Core Insights - As 2026 approaches, investors are encouraged to select stocks poised for significant gains, utilizing Richard Driehaus' "buy high and sell higher" strategy, which has proven effective in identifying leading momentum stocks [1][2] Momentum Stock Picks - Amazon.com, Inc. (AMZN), Vertiv Holdings Co (VRT), and Marvell Technology, Inc. (MRVL) are identified as momentum stocks benefiting from the current artificial intelligence (AI) boom [2] - The global AI market is projected to grow from $371.71 billion in 2025 to $2,407.02 billion by 2032, indicating substantial growth potential in this sector [2] Driehaus Strategy Overview - Driehaus emphasizes investing in stocks that are increasing in price rather than those in decline, suggesting a focus on momentum [3] - Key criteria for stock selection include the percentage 50-day moving average and positive relative strength, indicating an uptrend [4][5] Screening Parameters - Stocks are filtered using Zacks Rank 1 (Strong Buy) or 2 (Buy) and a Momentum Score of A or B, which historically show better upside potential [7][8] - Additional parameters include: - Last 5-year average EPS growth rates above 2% - Trailing 12-month EPS growth greater than 0 and above industry median - Last four-quarter average EPS surprise greater than 5% [9] Company-Specific Insights - **Amazon (AMZN)**: Key player in AI with AWS providing critical infrastructure; Zacks Rank 2, Momentum Score B, trailing four-quarter earnings surprise of 22.5% [11] - **Vertiv (VRT)**: Provides essential power and cooling systems for AI data centers; Zacks Rank 2, Momentum Score B, trailing four-quarter earnings surprise of 14.9% [12] - **Marvell (MRVL)**: Supplies networking and custom chip solutions for AI data centers; Zacks Rank 1, Momentum Score A, trailing four-quarter earnings surprise of 1.2% [13]