History Says the Nasdaq Will Surge in 2025. 1 Stock-Split Stock to Buy Before It Does.

As we approach the midpoint of the 2020s, investors are looking for opportunities to capitalize on the next big market surge. History suggests that the Nasdaq, the tech-heavy index, is poised for a significant rally in 2025. One stock-split stock to consider buying before this surge is Microsoft (MSFT), a tech giant with a strong growth trajectory and a potential stock split on the horizon.



The Nasdaq has a history of surging during periods of economic growth and technological innovation. In the late 1990s, the dot-com boom led to a massive rally in the Nasdaq, with many tech stocks experiencing exponential growth. Similarly, in the 2010s, the rise of smartphones and cloud computing drove another surge in the Nasdaq. As we enter the 2020s, the growth of artificial intelligence (AI) and the Internet of Things (IoT) is expected to fuel the next Nasdaq surge.



One stock that could benefit from this surge is Microsoft. The tech giant has seen remarkable growth in recent years, with its stock price increasing by over 600% since 2016. Microsoft's success can be attributed to its strategic investments in AI and cloud services, which have driven significant revenue growth. In the most recent fiscal quarter, Microsoft's Azure AI services grew by 12 percentage points year-over-year, demonstrating the company's strong growth potential.



Microsoft is also a strong candidate for a stock split in the near future. The company has a history of stock splits, having completed nine splits since its stock came public in 1986. If Microsoft were to execute a 3-for-1 stock split, its stock price would come down to $138 per share, making it more accessible to smaller investors. This would also place Microsoft in line with other trillion-dollar tech giants like Nvidia, Amazon, Alphabet, and Apple, which have stock prices between $100 and $250.



Investing in Microsoft before a potential stock split could be a strategic move, given the company's history of strong earnings growth post-split. For instance, Microsoft's stock split in 2003 was followed by a 150% increase in earnings over the next five years. By buying Microsoft's stock before the split, investors can benefit from potential price appreciation and increased accessibility.

In conclusion, history suggests that the Nasdaq is poised for a significant surge in 2025, driven by the growth of AI and IoT technologies. One stock-split stock to consider buying before this surge is Microsoft, a tech giant with a strong growth trajectory and a potential stock split on the horizon. Investing in Microsoft before a potential stock split could be a strategic move, given the company's history of strong earnings growth post-split. As always, it is essential to conduct thorough research and consider your risk tolerance before making any investment decisions.