RBC Capitals 10 Best Tech Stocks to Buy for 2025

Tesla has disrupted the automotive industry with its focus on electric vehicles (EVs) and clean energy. Their innovative approach to manufacturing and their commitment to sustainability make them a strong contender for 2025. Both are among the biggest companies on the planet, outperforming the market by wide margins over the last several years. Dock David Treece is a former licensed investment advisor and member of the FINRA Small Firm Advisory Board. His focus is on breaking down complex financial topics so readers can make informed decisions.

AI was already a tailwind for Broadcom’s existing semiconductor solutions but has presented new growth opportunities. Broadcom is designing AI inference chips, which help AI models apply their intelligence to new data and real-world applications. The company has established partnerships with multiple AI hyperscalers, and management sees AI-related revenue soaring over the next several years. Analysts believe Broadcom could grow earnings by an average of 21% annually over the long term. One of the things that sets Nvidia apart is their ability to pivot and adapt to new markets. For example, their move into the data center market has been incredibly successful, and they continue to innovate in this space.

No matter which you choose, you’ll get the same sound quality, microphone performance on voice calls, and IP54 water resistance. (The latter also applies to the AirPods Pro.) The more expensive pair features active noise cancellation and a more advanced charging case. You might be surprised by how well the noise cancellation works even with an unsealed design; it reduces office ambience and annoying hums, but louder sounds and voices still cut through the ANC. As for the case, the pricier AirPods 4 include wireless charging and Find My integration.

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Investors should look at how the company works to expand its AI footprint beyond this to new use cases moving forward. Nvidia is already looking at these new opportunities and has built software platforms for developers to help tie its chips into these technologies. AMD has also taken strides to improve its balance sheet, reducing risk for investors.

Is technology the best sector in the stock market?

• The company is a major supplier to two other firms on our list, Taiwan Semiconductor and Samsung.
• The company began as a division of Hewlett-Packard in 1961, and was spun off as Agilent Technologies in 1999.
• Where applicable, we try the active noise cancellation in a wide range of different environments and have put the hearing protection of the AirPods Pro through the paces at concerts.
• Analysts expect 34% annualized long-term earnings growth for CrowdStrike.
• Founded in 1987, Taiwan Semi is the world’s largest independent manufacturer of semiconductor chips and makes more than 11,000 products.
• We spend dozens of hours using AirPods products for our initial reviews, and that testing extends for weeks and months afterward.

He says new AI offerings such as Firefly, Express and AI Assistant in Acrobat and Reader will likely lead to an increase in revenue growth for Adobe in the coming quarters. Zino says Adobe will also benefit from its large installed user base, diverse portfolio of products and valuable industry partnerships. CFRA has a “buy” rating and $630 price target best tech stock to buy 2025 for ADBE stock, which closed at $549.93 on Dec. 11.

Analyst Angelo Zino says Apple’s margin profile is improving, its addressable market is expanding and it has a massive global ecosystem of customers to monetize. In addition, Zino says Apple has significant opportunities to add on-device artificial intelligence features. Apple also has an aggressive capital return strategy, and its tremendous free cash flow generation is relatively stable. CFRA has a “buy” rating and $260 price target for AAPL stock, which closed at $235 on Dec. 11. AMD’s diversified portfolio, which includes CPUs, GPUs, and enterprise solutions, provides multiple avenues for growth. Their ability to innovate and adapt to new technologies makes them a formidable player in the tech industry.

Tech Stocks: Frequently Asked Questions (FAQs)

The resulting cross-selling has fueled impressive and profitable growth. CrowdStrike’s nearly $4 billion in trailing-12-month revenue is still a fraction of an addressable market management estimates will grow to $250 billion by 2029. Analysts expect 34% annualized long-term earnings growth for CrowdStrike. Another compelling reason to buy MSFT stock is that at 33x forward earnings, it’s fairly valued and may be considered undervalued to some other technology stocks. That said, MSFT stock is up just 14% in 2024, which lags the broader market, but analysts give the stock 15% more upside, and the stock pays a dividend that has averaged over 10% growth for the last three years.

As impressive as it is, Palantir stock already has a lot of growth valued in — the company’s trailing price-to-earnings (PE) ratio sits at 362x, while the forward PE is at a very high 154x. This is only a sampling of technology stocks that may offer strong value through 2025. We are not just in a technology decade but, arguably, in the first quarter of what will be a technology century. At 38x earnings, you’ll pay a premium to own NFLX stock, and some analysts believe that it will be tough for the streaming giant to continue its outsized growth. Vertex (VERX) is a budgeting and tax technology specialist that serves a host of industries ranging from retail to communication to manufacturing firms worldwide. It offers specialized software and cloud-based solutions that assists with tax determination, compliance and reporting that is far more sophisticated than your typical e-filing software.

• Additionally, evaluate the company’s management, market sentiment, and competitive advantages.
• The company’s next-generation AI chips, Blackwell, have been a tremendous success.
• When buying individual stocks, it’s critical for investors to research companies and assess their financial circumstances before investing.
• But investors will have to deal with short-term turbulence as the cybersecurity darling makes a massive change to the way it does business.
• From humble beginnings in Jobs’ family garage, Apple has grown into the most valuable public company on earth by market capitalization.
• The company is technically a conglomerate, but it’s best known for owning instant messaging app QQ and social media site WeChat, the world’s third largest social network, with more than 900 million daily active users.

Top Tech Stocks to Watch in 2025

At press time, Google stock was trading at $194.63, with year-to-date (YTD) returns of 40.86%. For more than a decade, brief periods of tech sector underperformance have consistently been long-term buying opportunities, and that trend seems likely to continue for the foreseeable future. However, inflation uncertainty and elevated interest rates remain headwinds for tech earnings in the near term, making stock selection critical. Here are 10 of the best tech stocks to buy today, according to CFRA analysts.

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Google, its crown jewel and also predecessor, was founded in 1998 in Menlo Park, Calif., as a project led by Sergey Brin and Larry Page at Stanford University. In the beginning, Google was a humble search engine, but today it and its parent company have grown to become online advertising and web services behemoths. You lose some features — like conversation awareness and adaptive audio — that are included on the AirPods Pro; this is a side effect of the AirPods Max using Apple’s older H1 chip. But the company recently added lossless audio over USB-C, meaning these headphones offer the richest audio fidelity of the whole lineup.

Arm Holdings increased its global market share from 43% to 47% from 2022 to 2024. It’s arguably the simplest way to invest in a world that will use an increasing amount of semiconductors over the next five years and beyond. Analysts are bullish on the company’s growth prospects; current estimates call for nearly 31% annualized earnings growth over the long term (three to five years). Palo Alto is migrating to a security platform approach, and it’s banking on comped services to attract customers to it. But PANW recovered throughout the rest of the year, and by and large, pros remain bullish on PANW’s longer-term prospects.

Tech Stocks That Still Offer Good Value for 2025

Buying them in 2025 could deliver outsized growth and portfolio-altering returns over the next five years. NVDA has been among the best tech stocks of the past couple years, up 320% since this point in 2016. But analysts broadly see at least 20% more upside potential from here, and those targets might continue to climb if Nvidia continues to trounce expectations. These investors were rewarded with outsized returns — and big tech has continued to dominate the investing landscape since.

However, analysts continue to bid the stock higher in advance of its earnings report on October 30. Salesforce stock shot up 125% in 2023 and delivered a 27% gain in 2024; meanwhile, for this year and next, the pros are projecting high-single-digit to low-double-digit growth on the top and bottom lines. “We think that Adobe has positioned itself at the center of the exploding market for digital video content and advertising creation and management,” says Argus Research analyst Joseph Bonner (Buy). When buying individual stocks, it’s critical for investors to research companies and assess their financial circumstances before investing.