On January 24, Katie Stockton of Fairlead joined ‘Closing Bell Overtime’ on CNBC to discuss how the loss of intermediate tech momentum has been weathered really well. Stockton provided a technician’s perspective on the market’s current three-month stall out. Discussing the index’s recent flattening following a strong run, Stockton attributed the shift primarily to the tech sector. She explained that large-cap tech has underperformed since late October, which caused a loss of intermediate-term momentum for the S&P 500. This shift is significant because it follows a very strong uptrend that peaked in October, highlighting the heavy influence tech has on the broader market.
Stockton noted that while intermediate-term momentum has faded, the market has weathered the change well. She pointed out that the indices have maintained higher lows since November and suggested that the current period is a consolidation phase near all-time highs rather than a dramatic downside move. However, she emphasized that the character of the market has changed, proving how essential large-cap tech names are for driving upside movement. Regarding the future of these tech leaders, Stockton views the current state as a corrective phase that should result in an oversold bounce.
That being said, we’re here with a list of the 9 best performing new tech stocks to buy now.
Our Methodology
We first sifted through the Finviz stock screener to compile a list of new tech stocks that went public in the last 5 years (including spin-offs) and also had a 6-month performance of at least 20%. We then selected 9 stocks that were the most popular among elite hedge funds and that analysts were bullish on. The stocks are ranked in ascending order of the number of hedge funds that have stakes in them, as of Q3 2025.
Note: All data was sourced on January 28.
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).
9 Best Performing New Tech Stocks to Buy Now
9. Credo Technology Group Holding Ltd. (NASDAQ:CRDO)
Number of Hedge Fund Holders: 56
6-Month Performance: 20.03%
Credo Technology Group Holding Ltd. (NASDAQ:CRDO) is one of the best performing new tech stocks to buy now. On January 21, Rosenblatt initiated coverage of Credo Technology with a Neutral rating and a $170 price target. The firm projects explosive growth for 2026, anticipating that revenue will nearly triple and earnings will more than quadruple. This optimistic near-term outlook is supported by Credo’s robust tech stack, its first-mover status in 400G and 800G solutions, and its strong position in both scale-out and scale-up connectivity for AI data centers. However, despite these advantages, Rosenblatt remains cautious, warning that the company will soon face imminent pressure from increasing competition.
Earlier on January 15, Barclays analyst Tom O’Malley raised the price target for Credo Technology Group Holding Ltd. (NASDAQ:CRDO) to $260 from $220, while maintaining an Overweight. This revision was part of a broader 2026 outlook for the semiconductor and semiconductor capital equipment sectors, where Barclays expects stock performance to be dictated by a company’s link to AI.
The analyst expressed a preference for companies that are fundamental to the AI ramp and suggested that high-quality stocks will eventually lead the market. He anticipated this would occur even as investors continue to debate how much of the current AI opportunity can be successfully deployed in the coming year.
Credo Technology Group Holding Ltd. (NASDAQ:CRDO) provides various high-speed connectivity solutions for optical and electrical Ethernet and PCIe applications in the US, Taiwan, Mainland China, Hong Kong, and internationally.
8. Zeta Global Holdings Corp. (NYSE:ZETA)
Number of Hedge Fund Holders: 62
6-Month Performance: 24.67%
Zeta Global Holdings Corp. (NYSE:ZETA) is one of the best performing new tech stocks to buy now. On January 28, Goldman Sachs raised its price target for Zeta Global from $23 to $26 while maintaining a Neutral rating on the stock. The firm anticipates an acceleration in software-sector M&A throughout 2026, fueled by compressed public market valuations and the inherent strengths of established software businesses. These structural advantages allow incumbent SaaS companies to create value by acquiring innovative private-market technologies at attractive multiples and realizing cross-portfolio synergies.
Earlier on January 15, Morgan Stanley also increased its price target for Zeta Global to $27 from $23, reflecting a more optimistic perspective on the application SaaS sector for 2026. This adjustment came after a year where SaaS names largely lagged behind the broader software and technology markets. However, the firm now believes that the risks associated with AI disruption are proving to be less severe than previously anticipated.
While this shift supports a more favorable outlook for the coming year, Morgan Stanley maintains a selectively opportunistic stance. This cautious approach is attributed to the lack of widespread, positive revisions in corporate spending, suggesting that while the environment is improving, the firm remains focused on specific high-quality opportunities rather than the sector as a whole.
Zeta Global Holdings Corp. (NYSE:ZETA) operates an omnichannel data-driven cloud platform that provides enterprises with consumer intelligence and marketing automation software in the US and internationally.
