Bigtech stocks predicted to see more upside in coming months
Big tech stocks are tipped to see a strong rally in the second half of 2025, according to stockbroker Wedbush, which cites accelerating investment in artificial intelligence across both enterprise and government sectors.
Wedbush analysts forecasts more than 10% market gain in the coming months, led by key names such as Nvidia, Microsoft, Palantir, Meta, and Tesla.
Wedbush, the West Coast-based stockbroker, estimates some $2 trillion in AI-related spending will flow into the sector over the next three years, with chipmakers and software providers likely to benefit.
Microsoft is expected to get a boost from cloud-based AI monetisation, while Nvidia’s dominance in LLM chip infrastructure is expected to remain a core driver, with its GPUs described as “the new oil and gold” for the industry, with demand still outpacing supply.
“We are still in the very early innings of this AI Revolution buildout,” the broker said in a note.
The report also pointed to rising AI adoption in productivity tools, advertising, customer service and hardware, noting that so-called 'hyperscalers' (i.e. large-scale cloud and data-centre operators like Amazon's AWS, Microsoft Azure, Alphabet's GCP, and Alibaba Cloud) are projected to spend a staggering $325 billion in AI capex this year alone.
