Tech Stock Picks for 2025
Investment firm William Blair’s top picks for 2025 include tech firms Broadcom [AVGO], Workday [WDAY], Cloudflare [NET], Pure Storage [PSTG] and monday.com [MNDY], Seeking Alpha has detailed, all chosen for their strong growth potential. Broadcom stands out due to the integration of its VMware acquisition, which analysts say is “ahead of plan”; Workday is highlighted for its achievable fiscal 2026 guidance despite a recent slowdown; lastly, Pure Storage is praised for its innovative DirectFlash Module technology and a pivotal hyperscaler win.
Big Chip Showdown Gets Underway
Arm [ARM] and Qualcomm [QCOM] are in court in Delaware this week over licensing rights connected to Qualcomm’s $1.4bn acquisition of Nuvia in 2021. Arm alleges Qualcomm failed to secure consent for transferring Nuvia’s license, leading to unauthorized use of Arm’s intellectual property, according to the Financial Times. Qualcomm counters that its existing license sufficed. The trial will feature testimony from CEOs Rene Haas and Cristiano Amon of Arm and Qualcomm, respectively, and could reshape licensing norms in the semiconductor industry.
NDX: Hello PLTR, Goodbye SMCI
Palantir Technologies [PLTR], MicroStrategy [MSTR] and Axon Enterprise [AXON] will join the Nasdaq-100 Index, replacing Illumina [ILMN], Super Micro Computer [SMCI] and Moderna [MRNA]. The changes will kick in before trading begins on December 23. The Nasdaq-100 comprises the largest non-financial companies listed on the Nasdaq Stock Exchange. This reshuffling reflects the evolving dynamics of market capitalizations and sector strengths within the index.
Can Workday Sustain Growth in the S&P 500?
Workday shares jumped 9% on Friday after the S&P Dow Jones Indexes announced that the cloud software firm would join the S&P 500 before the start of trading on December 23, replacing Amentum Holdings [AMTM]. However, this is not the only recent change for the company, which on December 11 announced its upcoming Illuminate product containing AI features aimed at streamlining HR feedback analysis. OPTO examines whether WDAY is set to sink or swim on the S&P 500.
Can Pony Growth Convince Investors?
China’s Pony.ai [PONY] aims to expand its robotaxi fleet from 250 to 1,000 vehicles by 2025, CEO James Peng told the Financial Times. Peng expects lower production costs, advancements in autonomous driving technology, and greater access to first-tier cities like Beijing and Shanghai to drive growth. These developments could help Pony.ai achieve positive margins for its robotaxi business as soon as next year. Investors remain to be convinced, however: Pony, like its peers, is lossmaking.
Wedbush Ups Tesla Target Despite Travails
Tesla [TSLA] has said it will challenge a Delaware judge’s recent confirmation of a decision to block CEO Elon Musk’s historic pay package. If these efforts fail once again, according to the Financial Times, Tesla could be looking at a $100bn bill for tax and accounting charges. Notwithstanding this, Wedbush this week raised its Tesla base case price target to $515 and bull case target to $650, with analyst Dan Ives saying that Trump 2.0 will be a “total game changer” for the automaker’s autonomous driving and artificial intelligence (AI) efforts.
Barron’s Names Alibaba as a 2025 Value Play
The financial newspaper cited Alibaba’s [BABA] attractive valuation despite ongoing concerns about China’s economy and potential trade tensions under a Trump administration. Alibaba trades at under $88, with a forward P/E of 10x, significantly below Amazon’s [AMZN] 44x, Seeking Alpha reported. Additionally, its $50bn cash reserve reinforces its position as a value play. Last month, OPTO highlighted some reasons to be optimistic about BABA stock and Chinese e-commerce more broadly.
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