Updated on November 2025
🤖 Best AI Shares to Buy in 2025: High-Potential Top Picks You Shouldn’t Miss
Artificial Intelligence (AI) isn’t just a buzzword anymore—it’s shaping how businesses make decisions, how people work, and even how stock markets behave. In 2025, AI-focused companies are leading one of the strongest global investment themes, and Indian investors are becoming more curious about where to put their money.
If you’ve been tracking tech stocks, you already know that AI is the new electricity—powering everything from chips and data centers to fintech apps and automation platforms. But not every company riding the AI wave will sustain long-term growth. This post breaks down the top AI-related stocks with real-world potential, based on fundamentals, innovation, and scalability.
💹 2025 Market Update: AI Stocks Are Powering the Next Tech Boom
The AI sector has seen a massive rebound this year. Chipmakers, software firms, and cloud service providers have become the backbone of global digital transformation. According to analysts, the AI industry is expected to cross $400 billion in market size by 2027, and investors are positioning early to capture that upside.
From a personal standpoint, it feels like 2025 is the year where AI stocks separated the hype from reality. Companies with tangible AI applications—not just fancy press releases—are now being rewarded by the market.
Here are some of the top-performing AI-linked stocks in 2025:
NVIDIA (NASDAQ: NVDA): Still the king of AI chips. After crossing $1200 this year, NVIDIA continues to dominate GPU demand, powering AI models and data centers across the world.
Palantir Technologies (NYSE: PLTR): Known for its AI-driven data analytics, Palantir’s growing government contracts and enterprise solutions are fueling optimism for its next growth phase.
Alphabet Inc. (NASDAQ: GOOGL): With Google DeepMind and Gemini AI, Alphabet is doubling down on generative AI integration across search and cloud.
Microsoft (NASDAQ: MSFT): Its partnership with OpenAI (the team behind ChatGPT) continues to set new standards for AI-enabled productivity tools and enterprise solutions.
Synopsys (NASDAQ: SNPS): A hidden gem for many Indian investors—this semiconductor design company is quietly enabling the AI chip revolution from behind the scenes.
📊 Why These Stocks Stand Out in 2025
⚙️ Real Revenue Growth: Unlike smaller speculative AI tokens or startups, these companies are reporting actual AI-driven revenue streams.
🧠 Continuous Innovation: They’re not relying on hype—they’re integrating AI into operations, services, and new product ecosystems.
🌍 Global Demand: AI isn’t limited to the U.S. market—data centers, autonomous systems, and smart cities worldwide are fueling multi-year demand.
💵 Institutional Confidence: Big investors like BlackRock and Fidelity have increased exposure to AI portfolios, showing strong long-term faith.
🔮 2030 Outlook: The Future of AI Investments
By 2030, AI is expected to influence nearly every listed tech company in some capacity—but the real winners will be those with data dominance, cloud infrastructure, and chip leadership. Analysts project that AI-driven revenues could account for 20–25% of global corporate earnings by then.
For Indian investors, global AI stocks like NVIDIA or Microsoft can be accessed through international mutual funds or platforms offering fractional shares. Locally, companies such as Tata Elxsi, Persistent Systems, and KPIT Technologies are also riding the AI wave with automation and data engineering projects.
Personally, I’d say this decade’s best wealth stories will likely come from investors who held onto strong AI names patiently, much like how early investors in Apple or Tesla were rewarded.
What is an IPO stock?
To transition into a public entity, a private company engages one or more investment banks to manage the IPO process. In a standard underwriting agreement, the chosen underwriter accepts the responsibility of acquiring all shares released during the IPO before they are offered to the public, maintaining the stipulated IPO price. Often, to guarantee that the shares from the new IPO are widely distributed, a collective of underwriters, referred to as a syndicate, shares the risks associated with the offering.
Underwriters serve as a bridge between the issuing company and potential investors while also collaborating with the company to ensure compliance with regulatory conditions. In particular, underwriters must complete the filing of a registration statement with the Securities and Exchange Commission, which includes a comprehensive prospectus outlining the company’s financial status, business strategy, and future growth prospects.
Subsequently, IPO experts reach out to a broad array of investment entities—including mutual funds, pension plans, foundations, and insurance corporations—to gauge interest in the shares. The level of interest indicated by these substantial institutional investors aids underwriters in setting the initial public offering price and determining the launch date.
Ultimately, on the scheduled IPO day, the company officially enters the public market as its stock becomes accessible to everyday investors, trading on prominent stock exchanges like NASDAQ or the New York Stock Exchange.
The IPO process
The process of an initial public offering enables a company to secure funds from public investors, which can be utilized for enhancing operations and accelerating growth. Furthermore, IPOs provide a chance for early investors and founders to realize profits, as there is typically a premium on shares for existing private investors.
To transition into a public entity, a private company engages one or more investment banks to manage the IPO process. In a standard underwriting agreement, the chosen underwriter accepts the responsibility of acquiring all shares released during the IPO before they are offered to the public, maintaining the stipulated IPO price. Often, to guarantee that the shares from the new IPO are widely distributed, a collective of underwriters, referred to as a syndicate, shares the risks associated with the offering.
Underwriters serve as a bridge between the issuing company and potential investors while also collaborating with the company to ensure compliance with regulatory conditions. In particular, underwriters must complete the filing of a registration statement with the Securities and Exchange Commission, which includes a comprehensive prospectus outlining the company’s financial status, business strategy, and future growth prospects.
Subsequently, IPO experts reach out to a broad array of investment entities—including mutual funds, pension plans, foundations, and insurance corporations—to gauge interest in the shares. The level of interest indicated by these substantial institutional investors aids underwriters in setting the initial public offering price and determining the launch date.
Ultimately, on the scheduled IPO day, the company officially enters the public market as its stock becomes accessible to everyday investors, trading on prominent stock exchanges like NASDAQ or the New York Stock Exchange.
How to invest in an IPO?
Gaining access to an IPO before it begins trading can be challenging. However, should you decide to take the chance, follow these four steps:
Step 1: Research
Step 2: Choose your broker
Investing in an IPO involves more than simply ordering a set number of shares. Initially, it's necessary to establish a brokerage account that facilitates IPO trading. After this, it’s important to verify that you satisfy the eligibility criteria for IPO participation, which may include maintaining a certain account balance or conducting a specified quantity of trades within a defined period.
For instance, TD Ameritrade stipulates that clients must either maintain an account balance of no less than $250,000 or complete at least 30 trades in the previous three months.
Nonetheless, having access through your broker and qualifying does not guarantee that you will acquire shares at the initial offering price, as individual investors typically miss the opportunity to purchase as soon as the IPO stock begins trading.
Step 3: Request shares
Step 4: Place the order
IPO Alternatives
Although individual investors are gaining access to IPOs, it is still relatively challenging to get involved. However, there are other ways to profit from newly public shares, including:
Direct Listing
Special purpose acquisition company (SPAC)
A shell company known as a special purpose acquisition company is created to gather capital via an initial public offering with the intent of purchasing an established business. At the time of its IPO, the SPAC does not engage in any business activities and does not have a specific acquisition target in mind. The sole significant asset it possesses is the capital generated from the IPO.
Frequently referred to as “blank check companies,” SPACs provide very limited details to both institutional and retail investors prior to their investment. They are usually initiated by sponsors or investors who are experts in particular industries and engage in transactions within those sectors.
The capital obtained through the IPO is placed into an interest-bearing trust account, which is exclusively utilized to fund the acquisition or to return money to investors if the SPAC is liquidated, should the acquisition not be finalized within a two-year timeframe.
IPO ETFs
IPO ETFs contain a diversified group of companies that have recently come to the public markets and may present a safer alternative to investing in a single IPO because IPO ETFs can reduce risk by building a portfolio spread across different asset classes. However, if you are motivated by the hype and short-term demand of a single IPO, IPO ETFs may not be right for you. Instead, IPO ETFs typically offer better long-term investment prospects.
IPOs carry more risk than investing in blue chip stocks or established public companies. Because IPO stocks are companies that do not yet have a long-term track record in the market, investors are making decisions based on more unknown factors, potentially leading to confusion between popular demand and intrinsic value. For this reason, you should research and analyze any company disclosures before proceeding.
Are IPO stocks good investments?
In addition, the price of newly issued stocks often fluctuates wildly on the first trading days, so it is wise to be cautious when the first-day rush and price surge are too high. Truly valuable companies will remain so over the long term.
Also, the investor may have to overpay for his stake because the company will attempt to raise funds by selling at a premium price. Therefore, from a value investing perspective, it is better to wait for a disruption in the business (or the economy) that will cause the price to fall so investors can buy the shares at a discount.
Ultimately, buying an IPO is more speculation than investing. If you think the stock is a durable investment and you plan to hold it for a long time, consider waiting a few weeks or months after the buying momentum has stabilized and the price has reached equilibrium.
Pros and cons of IPOs for investors
Like any investment, IPOs also have distinct benefits and risks.
Pros
Attractive share price: If you are lucky and get a chance to be a part of a much-anticipated IPO, you can buy shares at the offer price, which is usually discounted to ensure a sale;
Potential for a hefty payout:If you are lucky and get a chance to be a part of a much-anticipated IPO, you can buy shares at the offer price, which is usually discounted to ensure a sale
Cons
Hardcore eligibility requirements:
Most individual investors will not meet the criteria to purchase shares before the IPO begins trading on the open market;
High volatility:
IPOs can be volatile investments, as share prices can fluctuate wildly once they go public. There is also a strong possibility that you will overpay for your shares.
Underperformers:
Historically, most IPOs underperform market benchmarks.
Where to Buy Pre-IPO Stocks
Investing in pre-IPO shares is becoming increasingly attractive to US investors who want to invest in promising companies before they go public. Unlike traditional stock market investments, pre-IPO shares are typically available to accredited investors through private markets, making access more exclusive but potentially lucrative.
One of the most popular ways to buy pre-IPO shares in the United States is through equity crowdfunding platforms such as EquityZen, Forge Global, and SharesPost. These platforms connect investors with private company shareholders, often employees or early supporters, who want to sell their equity ahead of the IPO. Investors can browse available opportunities, review company profiles, and participate in offers with varying minimum investment amounts.
Another way is through venture capital and private equity funds, although these are typically reserved for high-net-worth individuals or institutional investors. Some brokerages offer access to pre-IPO stocks through special investment vehicles or partnerships with startups. Additionally, platforms like SeedInvest and StartEngine offer access to early-stage private companies that may later move toward an IPO.
It’s important to note that pre-IPO investing carries more risk than buying public shares. Information is often limited, liquidity is low, and valuations can fluctuate significantly. Investors should carefully research each opportunity, understand the exit strategy, and consult a financial advisor before investing.
For those willing to take the risk, pre-IPO investing offers a chance to get in on the growth story of future market-leading stocks—before they debut on Wall Street.
Top Platforms to Buy Pre-IPO Stocks
EquityZen
One of the best-known platforms for pre-IPO investing, EquityZen connects accredited investors with private company shareholders. Minimum investments typically start at around $10,000, making it accessible to serious individual investors looking to invest in late-stage startups.
Forge is a large private marketplace where investors can buy and sell pre-IPO shares. It offers access to some of the most talked-about companies preparing for IPOs. With its extensive marketplace, investors can explore a variety of opportunities under one roof.
Linkto focuses on making it easier to access pre-IPO shares by allowing fractional investments, often starting at $5,000. It caters to investors who want low entry barriers while investing in high-growth companies.
SeedInvestThis platform offers investments in early-stage private companies that may later go public. Although it is not specifically pre-IPO, it gives retail investors the opportunity to support startups before they hit the stock market.
Known for equity crowdfunding, StartEngine gives both accredited and non-accredited investors the chance to participate in private company offerings. Some of these companies may eventually file for an IPO, providing early growth opportunities.
How to Buy Pre-IPO Stocks
Create an Account
Begin by registering on a reputable pre-IPO platform like EquityZen, Forge Global, or Linqto. To sign up, you’ll need to provide some basic information and adhere to the platform's regulations.
Verify Accreditation Status
To access most platforms, you need to be an accredited investor, which means you should fulfill the income or net worth criteria set by the SEC. However, platforms such as StartEngine permit non-accredited investors as well.
Browse Investment Opportunities
After your accreditation status has been verified, you can explore the available companies, along with their valuations, financial data (if accessible), and anticipated IPO dates. Each platform showcases current deals, allowing investors to evaluate their choices.
Commit Funds
Once you have selected a company, you will need to commit your investments, which are typically placed in escrow until the deal is finalized. The minimum amounts usually range from $5,000 to $25,000.
Review Legal Documents
It's crucial to thoroughly review the offering documents, risk statements, and shareholder agreements. Since pre-IPO shares are generally less liquid than publicly traded stocks, understanding the associated terms is vital.
Wait for Exit or IPO
Selling shares before an IPO differs from the public market, as it is not instantaneous. Investors typically hold their shares until the company conducts its IPO or a secondary market opportunity arises. Patience is essential in this type of investment.
❓ FAQs
Q1. Which AI stock is best for long-term holding in 2025?
NVIDIA and Microsoft remain the top choices for stability and innovation. For slightly higher risk with growth potential, Palantir and Synopsys are worth tracking.
Q2. Are there Indian AI stocks worth investing in?
Yes. Companies like Tata Elxsi, Persistent Systems, LTIMindtree, and Happiest Minds are leveraging AI in software automation and analytics—making them great long-term plays from India.
⚠️ Disclaimer
The content shared in this article is meant purely for educational and informational purposes. It does not constitute financial, investment, or professional advice. Stock markets carry risk, and past performance does not guarantee future results. Readers are encouraged to conduct their own research or consult a qualified financial advisor before making any investment decisions.
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