If you're investing in tech stocks, you likely had a pretty good 2025. The tech sector is one of the better-performing sectors, and tech-focused exchange-traded funds are outperforming the S&P 500 by a significant margin.
It's no coincidence that of the top 10 most valuable companies in the world, nine are tech companies that operate squarely at the intersection of artificial intelligence (AI) and real-world execution. The artificial intelligence market size is expected to grow from $390.91 billion in 2025 to an incredible $3.5 trillion by 2033 -- a compound annual growth rate of 30.6%. So, if you want your portfolio to continue to perform well, investing in tech stocks at the forefront of AI development is the way to go.
Here are three that I'm currently watching, and I think this grouping is a strong bet for significant growth and profits through 2030.
Image source: Getty Images.
1. Nvidia
Semiconductor powerhouse Nvidia (NVDA +2.14%) is perhaps the most consequential AI company in the world, and that's why its stock has soared to more than a $4 trillion valuation in the last year. Nvidia makes graphics processing units (GPUs), which are ideally suited for parallel processing tasks that can be broken down and run across thousands of cores at the same time. Data centers bundle thousands of Nvidia GPUs to handle AI training and inference, making Nvidia's chips the current gold standard of AI architecture.
NASDAQ: NVDA
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Nvidia has seen massive growth, with revenue in the third quarter of fiscal 2026 (ended Oct. 26, 2025) jumping 62% from a year ago to $57 billion. And Nvidia believes that it will be at the center of further expansion, as it sees AI infrastructure being valued at $3 trillion to $4 trillion a year by the end of the decade.
"We've entered the virtuous cycle of AI," CEO Jensen Huang said in a recent earnings release. "The AI ecosystem is scaling fast -- with more new foundation model makers, more AI start-ups, across more industries, and in more countries. AI is going everywhere, doing everything, all at once."
2. ASML
If Huang is right about AI infrastructure growth -- and I think he is -- then another company that stands to benefit is the Dutch company ASML (ASML +2.45%). ASML makes machines that are vital to the fabrication of semiconductors designed by Nvidia and its competitors. ASML's machines create tiny circuits and components that are used by foundries to make chips.
And most importantly, ASML's machines are unique. ASML is the only company that has mastered extreme ultraviolet (EUV) system technology that uses mirrors instead of multiple lenses to focus beams of light to craft chip components. Because ASML's technology is more advanced than deep ultraviolet (DUV) technology, its machines are capable of completing tasks that aren't possible for DUV machines.
NASDAQ: ASML
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Revenue in the third quarter was 7.51 billion euros ($8.84 billion), up from 7.47 billion euros a year ago. However, the company's strong gross margin of 51.6% and net income of 2.12 billion euros show how lucrative this business is.
As the pace of semiconductor manufacturing continues increasing, ASML's EUV machines will remain in high demand.
3. Palantir Technologies
Palantir Technologies (PLTR +4.87%) is a divisive company, to be sure -- the data analytics company was best known as a government contractor with a state-of-the-art software system that is capable of gathering and analyzing information from thousands of data points, including satellites, to provide military commanders and intelligence agencies with real-time insights.
NASDAQ: PLTR
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However, other government agencies also use Palantir. Its biggest source of revenue is from the U.S. government. And one agency that's getting a lot of attention is Immigration and Customs Enforcement (ICE), which is using Palantir's platform to track undocumented immigrants for deportation. When CEO Alex Karp was asked about criticism of Palantir helping ICE, he responded: "We are sorry that our haters are disappointed, but there are many more quarters to be disappointed and we are working on that too."
Regardless of how you feel about the politics, there's no doubting that Palantir's revenue is growing exceptionally fast -- and not just from the U.S. government. Palantir's platform utilizes generative AI and has numerous commercial applications, and commercial growth is actually exceeding U.S. government growth these days. In the third quarter, Palantir recorded U.S. commercial revenue of $397 million, up 121% from a year ago; and U.S. government revenue of $486 million, up 52% from last year.
