We just published the list of 10 Best Performing AI Stocks in 2026. You can find the top 5 stocks below.
Artificial intelligence is transforming industries while creating significant growth opportunities for companies. As businesses accelerate AI adoption, more publicly traded companies are benefiting from rising demand for AI-related products and services.
Industry leaders are increasingly illustrating how demand for AI infrastructure can translate into substantial revenue growth. Software and cloud computing companies are also finding new ways to monetize AI-driven innovations.
Billionaires led by Ray Dalio and Philippe Laffont have also taken note of the tremendous investment opportunities as AI fuels the next industrial revolution. The billionaires have already touted a supercycle for AI, with Laffont projecting a $10 trillion AI company over the next 15 years. Check their top AI stock picks here.
For investors, the fastest-growing AI stocks offer a chance to capitalize on one of the decade’s most significant technological shifts. While some stocks have rallied significantly, there is still room for further gains as the AI boom remains in its early stages. Amid the blockbuster gains, some AI stocks remain undervalued and offer tremendous upside.
According to Altimeter Capital founder and Chief Executive Brad Gerstner, the AI boom still has room to run, rejecting Wall Street’s skepticism on valuations and bubble fears. Gerstner says the total addressable market for AI is infinite, which underscores the blockbuster gains among some frontrunners. According to Altimeter Capital founder and Chief Executive Brad Gerstner, the AI boom still has room to run, rejecting Wall Street’s skepticism on valuations and bubble fears. Gerstner says the total addressable market for AI is infinite, which underscores the blockbuster gains among some frontrunners. Explore the best stocks to buy according to AI bull Brad Gerstner.
5 Fastest-Growing AI Stocks
However, rapid AI growth does not automatically translate into attractive investment returns. Elevated valuations, intense competition, substantial capital expenditure requirements, and uncertainty surrounding the long-term profitability of AI investments remain important risks.
Identifying companies with competitive advantages and reasonable valuations could help investors distinguish promising long-term opportunities from stocks driven primarily by market enthusiasm.
Our Methodology
For this article, we selected AI stocks that have posted 50%+ year-to-date gains (as of October 31). These companies have significant AI-related products and services or depend on AI for their operations. We also focused on stocks popular among elite hedge funds in Q2 2026. Finally, we ranked the stocks in ascending order by year-to-date gain.
Why are we interested in the stocks that hedge funds pile into? The reason is simple: our research has shown that we can outperform the market by imitating the top stock picks of the best hedge funds. Insider Monkey’s quarterly newsletter strategy selects 14 small-cap and large-cap stocks every quarter and has returned 599.2% since May 2014, beating its benchmark by 372 percentage points (see more details here).
5. Advanced Micro Devices Inc. (AMD)
Year-to-Date Gain: 158.95%
Number of Hedge Fund Holders: 164
Growing demand for data center processors and expectations for stronger AI accelerator sales have strengthened Advanced Micro Devices, Inc. (NASDAQ:AMD)’s growth outlook. Optimism about the company’s ability to capitalize on sustained demand for high-performance computing and expand its data center business has fueled a rally of more than 150% this year, significantly outperforming the broader market.
Second-quarter results highlighted the growing contribution of AI infrastructure to the company’s financial performance. Revenue rose 50% to $11.54 billion, while data center revenue increased 107% to $6.72 billion. Net income rose 163% as AI infrastructure became a central driver of the company’s business. Explore how AMD is challenging Intel Dominance.
Advanced Micro Devices, Inc. (NASDAQ:AMD)’s position as one of the best performing AI stocks is also supported by its efforts to challenge Nvidia in the AI accelerator market. Its Instinct graphics processing units (GPUs) are designed to handle demanding AI training and inference workloads, providing an alternative for customers seeking to diversify their AI computing infrastructure. The company has also strengthened its position through deals and partnerships involving major AI players, including OpenAI, Meta Platforms, and Microsoft. Is AMD still a Buy?
The stock’s rally reflects growing confidence on Wall Street that Advanced Micro Devices, Inc. (NASDAQ:AMD) can capture a larger share of the expanding AI infrastructure market. Triple-digit data center growth, improving profitability, relationships with leading technology companies, and an expanding product pipeline have strengthened its growth outlook.
4. Okta Inc. (OKTA)
Year-to-Date Gain: 166.21%
Number of Hedge Fund Holders: 58
Okta Inc. (NASDAQ:OKTA) is emerging as one of the best performing AI stocks as AI agent adoption creates new opportunities in identity and access management. The company provides a platform that enables organizations to manage and secure digital identities across their systems and applications.
The company has identified AI agent identity management as a long-term growth driver, positioning the company to benefit from rising demand for security solutions as enterprises integrate AI into their operations. Explore Okta AI identity turnaround.
Okta Inc. (NASDAQ:OKTA) is benefiting from the growing integration of AI across enterprise technology, which is creating additional demand for identity security. It reported second-quarter fiscal 2027 revenue of $805 million, up 11% year over year, driven by a 12% increase in subscription revenue.
Free cash flow surged 40% to $227 million, highlighting improving cash generation alongside revenue growth. These results strengthen the investment case for Okta as a potential beneficiary of expanding enterprise AI infrastructure spending. Explore what Wall Street analysts think of Okta.
Wall Street analysts are also highlighting Okta Inc. (NASDAQ:OKTA)’s growth prospects. On October 15, Citi raised its price target by $10 to $215 and reiterated a Neutral rating. The research firm reiterated that AI deployments are driving and catalyzing new security investments, thus supporting a more constructive backdrop for the company. Earlier on October 7, BMO raised its price target to $245 and reiterated an Outperform rating, buoyed by recent product innovation, including Okta for AI agents.
3. Marvell Technology Inc. (MRVL)
Year-to-Date Gain: 181.52%
Number of Hedge Fund Holders: 96
Marvell Technology Inc. (NASDAQ:MRVL) has exploded in 2026 on expectations that it can grow alongside the expansion of AI data centers as cloud providers invest in custom AI chips and high-speed optical interconnects. A 180%+ rally has been supported by improving financials, a strategic partnership with Nvidia, and bullish forecasts for AI-related revenue. Does it have more room to run?
The company is benefiting as major cloud providers increasingly develop custom silicon and AI accelerators to improve performance and reduce costs. It is also positioning itself to capitalize on this trend by designing specialized chips tailored to customers’ needs.
Reflecting the opportunity, the company raised its fiscal 2029 custom-chip revenue forecast to at least $12 billion, up from its previous target of $10 billion. Does the revenue target justify a premium valuation?
Beyond custom silicon, Marvell Technology Inc. (NASDAQ:MRVL) is positioned to benefit from growing demand for AI networking and optical connectivity. As data centers expand to accommodate increasingly complex AI workloads, the need for faster data transmission and more efficient interconnects is growing. Networking and connectivity solutions expose the company to these complementary growth opportunities.
The company’s AI prospects received another boost from a $2 billion investment and strategic partnership with Nvidia earlier this year. The partnership has strengthened its prospects to participate in AI infrastructure.
Marvell Technology Inc. (NASDAQ:MRVL) stands out as an AI investment opportunity because expanding data-center demand, rising custom-chip revenue expectations, and growing requirements for high-speed connectivity support its growth prospects.
2. Micron Technology, Inc. (NASDAQ:MU)
Year-to-Date Gain: 211.72%
Number of Hedge Fund Holders: 184
Micron Technology, Inc. (NASDAQ:MU) is benefiting from surging demand for high-bandwidth memory (HBM) and continued investment in AI data-center infrastructure. The company delivered record fiscal 2026 results, with full-year revenue up 256% to $133.19 billion.
Net income surged to $84.97 billion from $8.54 billion in fiscal 2025, reflecting the AI boom’s growing contribution to its business. Does Micron have an economic moat?
The impressive results were not only as a result of AI-related demand but also due to stronger pricing and improving profit margins across the memory business. One of the company’s most important growth drivers is high-bandwidth memory, or HBM, which enables high data-transfer rates and greater memory bandwidth.
Expanding AI data centers provide another important growth opportunity for Micron Technology, Inc. (NASDAQ:MU) as companies invest in servers, AI accelerators, and memory. The cloud memory business generated $16.28 billion in revenue, while its core data-center business generated $18.00 billion in Q4 2026. Explore Micron Technologies stock valuation here.
Wall Street has also grown increasingly optimistic about Micron Technology, Inc. (NASDAQ:MU)’s prospects. On October 7, D.A. Davidson raised its price target by $900 to $3000 after the stock rallied more than 200% in 2026. According to the research firm, AI has transformed the company into a durable growth business to justify the new multiple.
1. Dell Technologies Inc. (DELL)
Year-to-Date Gain: 286.38%
Number of Hedge Fund Holders: 77
Dell Technologies Inc. (NYSE:DELL) has emerged as one of the best performing AI stocks, surging 286% year to date. The company supplies servers, storage systems, networking solutions, and integrated infrastructure needed to develop, train, and deploy AI models. Will the impressive run continue?
The server business has emerged as a key growth engine, with revenue up 100% in the second quarter to $16.4 billion. It ended the quarter with a record $95 billion in AI server backlog, asserting significant demand for AI infrastructure products. Reflecting this momentum, management raised its full-year AI-optimized server revenue outlook to $74 billion, approximately three times the level generated in the previous year.
Dell Technologies Inc. (NYSE:DELL)’s financial performance has also strengthened as its AI business expands. Total revenue increased 58% year over year in the second quarter, while diluted earnings per share surged 203% to $7.04. The results underscore the company’s ability to translate growing demand for AI infrastructure into substantial revenue and earnings growth.
Wall Street analysts remain optimistic about Dell’s long-term prospects. On October 6, Mizuho raised the stock’s price target to $650 from $600 and reiterated an Outperform rating. Likewise, TD Cowen raised its price target to $500 while maintaining a Hold rating, impressed by the company’s strong demand from cloud providers.
Dell Technologies Inc. (NYSE:DELL) is one of the best performing AI infrastructure companies as its AI server business is already generating substantial revenue, its order backlog is expanding, and management has raised its financial outlook. Explore how Dell is riding the AI boom.
While we acknowledge the potential of DELL as an investment, we believe certain AI stocks offer greater upside potential and carry less downside risk. If you’re looking for an extremely undervalued AI stock that also stands to benefit significantly from Trump-era tariffs and the onshoring trend, see our free report on the best short-term AI stock.
Click to continue reading and see the expanded list of the 10 Best Performing AI Stocks in 2026.
Disclosure: None. This article was originally published at Insider Monkey.