In this article, we will take a detailed look at the Top 10 Trending Stocks to Watch Ahead of Nvidia Earnings.

Investors are bracing for Nvidia earnings scheduled to be out later this week for clues on AI demand. Wall Street analysts continue to be bullish on the long-term strength of the AI trade.  Jim Tierney, CIO of U.S. Concentrated Growth at AllianceBernstein, recently said in a program on CNBC that the stock market remains concentrated around AI. While the analyst believes this concentration is “scary,” he said the strong performance of AI companies is the reason behind this trend.

“When we think about portfolio construction, we want to make sure that we have a diversified portfolio with the top two or the top 10, which are both at all-time records,” Tierney said. “The concentration is scary and it’s all around AI. That said, those are the companies that have the earnings growth and you came out of second quarter earnings and every one of those companies beat substantially. So, as long as the earnings are there, we’re going to keep having a concentrated market.”

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10. International Business Machines (NYSE:IBM)

Number of Hedge Fund Investors: 57

Stephanie Link, CIO at Hightower, said in a recent program on CNBC that she’s buying International Business Machines (NYSE:IBM) shares as she believes in the company’s AI story. She praised the company’s latest quarterly results and said the dip in the stock price was a “gift.”

“Arvind (IBM CEO) did deliver on the growth on the turnaround because he had total revenue growth of 18%, earnings growth of 15%, operating margins of 320 basis points, gross margins of 230 basis points, free cash flow grew 9%. Consulting was fine and better than Accenture and I’ve said that I think they’re taking share. I absolutely think that’s the case. Infrastructure helped by mainframe. I know people don’t pay for that as much because it’s a very cyclical business, but still up 12% in infrastructure. It was software that decelerated that people were nervous about. But I look at Red Hat and I look at the double-digit bookings that they have and the fact that it accelerated to 12% growth. I’m not alarmed at all at the software slowing down from 6 to 3 and a half%. I think down 10% was a gift. I think this is going to be much higher a year from now.”

9. Palantir Technologies Inc (NASDAQ:PLTR)

Number of Hedge Fund Investors: 77

Brent Bracelin, Piper Sandler senior research analyst, said in a CNBC program last month that Palantir is more than just a meme stock. The analyst has a $170 price target on the stock.

“What we’ve learned, let’s say, over the last couple months that we’ve been doing more due diligence on the company is this is more than a meme. This is a real business. When you go to a SAP Sapphire event, see meetings around SAP and and and data bricks and the role that Palantir Technologies Inc (NASDAQ:PLTR) has there and standing room only sessions. When you go to data bricks AI summit and you see standing room only sessions of large enterprises that’s not even their main market, right, their target market is government and so a lot of our due diligence and bullishness is really looking at a longer term picture, how big can this company be, what’s the art of the possible, and if you think of the art of the possible here, two trillion dollar TAMs that they’re going after, government, there’s a massive secular shift from big machines, proprietary software to small machines, drones, AI. We are in the early innings.”

Alger Mid Cap Focus Fund stated the following regarding Palantir Technologies Inc. (NASDAQ:PLTR) in its second quarter 2025 investor letter:

Palantir Technologies Inc. (NASDAQ:PLTR) is a leading provider of data analytics software designed to integrate and analyze large, complex datasets for government agencies and commercial enterprises globally. Its platforms, such as Gotham and Foundry, enable users to rapidly visualize and interpret critical data to inform high-impact decisions across defense, intelligence, and corporate sectors. The company has benefitted from its ability to consistently expand revenues in both its Government and Commercial segments, driven by growing adoption of AI solutions and increasing government spending on defense and intelligence capabilities. During the quarter, Palantir shares rose significantly supported by strong fiscal first-quarter results featuring 39% year over-year revenue growth, driven by robust increases in U.S. commercial and government contracts. Management also raised full-year revenue guidance, citing increased demand for AI-driven solutions and the positive impact of rising defense expenditures.

8. Gilead Sciences Inc (NASDAQ:GILD)

Number of Hedge Fund Investors: 79

Rob Sechan from NewEdge Capital Group said in a recent program on CNBC that he’s buying Gilead Sciences Inc (NASDAQ:GILD) and explained his bullish case thesis in the following words:

“It’s up a good bit year to date, up like 28%. Still trades cheap. Very high quality company with a reasonable valuation. I think that change is just further success in that platform in which they’re starting to dominate and so this is a great way to get quality exposure at a reasonable price.”

Gilead Sciences Inc (NASDAQ:GILD) is up 24% so far this year.

Impax US Sustainable Economy Fund stated the following regarding Gilead Sciences, Inc. (NASDAQ:GILD) in its Q1 2025 investor letter:

“Gilead Sciences, Inc. (NASDAQ:GILD) (Health Care) the company is owned due to its role in solving evolving heath care challenges through the development of new medical treatments for conditions as chronic diseases are on the rise. The company also has one of the highest systematic ESG scores in the portfolio. Gilead reported better-than-expected quarterly results, largely driven by strong revenue from its HIV franchise. The company also provided an optimistic earnings guidance for the next fiscal year, helping provide defensiveness amid a flurry of volatility.”

7. Intel Corp (NASDAQ:INTC)

Number of Hedge Fund Investors: 91

Intel shares are trending after the US government announced that it will buy a 10% stake in the company. Stacy Rasgon from Bernstein said in a program on CNBC last month that Intel’s revenue in the recent reported quarter was decent while its topline guidance was “quite good.” Asked what would be the next potential landmark catalyst for Intel Corp (NASDAQ:INTC) stock, Rasgon pointed to Intel’s upcoming processes and technologies.

“It really probably is around the next generation processes. And so again, 18A is supposed to be ramping and launching at the end of the year. Again, their margin guidance to me suggests that they’re doing more outsourcing. So we’ll see how that outsourcing versus internal manufacturing goes, but it clearly is the process road of 18A attracting foundry customers. I guess eventually like ramping 14A. There’s been a lot of question of whether or not those processes are viable. I would say at least in the slide deck, I think it’s on page five, they still have the logos for 18A and 18AP and 14A on the page at least. So, at this point, I guess those processes are still there, but investors are really going to want to know how successful those are going to be, like what does that volume look like as it ramps? And then can they attract any customers? Those are probably like the structural proof points above and beyond just is revenue good or is it bad? Because right now we don’t know how sustainable or not sustainable that would be.”

Invesco Growth and Income Fund stated the following regarding Intel Corporation (NASDAQ:INTC) in its Q3 2024 investor letter:

“Intel Corporation (NASDAQ:INTC): The chipmaker reported weaker-than-expected quarterly results as revenues declined and earnings were below expectations. Management also provided weaker guidance going forward; the stock fell on the news. We sold the position during the quarter.

The chipmaker’s quarterly earnings report was weaker than anticipated as revenues declined and earnings were below expectations. Management also provided weaker guidance going forward. Given that a potential recovery appears to be further in the future than we originally anticipated, we sold the position.”

6. Tesla Inc (NASDAQ:TSLA)

Number of Hedge Fund Investors: 104

Daniel Newman, Futurum CEO, said in a program on CNBC last month that Tesla Inc (NASDAQ:TSLA) CEO Elon Musk is back in “founder mode,” but there’s a lot of uncertainty among the EV maker’s investors amid his political involvement and tweets. Newman said the company will see a “big fall” in earnings and revenue, but sees “exponential” alpha for the stock if Musk does the “right thing.”

“The valuation is eye-watering. It’s really hard to get behind and it’s so much higher than everything else in the Mag 7. But at the same time, if he’s back, if he’s fully committed, but the investors are so scared of another tweet about the America’s party or him deciding to go on the campaign trail again, and you can see that volatility. So, I’m just kind of looking at them out in their own space. You have to have that appetite for discomfort and uncertainty, but the alpha there, the potential, if he says the right thing, does the right thing, is exponential.”

Tesla’s EV sales are falling all over the world as the company faces challenges from competitors. Even if Elon Musk increases his focus to fix the company’s problems, it would take a lot of effort to come out of the demand crisis. For example, in California, the largest U.S. market for electric vehicle adoption and sales, Tesla sales fell about 12% year over year in 2024, causing its market share to drop from 60.1% in 2023 to 52.5% in 2024. Was it because Californians are buying fewer EVs? No. Californians purchased more than 2 million electric cars during the year, almost double when compared to the past two years.

Macquarie Large Cap Growth Fund stated the following regarding Tesla, Inc. (NASDAQ:TSLA) in its Q1 2025 investor letter:

“At the individual stock level, the greatest contribution was attributable to not owning Tesla, Inc. (NASDAQ:TSLA), and our positions in Intercontinental Exchange Inc. (ICE) and Visa Inc. Tesla faced well-publicized headwinds last quarter that may bleed into future periods. This has remained a constant stock of debate among the investment community and is volatile as a result. The business has never met our quality standards and we are happy to sit on the sidelines of this battleground stock.”

5. GE Vernova Inc (NYSE:GEV)

Number of Hedge Fund Investors: 111

James Demmert from Main Street Research said in a program on Schwab Network last month that GE Vernova is one of the companies that are needed in the AI revolution.

“We are in the early stages of a very real AI tech revolution. We need more AI chips, where Nvidia comes in. Companies like Palantir are using those chips to build these robust platforms. So we want to make sure we’re going in that direction. And let’s all face it, there’s not enough energy to drive all this AI, the EVs, and the crypto. So we need companies like GE Vernova Inc (NYSE:GEV) to help us build the grid.”

Parnassus Growth Equity Fund stated the following regarding GE Vernova Inc. (NYSE:GEV) in its Q1 2025 investor letter:

“GE Vernova Inc. (NYSE:GEV), an energy equipment manufacturer, was impacted by concerns around the durability of AI and semiconductor spending and the durability of AI supply chain power needs.

GE Vernova has exceeded market expectations since its spin-off from General Electric in April 2024. As a global leader in the gas turbine market, it stands to gain from rising power demand, decarbonization and grid modernization. The experienced management team has executed effectively, positioning the company for a multiyear turnaround through organizational simplification, focused product offerings and cost reduction measures.”