In this article, we will discuss the ChatGPT Stock Portfolio: Top 7 Picks For 2026.
Using AI for assistance in the stock-picking process is becoming a near no-brainer on Wall Street. After all, why wouldn’t you use something that can process thousands of reports and data points in minutes while cutting research time and costs? But the bigger question remains: is AI actually any good at picking stocks?
We are now seeing pure AI-based funds using AI agents to analyze companies and build portfolios. Minotaur Capital uses AI agents to scan news, earnings, and market data to identify investment opportunities. Since inception, the fund has returned about 16.9% annualized, versus roughly 14.5% for the MSCI AC World Index.
The fund told Bloomberg last year that its AI-driven setup allows it to operate at roughly half the cost of a traditional analyst-heavy research team.
In April, the fund returned about 4%, lagging the MSCI ACWI World Index’s 5% gain. Over three months, it fell 4.2%, compared with a 0.9% rise in the benchmark. Over the past year, it gained 20.8%, ahead of the index’s 16.6%. In its April letter, the fund said it is using an internal AI agent called Talos to analyze semiconductor and AI infrastructure trends as part of its investment process.
For this article, we picked stocks from the X page of Rallies Arena, a live research experiment run by the fintech startup Rallies AI. Rallies builds an AI-powered stock research platform that allows retail investors to analyze their portfolios and research market data using natural language. The company provides prominent AI models with actual trading capital to independently research, execute, and manage their own live hedge funds using real-time financial data.
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 498.7% since May 2014, beating its benchmark by 303 percentage points (see more details here).
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7. Innodata Inc (NASDAQ:INOD)
Number of Hedge Funds: 20
Innodata Inc (NASDAQ:INOD) is up 51% so far this year.
Innodata Inc (NASDAQ:INOD) plays a key role in AI training data by building and labeling the datasets used to train large AI models.
In simple terms, Innodata Inc (NASDAQ:INOD) takes raw information and turns it into clean, structured, and labeled data that AI systems can learn from. It also helps with model evaluation and fine-tuning, including reinforcement learning from human feedback (RLHF), which improves how accurate and useful AI models become.
Its services are critical because AI model performance depends heavily on the quality of input data — better data leads to better models.
In Q1 Innodata Inc (NASDAQ:INOD) reported 54% growth on a year-over-year basis. It also raised its 2026 revenue growth outlook to ~40%+ (from ~35%+), citing stronger-than-expected demand.
6. Nebius Group (NASDAQ:NBIS)
Number of Hedge Funds: 60
ChatGPT bought Nebius Group (NASDAQ:NBIS) in late March and took massive profits on May 15 after a huge bull run. Since the chatbot bought the stock through the selling date, the stock gained about 92%.
“Trimming NBIS after a monster run,” ChatGPT said, according to Rallies Arena. “Taking 25 shares off, not rage-quitting the name. I still keep 100 shares on for upside.”
ChatGPT said the stock has already gained over 100% in 90 days and most of the easy upside is gone. It also cited the RSI value of 68, which shows it is in overbought territory. The chatbot also highlighted that the market is questioning the next leg of AI returns amid rising competition, including the Google–Blackstone AI cloud venture deal, which could raise doubts about future margins.
Nebius Group (NASDAQ:NBIS) is a neocloud company, which means it provides AI-focused cloud infrastructure instead of traditional cloud services. In simple terms, it rents out massive computing power (mainly GPUs) that companies use to train and run AI models.
The stock is moving so much because companies building AI systems need enormous computing capacity, and demand is far ahead of supply. Nebius Group (NASDAQ:NBIS) has secured large contracts with major tech and AI customers and is rapidly expanding its data center and GPU infrastructure to meet that demand.
So instead of building AI models itself, Nebius Group (NASDAQ:NBIS) makes money by renting AI compute power to companies that need it, positioning it as a “pick-and-shovel” play in the AI boom.
Crossroads Capital stated the following regarding Nebius Group N.V. (NASDAQ:NBIS) in its Q1 2026 investor letter:
“Nebius Group N.V. (NASDAQ:NBIS): It’s worth pausing to remember where this one sat a year ago. When we first bought NBIS in late 2025, the bear case wrote itself. Nebius was a freshly re-listed carve-out of Yandex, operating a modest data center with a few co-locations across Europe, and a customer book composed almost entirely of VC-backed AI natives and other small, unproven firms. No anchor customer. No enterprise counterparties worth the name. A small but growing fleet of Nvidia GPUs financed with cash the company was burning faster than it was generating. And the elephant in the room was that nobody had any real idea how the capital markets would treat a Russian-adjacent carve-out asking them to underwrite a multi-gigawatt buildout. You had to squint to see a business. What you could see was a team, a collection of good assets arguably trading below liquidation value, and an execution-based timing window.
One year later, the questions that defined that bear case have been answered in sequence, and not one of them broke the wrong way. Late in 2025, NBIS added META to its customer list with a ~$3B capacity-constrained contract. In March, that became a $27B five-year commitment in two pieces: $12B of dedicated capacity on one of the first large-scale Vera Rubin deployments starting in early 2027, and a further $15B in which Meta commits to backstop Nebius’s uncommitted third-party capacity as it comes online. That second piece matters more than the headline suggests, as it turns Meta into a floor buyer for speculative builds and collapses demand risk on capacity Nebius was already planning to scale. Combined with Microsoft, committed contract value now sits at roughly $46B against a platform that did $228M of revenue in Q4. The platform thesis is scaling as we speak, with AAA counterparties…” (Click here to read the full text)
5. Technology Group (NASDAQ:CRDO)
Number of Hedge Funds: 59
Technology Group (NASDAQ:CRDO) makes high-speed connectivity products that are used inside AI data centers. These products help move data quickly and efficiently between AI chips, servers and networking equipment. ChatGPT made Credo its largest holding back on March 6, according to a post on X by Rallies Arena. The stock is up 270% over the past one year.
Technology Group’s (NASDAQ:CRDO) active electrical cables are becoming increasingly important in AI data centers because they help move huge amounts of data between GPUs, servers and networking equipment quickly and with lower power consumption.
Technology Group (NASDAQ:CRDO) is benefiting from heavy AI infrastructure spending by hyperscalers such as Amazon, Microsoft and Meta Platforms, which are building massive AI clusters that require faster and more efficient networking systems.
Another bullish point is profitability. Technology Group’s (NASDAQ:CRDO) gross margins have been around the mid-to-high 60% range, which is unusually strong for a hardware-focused semiconductor company and suggests strong pricing power and operating leverage.
Investors also like that Technology Group (NASDAQ:CRDO) is expanding beyond cables into products such as optical DSPs, PCIe retimers and photonics solutions, giving it more ways to benefit from long-term AI data center growth.
The broader thesis is that as AI models become larger and GPU clusters become denser, the bottleneck increasingly shifts from computing power to connectivity and data transfer speed. Bulls see Technology Group (NASDAQ:CRDO) as one of the companies helping solve that infrastructure problem
While we acknowledge the potential of CRDO 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 CRDO and that has 100x upside potential, check out our report about the cheapest AI stock.
Click to continue reading and see the ChatGPT Stock Portfolio: Top 4 Picks For 2026.
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