1. NVIDIA Corporation (NASDAQ:NVDA)
Goldman Sachs’s Stake: $31,081,383,306
5-Year Sales Growth: 64.24%
5-Year Earnings Growth: 91.83%
Stock Upside: 32.99%
NVIDIA Corporation (NASDAQ:NVDA) is one of Goldman Sachs’s top growth stock picks. On February 18, Morgan Stanley analyst Erik Woodring identified NVIDIA Corporation (NASDAQ:NVDA) as the most under-owned large-cap technology stock in the market.
Woodring stated that the gap between Nvidia’s weight in the S&P 500 and the share of the stock actively held by institutional investors stood at negative 2.57%. This is the largest negative gap among all major technology stocks, he noted.
The analyst stated that the under-ownership is just as striking at the broader sector level. He noted that megacap technology stocks overall are the most under-owned they have been in 17 years, with the aggregate ownership gap between megacap tech and the S&P 500 widening to negative 155 basis points by the end of Q4 2025.
Separately, on the same day, February 18, NVIDIA Corporation disclosed in a regulatory filing that it held 4.82 million shares of Synopsys valued at more than $2 billion. The position made NVIDIA the sixth-largest shareholder in Synopsys, an electronic design automation software provider.
In a different update, on February 17, Reuters reported that Yotta Data Services will acquire over $2 billion worth of NVIDIA’s latest Blackwell Ultra chips. Yotta is part of the Hiranandani Group, an Indian digital transformation provider. Reuters said Yotta will use the Blackwell Ultra chips to build an AI computing hub in India.
NVIDIA Corporation (NASDAQ:NVDA) is a semiconductor company. It designs and manufactures graphics processing units and related technologies used in gaming, data centers, artificial intelligence, and autonomous systems.
While we acknowledge the potential of NVIDIA Corporation (NASDAQ:NVDA) as an investment, 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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