Following Dell Technologies Inc. (NYSE:DELL)’s first-quarter fiscal 2027 results, Goldman Sachs boosted its price objective for the stock to $500 from $230 with a Buy rating on June 1. The company posted earnings per share of $4.86, above Goldman Sachs’ consensus and company expectations.
Dell’s AI server order book also hit $24 billion in orders, along with a $50.3 billion backlog. The company stated that demand remains ahead of supply, with DRAM, NAND, and CPUs being the key limitations, and that it expects to have a significant backlog by the end of the year.
Furthermore, on the same day, Truist Securities boosted its price objective for Dell Technologies Inc. (NYSE:DELL) to $360 from $170 while retaining a Hold rating on the company’s shares. The firm cited unusually strong demand and constrained supply conditions in its report.
The firm expects potential upside to Dell’s indicated deceleration in second-half sales, as long as the company can generate sufficient supply to fulfill demand. Truist’s fiscal 2027 revenue prediction of $174.3 billion is comparable to Dell’s projection range of $165 billion to $169 billion.
Dell Technologies Inc. (NYSE:DELL) is an American multinational technology company that designs, develops, manufactures, markets, sells, and supports integrated technology solutions, products, and services.
3. Micron Technology Inc. (NASDAQ:MU)
Number of Hedge Fund Holders: 154
Micron Technology Inc. (NASDAQ:MU) ranks among the best tech stocks to buy now for the “Vera Rubin” chip cycle. On June 18, Wedbush increased its price target for Micron Technology Inc. (NASDAQ:MU) to $1,300 from $500, while keeping an Outperform rating on the company’s shares. The firm raised its revenue and earnings per share expectations for the third quarter and subsequent ones.
Wedbush sees strong AI demand persisting until 2027 or 2028, with a low risk of oversupply over the next 18 months. The firm anticipates its projections to rise, and expects new long-term agreements to allow for a longer peak earnings period than in previous cycles.
The same day, Rosenblatt boosted its price objective for Micron Technology Inc. (NASDAQ:MU) to $1,200 while retaining a Buy rating on the stock. The firm highlighted growing demand for DRAM and NAND Flash memory, as well as new wafer supply that is still 12 months away, as grounds for raising predictions driven by rising average selling prices.
The firm also expects potential HBM price hikes, which would close the gross margin gap with DDR5 and enhance corporate gross margin.
Micron Technology Inc. (NASDAQ:MU) provides memory and storage solutions sold into client, cloud server, enterprise, graphics, networking, smartphone, mobile-device, automotive, industrial, and consumer markets, among others.
2. Taiwan Semiconductor Manufacturing Company Limited (NYSE:TSM)
Number of Hedge Fund Holders: 234
Taiwan Semiconductor Manufacturing Company Limited (NYSE:TSM) ranks among the best tech stocks to buy now for the “Vera Rubin” chip cycle. On June 16, Aletheia Capital boosted its price objective for Taiwan Semiconductor Manufacturing Company Limited (NYSE:TSM) to NT$3,500 from an unknown previous level, keeping a Buy rating on the company’s shares. The firm also raised its forecasts for TSMC’s high-end node capacity growth to 70,000, 150,000, and 170,000 wafers per month in 2026, 2027, and 2028, respectively.
Aletheia Capital predicts that Taiwan Semi’s wafer fabrication equipment expenditure will double year-over-year in the following year, with a double-digit increase projected in 2028. According to the firm, Taiwan Semiconductor Manufacturing Company Limited (NYSE:TSM) will prioritize CoWoS technology during the upcoming 12 months, while SoIC and CoPoS will become increasingly important in the latter half of 2027 and 2028.
The firm added that Taiwan Semi’s revenue and earnings growth should pick up speed in 2028 after a CAGR of more than 30% in 2024–2027, which the market has so far overestimated.
Taiwan Semiconductor Manufacturing Company Limited (NYSE:TSM) is a Taiwanese multinational semiconductor contract manufacturing and design company that manufactures, packages, and tests integrated circuits for various industries.
1. NVIDIA Corporation (NASDAQ:NVDA)
Number of Hedge Fund Holders: 275
NVIDIA Corporation (NASDAQ:NVDA) ranks among the best tech stocks to buy now for the “Vera Rubin” chip cycle. On June 12, NVIDIA Corporation (NASDAQ:NVDA) announced that it had been actively promoting its latest Vera CPU to Chinese cloud and data-center customers, informing them that the chip might be available as early as August and that orders were already being taken.
The sales effort represents a strategic shift for NVIDIA, as US export constraints have essentially kept its high-end GPU portfolio away from the Chinese market. NVIDIA’s market share in China had virtually plummeted to zero, according to CEO Jensen Huang, owing to US export limitations on high-end chips and Beijing’s aim for self-reliance in critical technologies.
CPUs provide NVIDIA Corporation (NASDAQ:NVDA) with a mostly unhindered route back into one of the biggest data-center sectors in the world since they are subject to fewer regulations than the company’s high-end GPU products.
According to Reuters, a leading Chinese cloud provider intends to acquire around 300 servers, each with two Vera CPUs, for preliminary testing before adopting larger-scale installations.
NVIDIA Corporation (NASDAQ:NVDA) is a fabless semiconductor and AI computing company that designs GPUs, AI accelerators, Application Programming Interfaces (APIs), and system-on-a-chip units. Through its CUDA ecosystem, the company enables industries ranging from autonomous vehicles to scientific research by advancing AI, accelerated computing, and data center infrastructure.
While we acknowledge the potential of NVDA 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 NVDA and that has 100x upside potential, check out our report about the cheapest AI stock.
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