The technology sector has been a more than attractive buying opportunity after this year’s explosive run, and analysts believe the momentum is likely to continue next year. With that in mind, Finbold has come up with a list of the top three biggest tech stocks to buy in 2026.1. Alphabet (GOOGL)The first tech stock on the list is Alphabet (NASDAQ: GOOGL), so far the most impressive ‘Magnificent Seven’ stock this year, outperforming both its peers and the S&P 500 by a significant margin. At press time, GOOGL ...

Core Insights - The AI computing market is experiencing significant investment, with hyperscalers increasing capital expenditures for data centers in 2025 and projecting even higher spending in 2026 [2][11] - Major chip suppliers like Nvidia and AMD are positioned to deliver strong returns, with Nvidia leading the market due to its advanced technology [4][5] - AMD anticipates a 60% compound annual growth rate for data center revenue over the next five years, indicating potential growth in its market share [7] - Broadcom is collaborating with AI hyperscalers to design custom computing units, enhancing performance and cost efficiency [8] - Alphabet is exploring selling its Tensor Processing Units (TPUs) to other companies, which could expand its influence in the AI chip market [10] - Taiwan Semiconductor Manufacturing Company (TSMC) remains a key player in chip manufacturing, benefiting from increased AI infrastructure spending [12][14] Company Summaries - **Nvidia**: Leading AI stock with a strong technology stack, currently valued at $174.96, with a gross margin of 70.05% [5][6] - **AMD**: Competing with Nvidia, expecting significant growth in data center revenue, currently valued at $138.10, with a gross margin of 64.71% [6][7] - **Broadcom**: Designs custom chips for AI hyperscalers, currently valued at $359.32, with a market cap of $1.7 trillion [9][8] - **Alphabet**: Considering selling TPUs to other companies, currently valued at $138.10, with a focus on expanding its cloud services [10] - **Taiwan Semiconductor Manufacturing Company (TSMC)**: Largest chip manufacturer, benefiting from AI spending, currently valued at $291.85, with a gross margin of 57.75% [12][14]

Nvidia's dominance is starting to experience some challenges.The current largest company in the world is Nvidia (NVDA 0.64%). It has a market cap of $4.5 trillion and has a decent lead over some of its big tech peers. Nvidia is the clear favorite to maintain its position as the world's largest company at the end of 2026, but Alphabet (GOOG +1.02%) (GOOGL +0.99%) is also a strong candidate.Alphabet may start selling its in-house AI computing units to external companies, which would expand its core business a ...

Artificial intelligence (AI) buildouts are expected to reach new highs in 2026.As 2025 nears its end, investors are starting to think about which stocks will be 2026's top performers. These stocks often rally to end the year, as portfolio managers start to move funds into these stocks, which can drive the price up. This creates what's known as a Santa Claus rally, and it can give investors a nice boost on their investment if they get in early.Three stocks that I think will be popular picks for 2026 are Nvid ...

Core Insights - Nvidia's dominance in the AI computing unit market is facing increasing competition, prompting investors to focus on market trends for 2026 rather than the end of 2025 [1] Company Summaries Alphabet - Alphabet has been developing its custom AI accelerator unit in collaboration with Broadcom, previously using its Tensor Processing Unit (TPU) mainly for internal purposes [4] - The potential sale of TPUs to Meta Platforms could create a new revenue stream for Alphabet, which could significantly impact its finances if it generates an additional $10 billion in revenue per quarter [5][7] - Alphabet's recent quarter showed a revenue growth of 16% and diluted EPS growth of 35%, indicating that it does not solely rely on TPU sales for success [7] Broadcom - Broadcom is positioned as a key partner for companies looking to design custom AI hardware, with the potential to outperform Nvidia's GPUs at a lower price point [9] - Broadcom has multiple clients, including OpenAI, and has received a mysterious $10 billion order for custom AI chips, indicating strong demand for its services [11][12] - The company is expected to gain market share in the AI hardware space, making it an attractive investment heading into 2026 [12] Taiwan Semiconductor Manufacturing - Taiwan Semiconductor is the leading chip fabricator and supplies chips to all major players in the AI market, benefiting from increased spending in the sector [13] - With projections of global data center capital expenditures reaching $3 trillion to $4 trillion annually by 2030, Taiwan Semiconductor is well-positioned for growth as AI spending increases [15]

Core Insights - Nvidia's stock has increased by approximately 28% since December 6, 2024, while Intel's stock has surged by 95%, indicating a successful contrarian investment strategy [3] - The current market environment suggests that Nvidia, with a market cap of $4.4 trillion, is priced for perfection, while Intel, valued at $200 billion, is seen as undervalued [13][14] Nvidia's Performance - Nvidia remains a strong company, but it is now entering a "grind" phase after a period of rapid growth, with its market cap reflecting high expectations [5] - The transition from training AI models to inference workloads may lead to increased cost sensitivity, impacting Nvidia's pricing power [9] Intel's Positioning - Intel is positioned as a key player in the geopolitical landscape, capable of establishing a resilient supply chain outside of TSMC, which is critical as chip supply becomes intertwined with national security [12][17] - Intel's 18A node technology, while not expected to outperform TSMC's N2 immediately, could still provide value if it demonstrates stability and feasibility [11][17] Market Dynamics - The increasing use of Google's Tensor Processing Units (TPUs) poses a competitive threat to Nvidia, as these chips offer significant price-performance advantages for inference tasks [10] - Major tech firms like Amazon, Microsoft, and Meta are under pressure to optimize their AI hardware expenditures, which could lead to a shift away from Nvidia's high-cost GPUs [10] Strategic Considerations - Intel's investments in new manufacturing facilities and innovative technologies like Backside Power Delivery (PowerVia) could enhance its competitive position and appeal to high-performance applications [17] - The geopolitical context, including tariffs and U.S. government support for local manufacturing, may further benefit Intel's market position [17]

Broadcom Inc. (NASDAQ:AVGO) is one of the AI Stocks in Focus This Week. On December 1, BofA analyst Vivek Arya raised the firm’s price target on the stock to $460 from $400 and kept a “Buy” rating on the shares. The firm is optimistic on the stock driven by the company’s expanding presence in Google’s TPU (Tensor Processing Unit) ecosystem. Discussing the successful launch of Gemini 3 trained 100% on the TPU as well as the potential external rental of TPUs through Google Cloud, analysts view rising TPU le ...

Core Insights - Alphabet's shares have increased by 66% in 2025, potentially due to the strong performance of its AI chatbot, Gemini 3, which has outperformed ChatGPT [2][6] - A possible multi-billion dollar contract with Meta for Tensor Processing Units (TPUs) could further enhance Google's position in the AI chip market [3][10] AI Chip Market Dynamics - The AI chip market is projected to grow at an average annual rate of 25%, reaching $440 billion by 2030, with Google's market share expected to rise from 5% to 25% during this period [5][12] - Nvidia's market share in the AI chip sector could decline from 90% to 70% by 2030, indicating increased competition from Google [5] Competitive Landscape - OpenAI's ChatGPT faces challenges as Gemini's user base has grown by 44% to 650 million, while ChatGPT has over 800 million weekly users [6] - OpenAI's CEO has declared a "code red" to enhance ChatGPT's features in response to competitive pressures from Google and Meta [8] Financial Performance - Google's operating income over the last four quarters was $151.4 billion, surpassing Nvidia's $110 billion, providing Google with a financial advantage to compete in the AI chip market [9] - OpenAI is projected to incur net losses of $9 billion and $14 billion in 2025 and 2026, respectively, putting pressure on the company to secure additional funding [7] Future Projections - Google's TPUs could control 8% of the AI chip market by the end of 2025, with estimates suggesting a rise to 25% by 2030 [11][12] - The competitive dynamics are prompting pricing pressures, as evidenced by OpenAI negotiating a 30% discount on its Nvidia compute fleet [14] Investment Considerations - Wall Street views Alphabet shares as slightly overvalued, while Nvidia's stock is considered cheap, with Google's generative AI initiatives potentially making it a more attractive investment [15]

Broadcom Inc (NASDAQ:AVGO) is gaining momentum in the artificial intelligence accelerator race thanks to Alphabet Inc (NASDAQ:GOOGL) (NASDAQ:GOOG) Google's push to scale Tensor Processing Unit-powered computing across both internal systems and future external customers. • AVGO shares are under pressure. Track the latest developments here.BofA Securities analyst Vivek Arya reiterated a Buy rating on Broadcom and increased the price target from $400 to $460.Arya noted Google's growing reliance on its homegrow ...

Core Insights - Google must double its compute capacity every six months to meet the growing demand for AI services, with a target of achieving a 1000x increase in 4-5 years [2][5] - The competition in AI infrastructure is identified as the most critical and expensive aspect of the AI race, with major players like Microsoft, Amazon, and Meta also increasing their capital expenditures [2][3] - Google aims to build a more reliable, performant, and scalable infrastructure rather than simply outspending competitors [4] Capital Expenditure - Alphabet has raised its capital expenditures forecast for 2024 to between $91 billion and $93 billion, marking the second increase this year, with expectations of a significant rise in 2026 [3] - Collectively, Google and its hyperscaler peers anticipate spending over $380 billion in 2024 [3] Infrastructure Development - Google is focusing on enhancing its infrastructure through more efficient models and custom silicon, exemplified by the launch of its seventh generation Tensor Processing Unit, which is nearly 30 times more power efficient than its first Cloud TPU from 2018 [4] - The company leverages its partnership with DeepMind to advance AI model research and improve future capabilities [5] Strategic Goals - Google aims to deliver 1000 times more capability in compute, storage, and networking for the same cost and energy levels, emphasizing the challenges ahead [5]