In this article, we explore the 8 Best Blue Chip AI Stocks to Buy Now.
The sell-off in software stocks amid artificial intelligence shows no signs of slowing down. The S&P 500 has fallen as worries grow about the impact of this transformative technology on software companies. Even large tech firms announcing major AI investments have not yet found relief in the broader market downturn.
Nevertheless, the indiscriminate sell-off around AI is more of an opportunity than anything else. While the overall industry is suffering a reality check similar to what dot-com names experienced in early 2000, solar stocks in 2012, and cannabis stocks in 2019, the world still needs AI solutions.
Jeremy Siegel, professor emeritus of finance at Wharton, says the long-term outlook for AI stocks remains strong. “These [AI companies] are real firms with real cash flows, not concept stocks,” Siegel said.
Jessica Rabe of DataTrek Research agrees, noting that AI companies are not burning cash. “These companies have much better fundamentals now than in the late 1990s,” Rabe said.
Citi analyst Heath Terry sees the AI stock decline as a price reset, not a crisis, since profit growth for AI remains likely this year and next.
The deep pullback in blue-chip stocks could be a short-lived correction, as valuations had gotten out of hand. With that in mind, let’s take a look at some of the best blue-chip AI stocks to buy now.
Our Methodology
To compile the list of the Best Blue Chip AI Stocks to Buy Now, we sifted through blue chip ETFs and settled on companies with a market cap of more than $10 billion. We trimmed the list to companies with significant exposure to artificial intelligence. We further focused on stocks with an upside potential of more than 30% as of March 31 and are popular among elite hedge funds in the fourth quarter of 2025. Finally, we have ranked the 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 shows 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 498.7% since May 2014, beating its benchmark by 303 percentage points (see more details here).
Best Blue Chip AI Stocks to Buy Now
8. ASML Holding N.V. (NASDAQ:ASML)
Stock Upside Potential: 30.90%
Number of Hedge Fund Holders: 101
ASML Holding N.V. (NASDAQ:ASML) is one of the best blue-chip AI stocks to buy now. On March 26, Bernstein SocGen Group reiterated an Outperform rating on ASML Holding N.V. and raised the price target to $1971 from $1,911.
The reiteration comes amid expectations that the company is well-positioned to benefit from DRAM capacity build-out, accelerating from 145,000 additional wafers per month last year to 245,000 in 2026. The build-out is expected to increase to 330,000 wafers per month in 2027 and 435,000 wafers in 2028. The increase will come from the top three DRAM makers, adding about 1 million monthly wafer capacities between 2026 and 2028.
Consequently, the research firm expects ASML to ship 44 EUV machines to DRAM in 2028, representing 45% of its total EUV shipments. It would be a significant increase from 18 units shipped in 2025. The research firm has also raised the ASML EUV shipment estimate in 2028 from 79 to 92 units.
ASML Holding N.V. is the world’s leading manufacturer of lithography systems for the semiconductor industry. They design and build complex machines that use light to print tiny circuit patterns onto silicon wafers, enabling chipmakers like TSMC, Intel, and Samsung to mass-produce powerful, energy-efficient microchips for electronics.
7. Taiwan Semiconductor Manufacturing Company Limited (NYSE:TSM)
Stock Upside Potential: 33.29%
Number of Hedge Fund Holders: 224
Taiwan Semiconductor Manufacturing Company Limited (NYSE:TSM) is one of the best blue-chip AI stocks to buy now. On March 30, Citigroup reiterated a Buy rating on Taiwan Semiconductor Manufacturing Company Limited and raised the price target to NT$2,800 from NT$2,600.
According to Citigroup, the company is well-positioned to benefit from the accelerating artificial intelligence chip market. Consequently, the firm expects the company’s earnings per share to increase by 18% in 2027 to NT$130.72 and by 28% in 2028 to NT$165.99. Net profit is also projected to increase to NT$2.43 trillion in 2026 from NT$1.72 trillion in 2025. Revenue is projected to increase in 2026 to NT$5.12 trillion.
Citigroup also expects Taiwan Semiconductor’s artificial intelligence revenue to grow by over 100% into 2027. The increase would come on CoWoS’ packaging capacity, growing from 1.3 million wafers in 2026 to 2 million in 2027.
The robust revenue and earnings increase would come at the back of N3 and N2 capacity growth. The N2 node is projected to account for 29% of total revenue in 2027, up from 15% in 2026. Citigroup expects Nvidia to become the first A16 customer for its Feynman GPU in 2028, with Google and AWS AI chips migrating to N2 late 2027.
Taiwan Semiconductor Manufacturing Company Limited is the world’s largest independent semiconductor foundry, manufacturing advanced microchips for companies such as Apple, Nvidia, and AMD. It specializes in fabricating chips designed by others for use in smartphones, AI data centers, and automobiles, and holds roughly 72% of the global foundry market.
6. Amazon.com, Inc. (NASDAQ:AMZN)
Stock Upside Potential: 40.17%
Number of Hedge Fund Holders: 381
Amazon.com Inc. (NASDAQ:AMZN) is one of the best blue-chip AI stocks to buy now. On April 2, Reuters reported that Amazon.com Inc. is in talks to acquire satellite telecom group Globalstar as it accelerates efforts to expand Project Kuiper, its low Earth orbit satellite program. The move would strengthen Amazon’s push to rival SpaceX’s Starlink, which already operates more than 9,500 satellites serving nine million users worldwide.
Amazon’s Leo has launched 180 satellites so far, with plans for a 3,200‑satellite constellation aimed at consumers, businesses, and governments. This positions Amazon as the closest competitor to Starlink, which generates the majority of SpaceX’s revenue and supports U.S. national security agencies through its Starshield variant. Negotiations remain complex, partly due to Apple’s 20% stake in Globalstar.
On March 30, KeyBanc Capital Markets touted Amazon.com Inc. as a top stock amid a solid outlook for artificial intelligence and digital.
KeyBanc noted Amazon’s strong position due to its size and differentiation, as AI-driven shopping is still in early stages. The firm projects 0.4% of US ecommerce sales will stem from AI platforms in 2025, and AI-enabled search could reach 10% of ecommerce in 2029.
Amazon.com, Inc. is a global technology company operating through multiple interconnected business units. While known as an online retailer, it is also a major player in cloud computing, digital streaming, and artificial intelligence.
5. Arista Networks (NYSE:ANET)
Stock Upside Potential: 54.29%
Number of Hedge Fund Holders: 91
Arista Networks (NYSE:ANET) is one of the best blue-chip AI stocks to buy now. On March 30, Truist Securities initiated coverage of Arista Networks with a Buy rating and a $161 price target, impressed by its growth over the past five years.
According to the research firm, the company is one of the purest plays in the AI networking theme. That’s because it is leveraging its success in the cloud with hyperscalers and in high-speed data centers by switching to newer AI networks that connect GPU clusters.
Source: unsplash
Consequently, the research firm expects AI-related networking with cloud and AI titans to contribute to the company’s 25% growth this year. Revenue is projected to increase from $1.5 billion to $3.25 billion in 2026. The revenue increase would come as the company is staring at tremendous growth opportunities on campus, where it has just 4% market share in a market valued at $20 billion. It is also well-positioned to capitalize on opportunities in data centers for enterprise and AI specialty providers.
Arista Networks specializes in high-performance, software-driven networking solutions, primarily for large data centers, cloud computing providers, and AI (Artificial Intelligence) environments. It also designs and sells high-speed Ethernet switches and routers powered by its Extensible Operating System.
4. Meta Platforms, Inc. (NASDAQ:META)
Stock Upside Potential: 60.66%
Number of Hedge Fund Holders: 256
Meta Platforms, Inc. (NASDAQ:META) is one of the best blue-chip AI stocks to buy now. On March 31, Meta Platforms, Inc. introduced two new Ray-Ban prescription smart glasses, expanding its lineup of AI-powered wearables. Priced from $499 and available for pre-order in the U.S., the Ray-Ban Meta Blayzer Optics and Meta Scriber Optics will launch globally on April 14.
Developed with EssilorLuxottica, the glasses feature customizable hinges and nose pads, making them adaptable to different face shapes. Meta, which already dominates the smart glasses market with over 76% share, sees these products as part of its broader push toward “personal superintelligence,” investing heavily in AI-driven devices to bring advanced technology directly to consumers.
On March 30, Meta Platforms Inc. began testing a subscription service for its photo-sharing app Instagram.
Instagram Plus is the new service designed to unlock exclusive features for users. For starters, subscribers will be able to view Stories without the owner or poster knowing. They will also create unlimited audience lists for Stories, moving beyond the current Close Friends Option.
In addition, Instant Plus users will be able to extend a Story for an extra 24 hours and send an animated “Superlike” on others’ Stories. Meta Platforms is reportedly testing the service in Mexico, Japan, and the Philippines. The paid service is part of the company’s push to create a new revenue stream. The social networking company has also announced plans for new subscription offerings across Facebook and WhatsApp.
Meta Platforms, Inc. develops technologies that enable people to connect, share, and build community through social media, virtual/augmented reality (VR/AR), and AI. Its core business includes platforms like Facebook, Instagram, WhatsApp, and Messenger, while Reality Labs focuses on metaverse hardware such as Meta Quest headsets and AI-powered smart glasses.
3. Microsoft Corp (NASDAQ:MSFT)
Stock Upside Potential 61.26%
Number of Hedge Fund Holders: 312
Microsoft Corp (NASDAQ: MSFT) is one of the best blue-chip AI stocks to buy now. On March 27, Microsoft formed a strategic partnership with Victoria University to meet Victoria’s rising need for data center capacity amid heightened cloud and AI adoption.
The partners established the Microsoft Datacenter Academy for Victoria’s growing technical talent needs. With space for 48 students, the program addresses critical skills gaps through training and mentorship from Microsoft and business leaders.
The program is designed to shape future workforce capabilities and address critical skill gaps. It builds on the university’s vision to deliver fully funded and demand-driven courses. It also builds on Microsoft’s Datacenter Community pledge and ongoing investments in skilling initiatives to enable success in the new AI economy.
In addition, Microsoft plans to invest $1 billion over two years to expand cloud and AI in the region, including extending its data center footprint and developing local talent. The investment also supports cybersecurity and sovereign technology initiatives. Microsoft aims to accelerate AI adoption in the workforce.
Microsoft Corp develops, licenses, and supports software, services, hardware, and AI. Its main activities include Azure cloud, Microsoft 365 productivity software, Windows, Xbox gaming, AI tools like Copilot, and LinkedIn professional networking.
2. Nvidia Corporation (NASDAQ:NVDA)
Stock Upside Potential: 64.02%
Number of Hedge Fund Holders: 264
NVIDIA Corporation (NASDAQ:NVDA) is one of the best blue-chip AI stocks to buy now. On March 16 at the GTC conference, NVIDIA Corporation unveiled the NVIDIA Physical AI Data Factory Blueprint. The blueprint is part of the company’s push for state-of-the-art in world modeling, humanoid skills, and autonomous driving.
The Omniverse DSX Blueprint unifies simulation across every layer of the AI factory using a single digital twin. It helps operators optimize performance and efficiency before real-world installation. NVIDIA aims to lower the cost and complexity of building modern AI factories through this simulation solution.
The Physical AI Data Factory Blueprint also converts compute into high-quality, large-scale training data. The platform streamlines data curation, augmentation, and evaluation in a single pipeline. Microsoft Azure and Nebius are the first cloud providers to offer this turnkey data production engine.
NVIDIA Corporation leads in accelerated computing, designing GPUs and software for AI, data centers, gaming, and professional visualization. It dominates AI chip supply, powering generative AI, autonomous vehicles, and robotics.
1. Oracle Corporation (NYSE:ORCL)
Stock Upside Potential: 75.94%
Number of Hedge Fund Holders: 111
Oracle Corporation (NYSE:ORCL) is one of the best blue-chip AI stocks to buy now. On March 30, Bernstein SocGen Group reiterated an Outperform rating on Oracle Corporation with a $319 price target. The bullish stance is in response to the company delivering solid quarterly results and guidance that helped alleviate investor concerns.
While there are questions about the company’s data center build-out and customer concentration, Bernstein insists the company’s economics are better than initially feared. In addition, the company continues to generate significant investor interest. According to the research firm, Oracle is slowly becoming a preferred investment as concerns grow about artificial intelligence disrupting software.
The company’s AI Datacenter and core database businesses are also well-positioned to benefit from the AI boom. The investors’ perspective on the company should also improve as more data validate the quality of the company’s core business. For starters, Veritone has already inked a multiyear agreement to leverage Oracle’s Cloud infrastructure as it pursues growth and AI expansion across the commercial and public sectors.
Oracle Corporation is a global technology company specializing in enterprise software, database management systems, and cloud computing infrastructure. It enables organizations to manage critical data, including customer, financial, and supply chain information.
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