3 Stocks to Boost Your Portfolio as Dow Hits All-Time Closing High
ZACKS·2026-01-07 15:01

Market Overview - Wall Street ended mixed in the final week of 2025, with the Santa Claus rally losing momentum, but markets have resumed a rally in 2026, reaching record highs [1] - The Dow hit an all-time intraday and closing high of 49,462.08 points, gaining 1% or 484.90 points, marking the second record closing high in just three trading days of the year [3] - The tech sector, particularly AI stocks, has been a significant driver of the broader market rally [1][5] Investment Opportunities - Investors are encouraged to consider three fundamentally strong blue-chip stocks: Amazon.com, Inc. (AMZN), NVIDIA Corporation (NVDA), and Microsoft Corporation (MSFT), all positioned to benefit from the market's upward trend [2] - These stocks carry Zacks Rank 1 (Strong Buy) or 2 (Buy), indicating strong investment potential [2] Company Insights Amazon.com, Inc. (AMZN) - Amazon is a leading e-commerce provider with a strong presence in North America and expanding globally, supported by its Prime program and extensive distribution network [7] - The company has a dominant position in the cloud-computing market through Amazon Web Services [7] - AMZN's expected earnings growth rate for the current year is 29.7%, with a Zacks Consensus Estimate for current-year earnings improving by 0.1% over the past 60 days [8] NVIDIA Corporation (NVDA) - NVIDIA is a leader in visual computing technologies and the inventor of the GPU, with a focus on AI-based solutions for high-performance computing, gaming, and virtual reality [10] - The expected earnings growth rate for NVIDIA is 55.9%, with the Zacks Consensus Estimate for current-year earnings improving by 4.5% over the past 60 days [10] Microsoft Corporation (MSFT) - Microsoft is a major technology provider, dominating the PC software market with over 73% market share in desktop operating systems [11] - The Microsoft 365 application suite is widely used globally, and the company is a prominent public cloud provider [11] - MSFT's expected earnings growth rate for the current year is 14.4%, with the Zacks Consensus Estimate for current-year earnings improving by 0.4% over the last 60 days [12]