Meta Projects 28 Percent Growth While Microsoft Sees 30 Percent Rise

Wall Street concluded the final full trading week of 2025 on a high note, with AI-related stocks driving a significant rebound. The S&P 500 saw a 0.1% gain, and the Nasdaq Composite rose 0.4%, contributing to the S&P 500's overall 15% increase for the year. This strong performance underscores continued investor enthusiasm for artificial intelligence, despite some recent valuation drops in the sector. Experts like Dan Ives from Wedbush Securities emphasize the importance of diversifying AI investments rather than focusing on a single company, suggesting a "strong stomach" is necessary for this dynamic market. Billionaire Philippe Laffont's Coatue Management has nearly 18% of its portfolio in three major AI players: Meta Platforms, Microsoft, and Amazon. Wall Street analysts project substantial growth for these companies in 2026, with Meta potentially increasing 28% to $370 per share, Microsoft rising 30% to $631, and Amazon seeing a 32% upside. While some experts advise avoiding Nvidia stock in 2026 due to potential cyclicality, Tigress Financial remains bullish, calling Nvidia the "premier AI investment" and raising its price target to $350, citing strong multi-year growth potential and continuous GPU innovation. Amazon, with its lower price-to-earnings ratio of 31, is seen as a stronger investment for 2026, leveraging AI across its e-commerce business, including the Rufus shopping assistant, and its AWS cloud services. Microsoft continues to integrate generative AI like Copilots into its software and expand its Azure cloud platform. Palantir Technologies, a consistent top AI stock for three years, expects increased demand for its Gotham and Foundry platforms, serving both government and enterprise clients. ON Semiconductor, or Onsemi, is another company drawing attention, with Evercore ISI analyst Mark Lipacis predicting its stock could jump 47% in 2026. Onsemi produces power semiconductors, including vGaN chips crucial for AI data centers, and recently acquired Aura Semiconductor's Vcore power technologies. Meanwhile, BigBear.ai Holdings saw its stock surge 11% following new defense AI partnerships, including a collaboration with C Speed for real-time threat detection and international expansion into Abu Dhabi and Southeast Asia.

Key Takeaways

• Wall Street ended 2025 strongly, with the S&P 500 up 15% for the year, driven by a rebound in AI-related stocks like Nvidia and Oracle.
• Dan Ives of Wedbush Securities advises investors to diversify AI holdings, rather than betting on a single company, highlighting the need for a "strong stomach."
• Billionaire Philippe Laffont's Coatue Management has nearly 18% of its portfolio in Meta Platforms, Microsoft, and Amazon, with analysts projecting significant growth for these in 2026.
• Amazon is considered a strong AI investment for 2026 due to its lower price-to-earnings ratio of 31 and diverse growth from AWS and e-commerce, including the Rufus shopping assistant.
• Tigress Financial raised Nvidia's price target to $350, reaffirming it as the "premier AI investment" due to its leadership in data center computing and GPU innovation, despite some warnings about cyclicality.
• Microsoft is expected to see a 30% rise to $631 per share, integrating generative AI like Copilots and expanding its Azure cloud platform.
• Meta Platforms could increase 28% to $370 per share, leveraging AI to boost user engagement and advertising.
• Palantir Technologies continues its strong performance, with its Gotham and Foundry platforms driving demand from government and enterprise clients in the expanding AI field.
• ON Semiconductor (Onsemi) stock could jump 47% in 2026, according to analyst Mark Lipacis, due to its power semiconductors like vGaN chips for AI data centers and recent acquisition of Aura Semiconductor's Vcore technologies.
• BigBear.ai Holdings stock jumped 11% following a partnership with C Speed for defense AI solutions and international expansion into Abu Dhabi and Southeast Asia.

Amazon is a better AI stock buy for 2026

Many AI stocks like Nvidia and Microsoft have seen their valuations drop recently. However, some, like Amazon, appear cheaper at current prices. Experts suggest avoiding Nvidia stock in 2026 due to potential cyclicality risks in the chip industry. Amazon, with its lower price-to-earnings ratio of 31 and diverse growth from cloud computing and e-commerce, looks like a stronger investment. Nvidia and Microsoft still have high earnings ratios despite strong revenue growth.

Billionaire invests in three AI stocks Wall Street expects to soar

Billionaire Philippe Laffont's hedge fund, Coatue Management, has nearly 18% of its money in three major AI stocks. These trillion-dollar companies are Meta Platforms, Microsoft, and Amazon. Wall Street analysts believe these stocks could see significant growth in 2026. Meta Platforms uses AI to boost user engagement and advertising, with a potential 28% increase to $370 per share. Microsoft integrates generative AI like Copilots into its software and expands its Azure cloud platform, showing a possible 30% rise to $631 per share. Amazon leverages AI for its e-commerce business, including the Rufus shopping assistant, and its AWS cloud services, with a projected 32% upside.

Tigress Financial names Nvidia a top AI investment raises target

Tigress Financial calls Nvidia the "premier AI investment" and raised its price target for the stock to $350. The firm believes Nvidia has strong multi-year growth potential and significant upside. Nvidia is on Tigress Financial's Research Focus List and Focus Opportunity Portfolio. The company leads in data center computing and sees fast AI adoption in areas like autonomous driving and healthcare. Nvidia's continuous GPU innovation drives its strong business performance, profitability, and cash flow. Its healthcare division is also a growing part of its AI infrastructure investment.

Tigress Financial analyst boosts Nvidia price target to $350

Tigress Financial analyst Ivan Feinsetj reaffirmed a Strong Buy rating for Nvidia (NVDA). He increased the stock's price target to $350 from $280. Feinsetj considers Nvidia the "premier AI investment" due to its long-term growth and significant potential. The stock has already climbed 230% this year.

One analyst predicts Onsemi stock could jump 47 percent in 2026

One Wall Street analyst, Mark Lipacis from Evercore ISI, believes ON Semiconductor, or Onsemi, could see its stock rise by 47% in 2026. He raised his price target for Onsemi from $68 to $80. Onsemi makes power semiconductors, including new vGaN chips that can cut energy loss by 50%, making them useful for AI data centers. The company also acquired Aura Semiconductor's Vcore power technologies to improve its offerings for next-generation AI data centers. However, Onsemi's Q3 revenue dropped 12% and earnings per share fell 32%. Most analysts expect a more modest gain for Onsemi, and its projected revenue growth of 10-12% by 2027 is lower than Nvidia's expected 48% growth next year.

Dan Ives advises diversified AI investments for strong returns

Dan Ives, a top technology research expert at Wedbush Securities, advises investors to diversify their holdings in the artificial intelligence market. He states that people should not bet on just one company when investing in AI. Ives highlights the importance of having a "strong stomach" for the AI trade. His strategy is reflected in the Dan IVES Wedbush AI Revolution ETF, which includes 30 different AI stocks.

BigBearai stock jumps as defense AI partnerships expand globally

BigBear.ai Holdings stock recently jumped about 11% to $6.26, with over 200 million shares traded. This surge follows several key developments in the defense AI sector. BigBear.ai announced a partnership with C Speed on December 18, 2025, to combine its ConductorOS AI platform with C Speed's LightWave Radar. This collaboration aims to provide real-time threat detection for defense and homeland security, including counter-drone operations. The company is also expanding internationally with a new office in Abu Dhabi, UAE, and signed an MOU in November 2025 for an AI-driven aerospace hub in Southeast Asia. These moves highlight BigBear.ai's growing role in mission-ready defense AI solutions.

Palantir continues strong AI stock performance into 2026

Palantir Technologies has consistently been a top artificial intelligence stock for the past three years. The company's innovative software platforms, Palantir Gotham and Palantir Foundry, help organizations manage and understand large amounts of data. This capability is crucial for making smart decisions in the growing AI field. As AI becomes more common across various industries, Palantir expects higher demand for its solutions. The company serves government and enterprise clients and is expanding its commercial products, positioning it well for future growth. Many analysts believe Palantir will continue its upward trend, making it a strong contender for a leading AI stock in 2026.

Discover a promising AI stock for 2026 beyond Nvidia

While Nvidia dominates the artificial intelligence market, this article explores another AI stock that could offer significant growth by 2026. This unnamed company specializes in a crucial, often overlooked area of AI development. It shows undervalued potential, has secured important partnerships with major tech players, and demonstrates consistent revenue growth. The company also has a strong pipeline of new innovations. Investors should consider its reasonable valuation as a good entry point, but also be aware of market competition and potential regulatory changes.

Wall Street closes 2025 strong as AI stocks lead rebound

Wall Street ended the last full trading week of 2025 on a positive note, with the S&P 500 gaining 0.1% and the Nasdaq Composite rising 0.4%. A strong rebound in AI-related stocks, especially Nvidia and Oracle, drove this late-week surge. Nvidia shares jumped over 3% on news of possible US approval for limited chip sales to China, while Oracle surged nearly 7% due to its involvement in a TikTok joint venture. In contrast, Nike's stock fell significantly after reporting weaker revenue in China and facing tariff pressures. Investors now hope for a traditional "Santa Claus rally" to conclude a year marked by AI enthusiasm, trade tariffs, and changing inflation dynamics. The S&P 500 is up over 15% for the year, showing market resilience.

Sources

• Should You Buy Artificial Intelligence (AI) Stocks In 2026?
• Billionaire Philippe Laffont Has 18% of His Portfolio Invested in 3 Trillion-Dollar AI Stocks. Wall Street Says They Can Soar in 2026.
• Tigress Calls Nvidia (NVDA) the 'Premier AI Investment,' Lifts Target to $350
• Tigress Calls Nvidia (NVDA) the ‘Premier AI Investment,’ Lifts Target to $350
• This AI Stock Could Soar 47% in 2026, According to 1 Wall Street Analyst (Hint: It's Not Nvidia)
• Riding the AI wave? You need a 'strong stomach': Dan Ives' strategy
• BigBear.ai (BBAI) Stock News, Forecasts and Analysis (Dec. 21, 2025): Why the Defense-AI Trade Is Back in Focus
• Is Palantir the top artificial intelligence stock for 2026?
• The best artificial intelligence (AI) stock to buy in 2026 (hint: it's not Nvidia)
• Wall Street Ends 2025's Last Full Trading Week on a High Note: AI Rebound Fuels Modest Gains Amid Santa Claus Rally Hopes