Microsoft Corporation develops and supports software, services, devices and solutions worldwide. The Productivity and Business Processes segment offers office, exchange, SharePoint, Microsoft Teams, office 365 Security and Compliance, Microsoft viva, and Microsoft 365 copilot; and office consumer services, such as Microsoft 365 consumer subscriptions, Office licensed on-premises, and other office services. This segment also provides LinkedIn; and dynamics business solutions, including Dynamics 365, a set of intelligent, cloud-based applications across ERP, CRM, power apps, and power automate; and on-premises ERP and CRM applications. The Intelligent Cloud segment offers server products and cloud services, such as azure and other cloud services; SQL and windows server, visual studio, system center, and related client access licenses, as well as nuance and GitHub; and enterprise services including enterprise support services, industry solutions, and nuance professional services. The More Personal Computing segment offers Windows, including windows OEM licensing and other non-volume licensing of the Windows operating system; Windows commercial comprising volume licensing of the Windows operating system, windows cloud services, and other Windows commercial offerings; patent licensing; and windows Internet of Things; and devices, such as surface, HoloLens, and PC accessories. Additionally, this segment provides gaming, which includes Xbox hardware and content, and first- and third-party content; Xbox game pass and other subscriptions, cloud gaming, advertising, third-party disc royalties, and other cloud services; and search and news advertising, which includes Bing, Microsoft News and Edge, and third-party affiliates. The company sells its products through OEMs, distributors, and resellers; and directly through digital marketplaces, online, and retail stores. The company was founded in 1975 and is headquartered in Redmond, Washington.

Microsoft демонстрирует сильные финансовые показатели, что делает компанию привлекательной для инвесторов. Показатели рентабельности, такие как ROE (33.61) и ROA (19.21), существенно превышают медианные значения по отрасли, что говорит о высокой эффективности управления активами. Уровень долга (debt_equity_ratio 0.09) значительно ниже среднего по сектору, что свидетельствует о надежной финансовой устойчивости. Однако мультипликаторы, такие как P/E (24.56), P/S (9.60) и P/B (7.46), находятся на высоких уровнях, что может указывать на переоцененность акций. Дивидендная доходность на уровне 0.00 также вызывает вопросы о способности компании возвращать капитал акционерам. Тем не менее, рост выручки и чистой прибыли (TTM 38.46 млрд) подчеркивает положительную динамику бизнеса. В целом, несмотря на некоторые риски, связанные с переоцененностью, Microsoft остается сильным игроком на рынке информационных технологий.

Microsoft Corporation

Key Points
Microsoft and Amazon operate the two largest cloud computing services.
AI adoption hasn't reached 20% yet.
The "Magnificent Seven" is a group of stocks that are often pointed to as market leaders. Currently, all seven are among the world's top-10 largest companies. That's an impressive spot to be in, and the group is made up of:
All seven of these stocks have delivered strong investor returns over the past decade, but the question is, which ones will be the best to own going forward? I think two members have been overlooked in the Magnificent Seven, and they look like screaming buys right now.
Will AI create the world's first trillionaire? Our team just released a report on the one little-known company, called an "Indispensable Monopoly" providing the critical technology Nvidia and Intel both need. Continue »
Some of these stocks get huge headlines daily
It's hard to call the world's largest company by market cap overlooked, so Nvidia is out for my list. Apple products are front of mind for many consumers, and it's a well-publicized company, so it's also eliminated. Furthermore, Apple's artificial intelligence (AI) strategy has been relatively weak, so I'd hesitate to call it an AI company. Alphabet has seen its shares rally massively over the past year thanks to its comeback in the generative AI world, and Gemini is among the top options available, so I wouldn't consider it overlooked, either.
Meta Platforms and Tesla are both trying to position themselves as AI-first companies, although their adoption of AI shows up in different ways. Tesla is integrating AI in its vehicles through autonomous driving and also has other exciting offerings in the works, like its Optimus robot. Meta is working on several AI products, as well as integrating the technology into its social media platforms. Both of these are well-known in the AI realm and don't qualify as "overlooked."
That leaves Microsoft and Amazon as the last two, and I think AI investors need to take another look at them.
Amazon and Microsoft are making money from AI right now
While Amazon and Microsoft are both integrating AI into their everyday inner workings, the real money maker is cloud computing. Amazon and Microsoft are in first and second place in terms of cloud computing market share, and each is seeing huge growth in this sector. During the fourth quarter, Microsoft Azure's revenue rose 39% year over year. Amazon Web Services (AWS) didn't have as fast a growth rate, rising 24%. However, that growth rate was its best quarter in over three years.
These businesses are cash cows, and with insatiable AI demand, both Microsoft and Amazon are understandably spending billions of dollars on data centers to meet that demand. Once the money has been spent to bring the new computing infrastructure online, each company will be able to generate high-margin revenue that boosts profitability. While each company has a different primary business they're known for, their cloud computing segments are a good enough reason to buy their stocks.
On another note, both stocks trade at a discount to recent levels.
Since 2024, these two have consistently traded with a forward price-to-earnings ratio -- based on estimates -- in the low-30s. Now, they trade at a decent discount to those levels. If you've been waiting to buy these two, there has seldom been a better opportunity over the past few years to scoop up these stocks.
Businesses haven't even scratched the surface of what's possible with AI. According to research done by The Motley Fool, less than 20% of businesses currently use AI. That number should skyrocket over the next few years and drive demand for cloud computing services from these two. Right now is a golden buying opportunity, and investors shouldn't squander it.
Should you buy stock in Amazon right now?
Before you buy stock in Amazon, consider this:
The Motley Fool Stock Advisor analyst team just identified what they believe are the 10 best stocks for investors to buy now… and Amazon wasn’t one of them. The 10 stocks that made the cut could produce monster returns in the coming years.
Consider when Netflix made this list on December 17, 2004... if you invested $1,000 at the time of our recommendation, you’d have $514,000!* Or when Nvidia made this list on April 15, 2005... if you invested $1,000 at the time of our recommendation, you’d have $1,105,029!*
Now, it’s worth noting Stock Advisor’s total average return is 930% — a market-crushing outperformance compared to 187% for the S&P 500. Don't miss the latest top 10 list, available with Stock Advisor, and join an investing community built by individual investors for individual investors.
*Stock Advisor returns as of March 15, 2026.
Keithen Drury has positions in Alphabet, Amazon, Meta Platforms, Microsoft, Nvidia, and Tesla. The Motley Fool has positions in and recommends Alphabet, Amazon, Apple, Meta Platforms, Microsoft, Nvidia, and Tesla and is short shares of Apple. The Motley Fool has a disclosure policy.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.

The Most Overlooked Artificial Intelligence (AI) Stocks in the "Magnificent Seven" for 2026

Key Points
Intel stock performed impressively last year, and a closer look at its progress in data center chips suggests that its healthy growth is sustainable.
Intel's focus on improving yields and making a dent in fast-growing segments of the AI data center market should drive strong long-term earnings growth.
The semiconductor sector has been one of the best-performing sectors recently, as evidenced by the 164% gains of the PHLX Semiconductor Sector index over the past three years.
The sector's impressive gains have been fueled by the rapidly growing need for chips to power artificial intelligence (AI) applications, a trend likely to continue in the next five years. McKinsey estimates that the semiconductor industry's revenue could jump to $1.6 trillion in 2030 from $775 billion in 2024.
Will AI create the world's first trillionaire? Our team just released a report on the one little-known company, called an "Indispensable Monopoly" providing the critical technology Nvidia and Intel both need. Continue »
Chip giant Intel (NASDAQ: INTC) is likely to be a big beneficiary of the semiconductor market's secular growth. Let's see how Intel stock could double by 2030.
Intel's growth is poised to accelerate remarkably through 2030
Shares of Chipzilla have shot up by 126% in the past year, driven by the company's turnaround efforts that have boosted investor confidence. Intel's current CEO, Lip-Bu Tan, has been running a tight ship, cutting costs aggressively and scrutinizing every investment to ensure it makes "economic sense."
Tan has been clear that Intel will only build what its customers need. Not surprisingly, the company has been making good progress in the data center market, where there is strong demand for various kinds of chips. It is worth noting that Intel's data center and AI (DCAI) revenue increased 15% sequentially in the fourth quarter of 2025, which was the fastest quarter-over-quarter jump this decade.
Intel's focus on emerging niches of the data center chip market, such as application-specific integrated circuits (ASICs), is paying off. The company recorded an impressive 50% year-over-year increase in revenue in the ASIC business in Q4 2025 and added that this segment is now clocking $1 billion in annualized revenue.
Intel has some notable customers for its ASICs, including Amazon and Microsoft. With the share of ASICs growing at a healthy clip in the AI chip market, Intel is pulling the right strings to help its growth pick up in the long run.
Moreover, there appears to be a strong interest in Intel's advanced 18A process node from external customers. That's not surprising, as rival TSMC's 2nm manufacturing capacity is reportedly fully booked right now, which could push customers toward Intel's competing manufacturing process, which is reportedly faster.
Of course, Intel is struggling with the yields of the 18A node, but it has been making progress on that front. The company has started shipping chips manufactured using the 18A process, and it plans to begin volume shipments of the more advanced 14A node in 2028. So, this semiconductor stock is riding multiple positives right now, and that's likely to translate into healthy upside.
The stock could double by 2030
Intel's cost-cutting efforts and yield improvements are poised to drive outstanding bottom-line growth.
The company remains a work in progress, but the points discussed above suggest it can deliver strong earnings growth through the end of the decade. Assuming Intel can achieve even 25% earnings growth in 2029 and 2030, its bottom line could jump to $2.19 per share after five years.
The U.S. tech sector has an average earnings multiple of 39. If this semiconductor stock trades at a similar valuation in 2030, its stock could jump to $85. That's 80% above the current stock price, but don't be surprised if Intel doubles in value, as its robust earnings growth is likely to be rewarded with a premium valuation.
Don’t miss this second chance at a potentially lucrative opportunity
Ever feel like you missed the boat in buying the most successful stocks? Then you’ll want to hear this.
On rare occasions, our expert team of analysts issues a “Double Down” stock recommendation for companies that they think are about to pop. If you’re worried you’ve already missed your chance to invest, now is the best time to buy before it’s too late. And the numbers speak for themselves:
Nvidia: if you invested $1,000 when we doubled down in 2009, you’d have $467,544!*
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Right now, we’re issuing “Double Down” alerts for three incredible companies, available when you join Stock Advisor, and there may not be another chance like this anytime soon.
Harsh Chauhan has no position in any of the stocks mentioned. The Motley Fool has positions in and recommends Amazon, Intel, Microsoft, and Taiwan Semiconductor Manufacturing. The Motley Fool has a disclosure policy.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.

$100 Invested in This Semiconductor Stock Today Could Be Worth $200 by 2030

Key Points
AI stocks have slipped in recent weeks, and that’s pushed valuations lower.
The following companies still offer great long-term prospects.
The S&P 500 marched higher in the bull market over the past three years, but in recent times, the index has encountered turbulence. Many concerns have weighed on investors' minds, from worries about high levels of spending on artificial intelligence (AI) to concerns about the war in Iran.
These headwinds have pushed many quality stocks lower. Though it may seem intimidating to buy amid market volatility, tough times actually offer the long-term investor opportunity to get in on stocks for reasonable or bargain prices. And here's the best news of all: History shows us that the major indexes and solid stocks always have gone on to recover and advance over the long run.
Will AI create the world's first trillionaire? Our team just released a report on the one little-known company, called an "Indispensable Monopoly" providing the critical technology Nvidia and Intel both need. Continue »
With this in mind, here are my top five AI stocks to buy amid this market pullback.
1. Palantir Technologies
Palantir Technologies (NASDAQ: PLTR) has been around for more than two decades, but the software company truly saw earnings climb over the past few years. The company is benefiting from AI demand thanks to the launch of its Artificial Intelligence Platform (AIP), AI-driven software that helps customers aggregate and analyze their data -- then put it to work.
The results can be game-changing, and companies have realized this, driving strength in Palantir's commercial business. This is big because it represents a new growth driver for Palantir, which in the past relied on government contracts.
Palantir should continue to benefit as companies and organizations aim to apply AI to their problems -- and with AIP, they can do so easily. Palantir stock isn't cheap, but its valuation has dropped significantly, making it a reasonable buy today.
2. Amazon
Amazon (NASDAQ: AMZN) is winning in AI because it is both a user and a seller of AI products and services. The company applies AI to its e-commerce business, gaining efficiency across its fulfillment network and delivery systems. And Amazon Web Services (AWS), the cloud computing unit, offers its customers a wide range of AI tools and platforms.
All of this is boosting growth, and we should see this continue as the AI story unfolds. Meanwhile, Amazon's e-commerce business and non-AI cloud offerings also are generating growth -- and importantly, have proven their strength over the long run.
Today, Amazon stock trades for 27x forward earnings estimates, down from more than 35x just a few months ago, making it a smart buy on the dip.
3. Microsoft
Microsoft (NASDAQ: MSFT) has established itself as a leader in AI through its investment in AI lab OpenAI and through its cloud computing business. Like Amazon, the tech giant offers its customers access to a broad range of AI products and services -- and this is delivering significant growth.
In the latest quarter, Microsoft said that cloud services revenue soared 39% and that demand continues to surpass supply. And at this early stage of the AI story, Microsoft has built out a significant presence, positioning itself to benefit as the next chapters unfold.
Microsoft also generates growth through its software business, gaming, and more, and has demonstrated its strength over time. Today, the stock is on sale, trading for only 24x forward earnings estimates.
4. Apple
Apple (NASDAQ: AAPL) hasn't been a leader in AI, as it took its time to add AI features to its products. But the smartphone leader may now start to benefit from Apple Intelligence, as this AI platform creates yet another reason for Apple fans to spend more time on their iPhones.
The company also is heading into a new era of growth powered by its services revenue. Now that Apple has a massive installed base of active devices, they represent the door to recurring revenue. This is as users sign up for a variety of services, from storage to digital entertainment. In fact, services revenue has reached records quarter after quarter.
Apple stock trades at 30x forward earnings estimates right now, a reasonable level for a company with a long track record of earnings growth and the potential for further growth ahead.
5. SoundHound AI
SoundHound AI (NASDAQ: SOUN) is an expert at voice AI. The company's patent-protected platform translates speech directly to meaning -- no need to translate it into text first. Customers across industries clearly appreciate the quality of this system as they've rushed to sign contracts with the company.
SoundHound's revenue soared almost 100% last year, driven by contracts with customers across automotive, restaurant, retail, financial, and other industries. And in the latest quarter, the company closed a record number of deals.
The voice specialist isn't yet profitable, so if you're a cautious investor, you may prefer to keep it on your watch list, but if you're an aggressive investor, now, on the dip, is a great time to get in on this AI winner.
Should you buy stock in Palantir Technologies right now?
Before you buy stock in Palantir Technologies, consider this:
The Motley Fool Stock Advisor analyst team just identified what they believe are the 10 best stocks for investors to buy now… and Palantir Technologies wasn’t one of them. The 10 stocks that made the cut could produce monster returns in the coming years.
Consider when Netflix made this list on December 17, 2004... if you invested $1,000 at the time of our recommendation, you’d have $514,000!* Or when Nvidia made this list on April 15, 2005... if you invested $1,000 at the time of our recommendation, you’d have $1,105,029!*
Now, it’s worth noting Stock Advisor’s total average return is 930% — a market-crushing outperformance compared to 187% for the S&P 500. Don't miss the latest top 10 list, available with Stock Advisor, and join an investing community built by individual investors for individual investors.
*Stock Advisor returns as of March 15, 2026.
Adria Cimino has positions in Amazon. The Motley Fool has positions in and recommends Amazon, Apple, Microsoft, Palantir Technologies, and SoundHound AI and is short shares of Apple. The Motley Fool has a disclosure policy.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.

My Top 5 AI Stocks to Buy Amid the Market Pullback

Key Points
Microsoft has rarely reached this valuation level in the past decade.
Nvidia continues to defy expectations as AI chip demand surges.
A new partnership for The Trade Desk could boost revenue.
Even as the stock market seesaws with uncertainty, there are a handful of screaming values that I think investors should consider scooping up today. I've got three of them that are trading at deep discounts to where they should be, and it seems that it's only a matter of time before the rest of the market catches on and sends these three higher.
At the top of my investment list are Microsoft (NASDAQ: MSFT), Nvidia (NASDAQ: NVDA), and The Trade Desk (NASDAQ: TTD). All three of these stocks are well off their all-time highs, but if investors trusted the direction they are heading, they would be much higher.
Will AI create the world's first trillionaire? Our team just released a report on the one little-known company, called an "Indispensable Monopoly" providing the critical technology Nvidia and Intel both need. Continue »
Microsoft
Microsoft is thriving in the AI build-out. It has become a facilitator, and instead of spending billions of dollars training a generative AI model, it's using that capital to build out computing infrastructure that it can rent out to AI developers who are. This is the primary reason to invest in Microsoft, and its cloud computing business unit, Azure, which powers these workloads, is doing great.
During the second quarter of fiscal year 2026 (ended Dec. 31), Azure's revenue rose by 39% year over year. For all of the money that Microsoft is spending on AI computing hardware, that represents a great return on investment, but it's not done yet. Microsoft has a $625 billion backlog that it's still churning through, so there is a massive amount of contracted business already on the books waiting to be used up.
Despite this, Microsoft's stock trades at a historically low valuation. I'm using the operating price-to-earnings ratio because it ignores the effects of investment gains (like Microsoft's OpenAI investment), and it gives investors a bit more clarity into the historical valuation picture without the effects of one-time events.
Microsoft's valuation today is near the low end of where it has traded over the past decade, making today's price tag a screaming deal.
Nvidia
If you thought Microsoft's stock was cheap, wait until you see Nvidia's. Nvidia makes graphics processing units (GPUs), which have been heavily utilized in the AI build-out. This has caused Nvidia to soar to become the world's largest company, but it's far from being done.
During Q4, its revenue rose 73%, and management gave guidance for 77% growth in Q1. Nvidia believes that global data center capital expenditures will rise to $3 trillion to $4 trillion by 2030, which is a huge uptick from today's already large levels.
So, the likelihood is that we're a long way away from finding our spending ceiling on AI computing hardware, and Nvidia is set to profit from this build-out trend for many years. Despite that, its stock trades for a cheap price tag of 22.1 times forward earnings, nearly the same as the S&P 500, which trades for 21.7.
This valuation indicates that Nvidia's growth this year will be impressive, but could slow down after that. However, projections indicate that this isn't the case, so investors should use this opportunity to buy Nvidia stock.
The Trade Desk
Last is The Trade Desk, which is much smaller than Nvidia and Microsoft. The Trade Desk operates a buy-side ad platform that pairs advertisers with ideal spots to advertise on the internet. This has been a successful business model, but its growth has slowed recently.
However, there could be a new catalyst that could kick-start The Trade Desk's growth. It was reportedly in talks with OpenAI, the makers of ChatGPT, on how to implement ads on its platform. This could be a real game changer for the stock and cause its growth rate to accelerate. If it does, The Trade Desk's stock will be primed to make a huge run, as it currently trades at a dirt cheap 14 times forward earnings.
That's a huge discount to the market despite past success and market-matching growth. As a result, I think it looks like a compelling investment opportunity.
Should you buy stock in Microsoft right now?
Before you buy stock in Microsoft, consider this:
The Motley Fool Stock Advisor analyst team just identified what they believe are the 10 best stocks for investors to buy now… and Microsoft wasn’t one of them. The 10 stocks that made the cut could produce monster returns in the coming years.
Consider when Netflix made this list on December 17, 2004... if you invested $1,000 at the time of our recommendation, you’d have $514,000!* Or when Nvidia made this list on April 15, 2005... if you invested $1,000 at the time of our recommendation, you’d have $1,105,029!*
Now, it’s worth noting Stock Advisor’s total average return is 930% — a market-crushing outperformance compared to 187% for the S&P 500. Don't miss the latest top 10 list, available with Stock Advisor, and join an investing community built by individual investors for individual investors.
*Stock Advisor returns as of March 15, 2026.
Keithen Drury has positions in Microsoft, Nvidia, and The Trade Desk. The Motley Fool has positions in and recommends Microsoft, Nvidia, and The Trade Desk. The Motley Fool has a disclosure policy.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.

3 Stocks Investors Should Buy Hand Over Fist

Key Points
Vistra and Constellation are locking in long-term deals with hyperscalers.
Both companies provide ample electricity from nuclear energy.
Data center growth is fueling their expansion.
If you're an investor looking for growth stocks in the energy sector, start by searching for companies that are benefiting from the increasing electricity demands of data centers and the increased use of nuclear power in the U.S.
Vistra (NYSE: VST) and Constellation Energy (NASDAQ: CEG) fit those descriptions, and both of their shares are worth holding on to for the next decade.
Will AI create the world's first trillionaire? Our team just released a report on the one little-known company, called an "Indispensable Monopoly" providing the critical technology Nvidia and Intel both need. Continue »
Vistra sees long-term growth in serving hyperscalers
Vistra is the largest unregulated power producer in the U.S., and partners with Amazon (NASDAQ: AMZN) and Meta Platforms (NASDAQ: META) to help them meet their power needs. The Texas-based company generates 44,000 megawatts (MW) of energy through nuclear, natural gas, coal, and battery energy storage facilities. Its shares are down by a little more than 1% so far in 2026, but are up more than 46% over the past year.
In 2025, Vistra's revenue rose 2.9% to $17.7 billion, thanks to an AI-driven surge in electricity demand from data centers. Net income fell 52.5% to $233 million due to higher interest expenses and costs related to recent acquisitions.
The company is expected to close its $4 billion deal to buy Cogentrix Energy later this year, adding roughly 5,500 MW of natural gas-fueled generation capacity. It closed a 2,600 MW acquisition from Lotus Infrastructure Partners in November for $1.9 billion.
For 2026, management is guiding for adjusted earnings before interest, taxes, depreciation, and amortization (EBITDA) of $6.8 billion to $7.6 billion, which would be a 22% increase at the midpoint. Analysts currently project a one-year earnings per share (EPS) growth rate exceeding 230% as the company's newer nuclear agreements and natural gas expansions in the Permian Basin come online.
The company has a 20-year agreement to provide Amazon Web Services with up to 1,200 MW of electricity from its Comanche Peak Nuclear Power Plant, and a similar deal to provide 2,600 MW to Meta from a trio of nuclear plants.
One of the more subtle reasons to buy Vistra is its dividend. Thanks to the stock's rise, the yield has fallen from the 2.2% to 3.5% range it lived in just a few years ago to around 0.6% currently. However, the company has raised its payouts (admittedly, by small increments) for 17 consecutive quarters. Despite those increases, the payout ratio is only 41.2%, leaving it room for further dividend hikes.
Constellation Energy could be a star performer
Constellation, based in Baltimore, is the largest regulated producer of nuclear energy in the U.S., as well as the largest generator of carbon-free energy. Its revenue should grow, thanks in part to long-term deals with Microsoft (NASDAQ: MSFT) and Meta. The stock is up more than 49% over the past year, though down more than 14% so far in 2026.
In the fourth quarter, its adjusted operating EPS rose 8% year over year to $9.39, and revenue rose 12.9% to $6.07 billion.
Constellation has already made a big acquisition this year, buying Calpine, known for its natural gas and geothermal power facilities, for $16.4 billion. The company said the move will be accretive to its adjusted operating EPS by more than 20% in 2026 and add at least $2 to EPS in future years.
Also driving revenue growth will be its planned restart of the Unit 1 reactor at the Crane Clean Energy Center, formerly known as the Three Mile Island nuclear facility. With the aid of a $1 billion Department of Energy loan and a 20-year power purchase agreement with Microsoft, the project is expected to generate 835 MW. The company has a similar 20-year deal in the works with Meta for power from the Clinton Clean Energy Center in Illinois.
Should you buy stock in Vistra right now?
Before you buy stock in Vistra, consider this:
The Motley Fool Stock Advisor analyst team just identified what they believe are the 10 best stocks for investors to buy now… and Vistra wasn’t one of them. The 10 stocks that made the cut could produce monster returns in the coming years.
Consider when Netflix made this list on December 17, 2004... if you invested $1,000 at the time of our recommendation, you’d have $514,000!* Or when Nvidia made this list on April 15, 2005... if you invested $1,000 at the time of our recommendation, you’d have $1,105,029!*
Now, it’s worth noting Stock Advisor’s total average return is 930% — a market-crushing outperformance compared to 187% for the S&P 500. Don't miss the latest top 10 list, available with Stock Advisor, and join an investing community built by individual investors for individual investors.
*Stock Advisor returns as of March 15, 2026.
James Halley has positions in Microsoft. The Motley Fool has positions in and recommends Amazon, Constellation Energy, Meta Platforms, and Microsoft. The Motley Fool has a disclosure policy.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.

2 Monster Energy Stocks to Hold for the Next 10 Years

Key Points
Google parent Alphabet has reasserted itself in the AI race.
Minor headwinds have taken Amazon's stock to a surprisingly low valuation.
So far in 2026, Microsoft (NASDAQ: MSFT) is the worst-performing stock in the "Magnificent Seven." Slower growth in its cloud platform Azure and the staggering costs to stay competitive in the AI race have pressured the stock amid a relatively high valuation.
Fortunately, this does not mean megacap stocks are in trouble, and under current conditions, these two tech stocks are arguably worth investor consideration.
Will AI create the world's first trillionaire? Our team just released a report on the one little-known company, called an "Indispensable Monopoly" providing the critical technology Nvidia and Intel both need. Continue »
1. Alphabet
Alphabet (NASDAQ: GOOGL) (NASDAQ: GOOG) might be a surprise pick, considering it's a competitor of Microsoft in the cloud and is also investing heavily in AI infrastructure. The Google parent spent $91 billion on capital expenditures (capex) last year and pledged to spend $175 billion to $185 billion this year.
However, the difference with Microsoft is that investors have seen a more obvious payoff. Alphabet's Google Gemini AI engine was a later entry in this area, but it has made huge competitive strides, and some users prefer it to ChatGPT.
Moreover, Google Cloud continues to outpace the growth rate of its massive digital ad platform, implying a heavier reliance on AI. Additionally, many investors expect Alphabet's autonomous driving company Waymo to be a major revenue driver in the coming years, further boosting its reputation.
Amid some investor skepticism about AI, the stock has delivered a flat performance for the year. Still, its P/E ratio of 29 closely approximates the S&P 500 average, and given its growth prospects, that is probably a low enough valuation to continue attracting investor interest.
2. Amazon
Like Microsoft, investors have become leery of Amazon (NASDAQ: AMZN) due to its massive capex allocations. The company pledged $200 billion in capex spending for 2026 after spending almost $132 billion the previous year.
Additionally, Amazon needs fuel and electricity for both its logistics and delivery networks. That means higher energy costs may weigh more on it than on its competitors.
Nonetheless, investors have many reasons to believe the company's headwinds are short term. The primary growth and profit driver for Amazon, Amazon Web Services, has experienced more rapid growth over the last couple of quarters. That indicates that the company's massive capex spending may soon begin to pay off.
Furthermore, Amazon's e-commerce segments also capitalize on AI in ways ranging from product selections to a more efficient supply chain. Those segments also include enterprises that rely partially on AI, such as third-party seller services, subscriptions, and digital advertising, which typically report double-digit revenue growth.
Moreover, the company's stock trades at a 30 P/E ratio. Until recently, Amazon routinely maintained an earnings multiple above 50, and buying the stock at lower multiples has always paid off in the past. Considering that factor and the signs that the AI investments are paying off for the company, now may be an excellent time to add shares.
Should you buy stock in Alphabet right now?
Before you buy stock in Alphabet, consider this:
The Motley Fool Stock Advisor analyst team just identified what they believe are the 10 best stocks for investors to buy now… and Alphabet wasn’t one of them. The 10 stocks that made the cut could produce monster returns in the coming years.
Consider when Netflix made this list on December 17, 2004... if you invested $1,000 at the time of our recommendation, you’d have $514,000!* Or when Nvidia made this list on April 15, 2005... if you invested $1,000 at the time of our recommendation, you’d have $1,105,029!*
Now, it’s worth noting Stock Advisor’s total average return is 930% — a market-crushing outperformance compared to 187% for the S&P 500. Don't miss the latest top 10 list, available with Stock Advisor, and join an investing community built by individual investors for individual investors.
*Stock Advisor returns as of March 15, 2026.
Will Healy has no position in any of the stocks mentioned. The Motley Fool has positions in and recommends Alphabet, Amazon, and Microsoft. The Motley Fool has a disclosure policy.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.

My Top 2 Mega-Cap Stocks to Buy After Microsoft's Latest Pullback

Key Points
Coca-Cola, ExxonMobil, and AbbVie are blue chip stocks that have provided consistent quarterly payouts.
Realty Income and the JEPQ ETF both offer a monthly payout.
Dividend stocks are a tried-and-true way to maximize your investments and build wealth that leads to a comfortable retirement. These payments, which are a portion of the company's profits, are often made by mature, stable companies and are seen as an incentive to entice new investors into taking a position in the company.
For investors, this provides two benefits. First, you can reinvest your dividend payment into your portfolio, making it grow even faster. The S&P 500 index has had a mean dividend yield of 1.74% over the last 10 years. That may not sound like a lot, but over a decade, it adds up. The index has risen 240% in the last 10 years, but if you account for the reinvested dividends, the S&P 500's total return is 305%.
Will AI create the world's first trillionaire? Our team just released a report on the one little-known company, called an "Indispensable Monopoly" providing the critical technology Nvidia and Intel both need. Continue »
Or you can use those dividend payments as regular income. Dividends are a favored vehicle for investors who are in retirement because they act as a form of passive income -- meaning that retirees don't need to draw down their retirement accounts as quickly.
There are plenty of different dividend stocks from which to choose, but here are my five favorites right now.
1. Realty Income
Realty Income (NYSE: O) has long been at the top of my list of dividend stocks. First, I like that it's a monthly dividend stock rather than a quarterly one. That's important because getting payments into your account quickly means you can reinvest them sooner. Or, if you are using Realty Income for passive income, it's easy to set up a monthly budget when you have a monthly dividend stock.
Second, Realty Income is dedicated to raising its dividend. The company has paid a monthly dividend for more than 55 years, in which time it's increased its dividend 133 times. The yield currently sits at 5%.
Realty Income is consistent because it's a solid business, built to last. The real estate investment trust owns more than 15,500 properties and rents them to more than 1,700 clients, generating $5.3 billion in annualized rent.
2. ExxonMobil
ExxonMobil (NYSE: XOM) is a massive oil and gas company that offers upstream production, midstream pipelines, and downstream refining and chemicals. It also operates more than 12,000 gas stations in the U.S. under the Exxon and Mobil brands.
The company generates a ton of money. Cash flow from operations totaled $52 billion in 2025, which allowed ExxonMobil to pay out $17.2 billion in dividends and repurchase an additional $20 billion worth of shares. ExxonMobil's dividend yield is a healthy 2.8%.
3. AbbVie
AbbVie (NYSE: ABBV) is my favorite pharmaceutical company for dividend yields. The company is getting a lot of its profits these days from Skyrizi, which was responsible for $5 billion in revenue in the fourth quarter, up 31.9%, and from Rinvoq, which contributed another $2.37 billion, up 28.6%.
Those gains allowed AbbVie to report revenue growth for the quarter, even though the company lost exclusivity for its popular Humira drug. Overall, the company generated $16.6 billion in revenue in the quarter, up 10% year over year. AbbVie's dividend yield is 3%.
4. Coca-Cola
Beverage company Coca-Cola (NYSE: KO) is a Dividend King, meaning that it's raised its dividend for at least 50 consecutive years. The company shows no sign of slowing, as Coca-Cola's dividend yield is a respectable 2.6%.
Coca-Cola has the biggest market share of carbonated soft drinks in the U.S., but this is much more than a soda company. The Atlanta-based company also manufactures sports drinks, water, tea, lemonade, juices, and coffee.
5. JPMorgan Nasdaq Equity Premium Income ETF
The JPMorgan Nasdaq Equity Premium Income ETF (NASDAQ: JEPQ) isn't a stock. In fact, it's not even a traditional dividend ETF. JEPQ, which is managed by a division of JPMorgan Chase, employs a covered-call strategy through equity-linked notes to generate dividends for shareholders. Fund managers sell out-of-the-money call options on stocks in the index, and the proceeds are distributed as a dividend each month.
I love tech stocks, so the JEPQ ETF caught my eye a few months ago. I was looking for a way to draw passive income from tech stocks that typically don't offer a payout at all. The ETF's top holdings include some of my favorite stocks -- Nvidia, Apple, Alphabet, Microsoft, and Amazon. Those stocks offer just a pittance of a dividend, if at all. But JEPQ's covered-call strategy allows it to pay a current yield of 10.6%. That means I'll be keeping the JEPQ in my portfolio for a long time.
Should you buy stock in Coca-Cola right now?
Before you buy stock in Coca-Cola, consider this:
The Motley Fool Stock Advisor analyst team just identified what they believe are the 10 best stocks for investors to buy now… and Coca-Cola wasn’t one of them. The 10 stocks that made the cut could produce monster returns in the coming years.
Consider when Netflix made this list on December 17, 2004... if you invested $1,000 at the time of our recommendation, you’d have $514,000!* Or when Nvidia made this list on April 15, 2005... if you invested $1,000 at the time of our recommendation, you’d have $1,105,029!*
Now, it’s worth noting Stock Advisor’s total average return is 930% — a market-crushing outperformance compared to 187% for the S&P 500. Don't miss the latest top 10 list, available with Stock Advisor, and join an investing community built by individual investors for individual investors.
*Stock Advisor returns as of March 15, 2026.
JPMorgan Chase is an advertising partner of Motley Fool Money. Patrick Sanders has positions in JPMorgan Nasdaq Equity Premium Income ETF and Nvidia. The Motley Fool has positions in and recommends AbbVie, Alphabet, Amazon, JPMorgan Chase, Microsoft, Nvidia, and Realty Income. The Motley Fool has a disclosure policy.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.

My 5 Favorite Dividend Stocks to Buy Right Now

Key Points
This company benefits from the success of the existing members of the $2 trillion club.
It's poised for strong revenue growth and margin expansion through the end of the decade.
The stock valuation doesn't reflect the growth potential of the company.
The five existing members of the $2 trillion club are all beneficiaries of the growing demand for artificial intelligence (AI). Alphabet, Microsoft, and Amazon have all seen demand for their cloud computing AI services outstrip their ability to build new data centers and stand up servers. Nvidia is the largest graphics processing unit (GPU) supplier to data centers. And Apple has quietly positioned its iPhone and other devices to capitalize on industry advances in AI.
The next member of the $2 trillion club is an important partner to all five of those companies. The massive spending from the hyperscalers, Nvidia's push to more advanced GPUs and central processing units, and Apple's efforts to prepare its devices for the generative AI era all trickle down to this one company: Taiwan Semiconductor Manufacturing (NYSE: TSM).
Will AI create the world's first trillionaire? Our team just released a report on the one little-known company, called an "Indispensable Monopoly" providing the critical technology Nvidia and Intel both need. Continue »
The stock briefly touched a $2 trillion market cap in late February, but it's since pulled back to just $1.8 trillion. Still, it's up 97% in the past year, as of this writing. I predict it won't be long before it retakes the $2 trillion level and keeps climbing from there.
Powering the most advanced chips
TSMC is the largest contract chip manufacturer in the world, and the gap between it and second place is growing wider. TSMC accounted for almost 70% of all spending by companies such as Nvidia, Apple, and other chip designers in 2025. Second-place Samsung Electronics (OTC: SSNL.F) accounted for just 7% of all spend.
TSMC's market share is poised to keep growing in 2026 and beyond, as it holds a substantial technology lead. Its 2nm process went into mass production at the end of 2025, with all the capacity in its existing facilities supporting the process booked into mid-2027.
To be sure, Samsung is making good progress with its 2nm process, significantly improving the yield of viable chips per silicon wafer. However, yields remain below TSMC's 2nm process. More importantly, Samsung may have some capacity available at its foundries, but it doesn't have the capacity to steal a meaningful workload from TSMC. Furthermore, TSMC's IP library and packaging capabilities are unmatched, creating significant switching costs for anyone considering moving to the smaller competitor.
As a result, TSMC has been able to raise its pricing. It implemented a price hike on its most advanced chipmaking processes at the start of 2026 by 3% to 10%. Reports indicate TSMC plans to raise prices each year through 2029, suggesting very strong pricing power and clear visibility of demand over the next few years.
Indeed, TSMC is investing heavily to meet that demand. Management plans to spend between $52 billion and $56 billion on capital expenditures this year. That's up from $40.9 billion last year. It's spending a significant amount on new facilities in Arizona, which can help mitigate the geopolitical risk of the Taiwan-based company. However, U.S. fabs cost much more to build and operate than Taiwanese fabs, which may be another reason TSMC is planning to raise pricing through 2029 when the last Arizona fab will start volume production.
The path to $2 trillion
With increased spending by Amazon, Microsoft, and Alphabet on data centers and the strong demand for Apple's iPhone seen last quarter, TSMC looks poised for another strong year in 2026. Management guided to 30% full-year revenue growth in U.S. dollar terms, and it expects to see further improvements in gross margin in the first quarter. Through the first two months of the year, revenue is up 30% on an FX-neutral basis, in line with expectations. Note, the U.S. dollar is weaker than it was a year ago.
Management sees those strong results continuing through the end of the decade. It updated its five-year revenue outlook for 2025 through 2029 to a compound annual growth rate of 25% in U.S. dollar terms. A 36% increase in 2025 and expectations for 30% growth in 2026 suggest annualized growth of 20% in 2027 through 2029. It's also worth pointing out that management is historically conservative with its outlooks, which means there could be further upside.
With strong demand for both its 3nm and 2nm processes and planned price hikes, it should be able to achieve high gross margins even as it ramps up its next-generation process. As such, investors can expect earnings growth to outpace its top-line growth.
As such, TSMC shares deserve an earnings multiple well above its current 24 times analysts' expectations. If TSMC can achieve an earnings multiple of 27, its market cap will exceed $2 trillion. Granted, there are geopolitical risks weighing on its valuation. But as TSMC continues to put up solid earnings growth quarter after quarter, even a low earnings multiple will push its value above the $2 trillion threshold.
Should you buy stock in Taiwan Semiconductor Manufacturing right now?
Before you buy stock in Taiwan Semiconductor Manufacturing, consider this:
The Motley Fool Stock Advisor analyst team just identified what they believe are the 10 best stocks for investors to buy now… and Taiwan Semiconductor Manufacturing wasn’t one of them. The 10 stocks that made the cut could produce monster returns in the coming years.
Consider when Netflix made this list on December 17, 2004... if you invested $1,000 at the time of our recommendation, you’d have $514,000!* Or when Nvidia made this list on April 15, 2005... if you invested $1,000 at the time of our recommendation, you’d have $1,105,029!*
Now, it’s worth noting Stock Advisor’s total average return is 930% — a market-crushing outperformance compared to 187% for the S&P 500. Don't miss the latest top 10 list, available with Stock Advisor, and join an investing community built by individual investors for individual investors.
*Stock Advisor returns as of March 15, 2026.
Adam Levy has positions in Alphabet, Amazon, Apple, Microsoft, and Taiwan Semiconductor Manufacturing. The Motley Fool has positions in and recommends Alphabet, Amazon, Apple, Microsoft, Nvidia, and Taiwan Semiconductor Manufacturing and is short shares of Apple. The Motley Fool has a disclosure policy.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.

Meet the Next Member of the $2 Trillion Club. It's Up 97% in the Past Year, and It Can Still Climb Higher in 2026.

Key Points
Oklo's stock has been highly volatile.
The company is awaiting approval for a key nuclear project.
The increasing prices of oil and natural gas help Oklo's business model.
Nuclear power plant upstart Oklo (NYSE: OKLO) is off to a slow start in 2026. Its shares are down more than 18% year to date compared to a decline of about 3% for the S&P 500. There are several scenarios, however, in which Oklo's shares could outperform the S&P 500 this year.
Oklo's Aurora powerhouses are small modular reactors (SMRs) that use recycled nuclear fuel and are designed to operate for up to 10 years before needing refueling. Demand for nuclear power is growing, thanks both to President Donald Trump's emphasis on the technology and the nation's rising power needs, which are largely being driven by the rapid buildout of electricity-hungry artificial intelligence data centers.
Will AI create the world's first trillionaire? Our team just released a report on the one little-known company, called an "Indispensable Monopoly" providing the critical technology Nvidia and Intel both need. Continue »
There are good reasons why investors may be wary about the stock. Oklo is a pre-revenue company, and as such, its volatility is through the roof. Its shares have ranged over the past two years between $17.42 and $193.84. However, here are four reasons why Oklo should outperform the S&P 500 this year.
It should add more contracts to its deal with Meta
On Jan. 9, Meta Platforms signed a deal with Oklo under which the tech giant will support the smaller company's effort to deploy a 1.2 gigawatt (GW) power campus in Pike County, Ohio. That campus will generate power for Meta's data centers in the region. By prepaying for that power, Meta will fund the project's progress. The day the deal was announced, Oklo's shares jumped by nearly $8 to close at $105.31.
Oklo has an 18 GW pipeline. If it can sign additional deals with hyperscalers or similar partners, analysts' and investors' opinions of the stock would rise considerably.
One possible customer is Oracle, which has stated its desire to build data center campuses with space for small nuclear reactors on site. Oracle's Stargate collaboration with OpenAI in Texas will require ample gigawatts, and Oklo's Aurora powerhouse would be a logical choice for the behind-the-meter SMR deployment Oracle would prefer. Oracle recently disputed reports that the project was stalled, but even if it is, Meta has shown an interest in stepping in and using the data center, and it already has a relationship with Oklo.
It is in a strong financial position
Oklo's war chest is quite impressive for a company that is currently pre-revenue. Its financial strategy has shifted from a lean start-up to a well-capitalized industrial player, largely thanks to successful capital raises throughout 2025, with a secondary public offering in June and an ATM equity program it rolled out in December.
The company ended the third quarter with $1.2 billion in cash and marketable securities on its books. It also has little long-term debt, which gives it a big advantage over its competitors in the current higher-interest-rate environment.
Based on management's guidance for an annual operating cash burn of $65 million to $80 million, the company has more than 10 years of runway if its spending remains stable. Now, Oklo will likely start to spend more money when it begins construction on its 1.2 GW power campus, but that will also be its first step toward developing long-term revenue streams. The company lost $29.7 million in the third quarter.
Oklo will deliver its fourth-quarter results on March 17, and any good news that report brings could help the stock as well.
The Aurora powerhouse could receive accelerated approval
In November, the Department of Energy approved the Nuclear Safety Design Agreement for Oklo's Aurora Fuel Fabrication Facility at Idaho National Laboratory. That's a big step, and if the Nuclear Regulatory Commission grants accelerated approval for the Aurora powerhouse at the laboratory, it would signal to the markets that the company's technology is valid.
It has already broken ground on the Idaho site. Now, Oklo must wade through the regulatory process, including regulatory pre-application and licensing submissions.
The price of oil will likely remain high
Higher oil prices will only accelerate the trend toward greater use of nuclear power. The volatility of fossil fuel prices helps support the business case for next-generation nuclear providers.
With Brent crude crossing the $100-per-barrel mark and West Texas Intermediate crude up by more than 80% since the start of 2026 due to the Iran war, the narrative around nuclear has shifted from green energy to energy stability. Hyperscalers that are relying heavily on natural gas generation to meet their electricity needs face financial risks.
Oklo's model is to own its reactors and sell the electricity they generate through long-term power purchase agreements (PPAs). That strategy gives their customers a fixed price for 20 years. It's a model that's looking increasingly attractive to clients as oil and natural gas prices rise.
Hyperscalers aren't the only potential clients for Oklo. Industrial companies that use oil or natural gas for "process heat" (such as chemical plants or refineries) are more likely to see the appeal in switching to Oklo's high-temperature fast reactors when their current fuel bills double.
Should you buy stock in Oklo right now?
Before you buy stock in Oklo, consider this:
The Motley Fool Stock Advisor analyst team just identified what they believe are the 10 best stocks for investors to buy now… and Oklo wasn’t one of them. The 10 stocks that made the cut could produce monster returns in the coming years.
Consider when Netflix made this list on December 17, 2004... if you invested $1,000 at the time of our recommendation, you’d have $514,000!* Or when Nvidia made this list on April 15, 2005... if you invested $1,000 at the time of our recommendation, you’d have $1,105,029!*
Now, it’s worth noting Stock Advisor’s total average return is 930% — a market-crushing outperformance compared to 187% for the S&P 500. Don't miss the latest top 10 list, available with Stock Advisor, and join an investing community built by individual investors for individual investors.
*Stock Advisor returns as of March 15, 2026.
James Halley has positions in Microsoft. The Motley Fool has positions in and recommends Meta Platforms, Microsoft, and Oracle. The Motley Fool has a disclosure policy.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.

Prediction: This $60 Nuclear Stock Will Outperform the S&P 500 This Year

Key Points
Thiel Macro (a hedge fund run by Peter Thiel) sold its positions in Tesla, Microsoft, and Apple in Q4 2025.
Peter Thiel made a similar decision in Q4 2019 with mixed results; he avoided losses but missed out on gains.
The S&P 500 is expensive, but most Wall Street analysts think Tesla, Microsoft, and Apple are undervalued.
Billionaire Peter Thiel was a co-founder of Palantir Technologies, and he still owns a substantial stake in the company (about 100 million shares). However, he also runs a hedge fund, called Thiel Macro, that recently sold every stock in its portfolio.
Specifically, SEC Forms 13F show Thiel Macro had $74 million split between Tesla (NASDAQ: TSLA), Microsoft (NASDAQ: MSFT), and Apple (NASDAQ: AAPL) in the third quarter of 2025, but the hedge fund sold all three positions in Q4 2025 and did not report any new trades.
Will AI create the world's first trillionaire? Our team just released a report on the one little-known company, called an "Indispensable Monopoly" providing the critical technology Nvidia and Intel both need. Continue »
I cannot speak to Thiel's motivation, but the decisions suggest he lost confidence in Tesla, Microsoft, and Apple and couldn't find other attractive opportunities across the stock market, possibly due to concerns about valuations. The S&P 500 (SNPINDEX: ^GSPC) was very expensive by historical standards in the fourth quarter.
How seriously should investors take Thiel's $74 million warning? Consider this historical insight.
Thiel Macro issued a similar warning in late 2019
Peter Thiel made a similar move in Q4 2019. He sold every position in his portfolio and did not report any new trades for the next five years. The S&P 500 returned approximately 91% (or 13.8% annually) during that five-year period, but nearly two-thirds of Thiel's portfolio had been invested in put options (bets) against the S&P 500.
On one hand, Thiel avoided heavy losses by selling those put options. On the other hand, he missed out on substantial upside because he did not make any trades for the next five years. In particular, the S&P 500 has performed very well since the artificial intelligence (AI) boom began following the release of ChatGPT in Q4 2022.
The S&P 500 still trades at a historically expensive valuation
The S&P 500 had an average cyclically adjusted price-to-earnings (CAPE) ratio of 39.1 in Q4 2025 (when Thiel Macro sold every stock in its portfolio). That is a substantial premium to the 30-year average of 28.5. In fact, apart from the last few months, the S&P 500 has not recorded a CAPE multiple above 39 since the dot-com crash in 2000.
The S&P 500 has actually gotten a little more expensive in 2026. Its CAPE multiple was 39.2 in February, and the index has historically performed poorly from such high valuations. The chart below shows the S&P 500's best, worst, and average returns over different periods when its CAPE ratio has exceeded 39.
Time Period
S&P 500's Best Return
S&P 500's Worst Return
S&P 500's Average Return
1 Year
16%
(28%)
(4%)
2 Years
8%
(43%)
(20%)
3 Years
(10%)
(43%)
(30%)
As shown above, if the S&P 500's forward returns match the historical average, the index will decline 4% by February 2027, it will tumble 20% by February 2028, and it will plummet 30% by February 2029. But the most alarming statistic is this: The S&P 500 has never produced a positive three-year return when its CAPE ratio exceeds 39.
Of course, past performance is not a guarantee of future results. The CAPE multiple is a backward-looking valuation metric, meaning it does not account for the possibility that S&P 500 earnings will grow more quickly in the future as companies adopt artificial intelligence.
That trend is already evident in the market. "AI adopters in the S&P 500 have posted margin expansion that outpaces both the index as a whole and the individual companies not using AI by 2 to 3 percentage points," according to JPMorgan strategist Kriti Gupta.
Wall Street says Tesla, Microsoft, and Apple are undervalued
In general, Wall Street does not share Peter Thiel's skepticism concerning Tesla, Microsoft, and Apple. While Thiel sold all three stocks in the fourth quarter, most analysts believe they are undervalued.
Among 56 analysts, Tesla has a median target price of $477.50 per share. That implies 22% upside from the current share price of $391.
Among 60 analysts, Microsoft has a median target price of $600 per share. That implies 51% upside from the current share price of $396.
Among 52 analysts, Apple has a median target price of $302.50 per share. That implies 21% upside from the current share price of $250.
Here's the big picture: Thiel Macro has a mixed track record. Thiel beat the S&P 500 over the past year and avoided losses by selling S&P 500 put options in Q4 2019, but he also missed out on gains by staying out of the market for five years. Also, while the S&P 500 is expensive today -- so much so that history says the index could fall sharply in the next few years -- Wall Street remains bullish on Tesla, Microsoft, and Apple.
Should you buy stock in S&P 500 Index right now?
Before you buy stock in S&P 500 Index, consider this:
The Motley Fool Stock Advisor analyst team just identified what they believe are the 10 best stocks for investors to buy now… and S&P 500 Index wasn’t one of them. The 10 stocks that made the cut could produce monster returns in the coming years.
Consider when Netflix made this list on December 17, 2004... if you invested $1,000 at the time of our recommendation, you’d have $514,000!* Or when Nvidia made this list on April 15, 2005... if you invested $1,000 at the time of our recommendation, you’d have $1,105,029!*
Now, it’s worth noting Stock Advisor’s total average return is 930% — a market-crushing outperformance compared to 187% for the S&P 500. Don't miss the latest top 10 list, available with Stock Advisor, and join an investing community built by individual investors for individual investors.
JPMorgan Chase is an advertising partner of Motley Fool Money. Trevor Jennewine has positions in Palantir Technologies and Tesla. The Motley Fool has positions in and recommends Apple, JPMorgan Chase, Microsoft, Palantir Technologies, and Tesla and is short shares of Apple. The Motley Fool has a disclosure policy.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.