History Says the Nasdaq Will Soar in 2025: 1 Artificial Intelligence (AI) Growth Stock to Buy Before It Does

The Nasdaq Composite Index has been on a remarkable upward trajectory, reaching a record high of 19,478.88 as of January 08, 2025. This impressive performance can be largely attributed to the rapid growth and adoption of artificial intelligence (AI) technologies. As we look ahead to 2025, historical trends and expert analysis suggest that the Nasdaq is poised for another significant surge, driven by the continued expansion of the AI sector. In this article, we will explore the factors contributing to this expected growth and highlight one AI growth stock that investors should consider buying before the Nasdaq's anticipated surge.

AI Growth Drives Nasdaq Performance

The global artificial intelligence market size is projected to expand at a compound annual growth rate (CAGR) of 37.3% from 2023 to 2030, reaching $1,811.8 billion by 2030. This rapid growth in the AI sector has been a significant driver of the Nasdaq's performance, with the index reaching record highs in recent months. The AI in hardware market is also expected to grow at a CAGR of 22.6% from 2023 to 2028, reaching $58.61 billion, further boosting the Nasdaq's performance.



AI Stocks' Growth Potential

The top AI stocks mentioned in the article, such as NVIDIA, Microsoft, Alphabet, Meta, AMD, Tesla, IBM, and Oracle, all demonstrate strong potential for substantial returns in 2025. Their growth is likely to drive the overall performance of the Nasdaq. Among these, NVIDIA Corporation (NVDA) stands out as a specific AI growth stock recommended for investment before the Nasdaq's expected surge in 2025.



NVIDIA Corporation: A Top AI Growth Stock

NVIDIA is a leader in AI technology, particularly in the development of GPUs used for machine learning and AI applications. The company's continuous innovations in AI hardware and software, along with its strategic partnerships and market dominance, position it as a strong contender for significant growth in the AI sector. NVIDIA's Blackwell platform, for instance, promises to power a new era of computing by enabling organizations worldwide to build and deploy real-time generative AI models on an unprecedented scale.

NVIDIA's strong fundamentals, including a Zacks Rank of #1 (Strong Buy) and a Growth Score of B, further support its potential for significant growth in the AI sector. The Zacks Consensus Estimate for NVDA's 2024 earnings has moved north by 2.6% to $23.72 per share in the past 60 days, which suggests year-over-year growth of 83.02%.



Investing in AI Growth Stocks Before the Nasdaq Surge

As the Nasdaq is expected to soar in 2025, driven by the continued growth and adoption of AI technologies, investors should consider buying AI growth stocks like NVIDIA Corporation before the surge occurs. By doing so, they can capitalize on the potential for substantial returns in the AI sector and benefit from the overall performance of the Nasdaq.

Important note: Investors are reminded to do their due diligence and not rely on the information provided as financial advice. Consider this article as supplementing your required research. Please always apply independent thinking.

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