Wedbush Predicts 25% Gain for Tech Stocks in 2025, Led by Nvidia and Software Giants

AinvestFriday, Jan 3, 2025 6:38 am ET

1min read

Wedbush analysts expect technology stocks to gain 25% in 2025, led by Nvidia Corp. The AI revolution will spawn 10 winners, including software companies, as the enterprise consumption phase begins and LLM models are launched. Analyst Dan Ives predicts AI will be a major catalyst for the software sector in 2025.

The technology sector is poised for significant growth in the coming years, with Wedbush analysts predicting a 25% surge in tech stocks by 2025 [1]. This bullish outlook is driven by the ongoing AI revolution, which is expected to reshape the tech landscape and create monumental opportunities for software and hardware leaders.

Nvidia (NVDA) is leading the charge, with its data centers and GPU technology playing a pivotal role in the AI-driven future [1]. The company anticipates robust contributions from cloud giants like Microsoft Azure, Google Cloud, and Amazon Web Services (AMZN) to enable enterprises to scale AI solutions.

According to Wedbush, the upcoming years will witness over $2 trillion in incremental AI capital expenditures, fueled by generative AI adoption and the enterprise application of Large Language Models (LLMs) [1]. This "Fourth Industrial Revolution" is expected to deliver monumental growth opportunities for tech leaders, with software companies like Salesforce (CRM) and Palantir (PLTR) predicted to play premier roles in this AI wave [1].

Dan Ives, the lead analyst at Wedbush, has been a vocal bull on the AI boom since its inception [2]. His predictions of a 20% gain in tech stocks in 2023 and a 25% jump in 2024 were both accurate, and he is now forecasting a 25% gain in tech stocks in 2025 [2].

The AI-driven growth story is not limited to tech stocks alone. Nvidia's chip technology is being rapidly adopted by cloud infrastructure companies like Microsoft, Alphabet, Amazon, and Oracle to serve the AI demands of their own customers [2]. This trend is expected to continue, driven by the increasing importance of AI in various industries and applications.

In conclusion, the technology sector is set for significant growth in the coming years, with Wedbush analysts predicting a 25% surge in tech stocks by 2025. This bullish outlook is driven by the ongoing AI revolution, which is expected to reshape the tech landscape and create monumental opportunities for software and hardware leaders.

References:
[1] Gurufocus. (2025, January 13). Nvidia and Microsoft Top Tech Picks as Wedbush Predicts 25% Rally in 2025. https://www.gurufocus.com/news/2642973/nvidia-and-microsoft-top-tech-picks-as-wedbush-predicts-25-rally-in-2025
[2] Fool. (2025, January 12). Wall Street Analyst Dan Ives Sees Tech Stocks Jump 25% in 2025. https://www.fool.com/investing/2025/01/12/wall-street-analyst-dan-ives-sees-tech-stocks-jump/

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Luka77GOATic

01/03

$NVDA $142!!! Let’s Go!!!!

CurlyDarkrai

$MSFT Despite its enormous market cap, MSFT is often overlooked amidst the broader software rally. We believe a 'catch up' trade in 2025 could be on the horizon. In the past 12 years, there were four instances where MSFT underperformed the S&P 500, the IGV, or both. The following year, MSFT averaged a 22% outperformance and a 42% absolute return. While the sample size is small, MSFT's strong 'bounce back' indicates its robust enterprise products, recurring revenue, and solid financial position. As a company with a market cap over $3 trillion, MSFT is a large entity to navigate, but the setup for a'mini revenge' trade next year seems plausible.

Argothaught

In the money chat, $NVDA is the topic of discussion.

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