Nasdaq Set to Soar by 2026: Top Stocks to Buy Under $250
The technology sector is showing resilience, and analysts are optimistic about its potential leading into 2026. Recent data indicates that the Nasdaq Composite index gained approximately 20% in 2025, despite initial struggles earlier in the year. Historical trends suggest that bull markets lasting three years can extend to an average of eight years. Current positive momentum in tech stocks may set the stage for continued growth.
Investing in Nasdaq Stocks Under $250
If you’re planning to invest with a budget of $250, consider two promising stocks: Nvidia and Applied Digital. Both companies are well-positioned for future growth in the technology sector.
Nvidia: A Leader in AI Technology
Nvidia’s prominence in the artificial intelligence (AI) chip market shows no signs of waning. The company’s shares have surged 34% in 2025, currently priced around $180. Persistent demand for Nvidia’s data center graphics processing units (GPUs) exceeds supply.
- Current Price: $176.96
- Market Cap: $4,301 billion
- Gross Margin: 70.05%
- Dividend Yield: 0.02%
According to CEO Jensen Huang, the demand for Nvidia’s products continues to soar. The company has a backlog of $307 billion in orders, hinting at potential growth ahead. Analysts project a 58% increase in earnings for fiscal year 2027, anticipating a rise to $7.43 per share. This growth trajectory could enhance Nvidia’s valuation, making it a compelling option for investors.
Applied Digital: Expanding Data Center Capacity
Applied Digital has seen remarkable stock growth, increasing 211% this year, with a current price around $27.10. The company specializes in building data centers tailored for AI and high-performance computing.
- Market Cap: $8 billion
- Gross Margin: 14.46%
Applied Digital is expanding its reach with new data center complexes in North Dakota. These facilities are already leased for 15 years, promising substantial future revenue. Expected data center capacity is set to rise to 700 megawatts (MW) by 2027, with an ambitious funding plan indicating significant growth potential.
Investment Outlook
With both Nvidia and Applied Digital poised for growth, investing in these Nasdaq stocks under $250 could be advantageous. As the AI sector continues to expand, these companies are likely to benefit from heightened demand and rising valuations.
