Analysts see further upside in certain companies despite growing investor caution.
These companies stand out with strong growth, AI exposure, and upside potential.
The closed at 26,274.13 points on Monday, May 11, reaching a new record high. The index has gained around 15% this month, making it its strongest monthly performance since April 2020 after a strong tech earnings season.
According to analysts at the Schwab Center for Financial Research, the tech sector reported earnings growth of 46.3% last quarter. Among major companies, Alphabet jumped nearly 34% in April, adding about $1.17 trillion to its market value and becoming the world’s second most valuable company. Meta and Microsoft also said their AI spending in 2026 will almost double compared to 2025, showing that investment in AI infrastructure continues to grow quickly.
Economic data also supported market confidence. The US economy added 115,000 jobs in April, almost twice the market estimate, while the unemployment rate stayed at 4.3%. These numbers helped ease recession concerns and supported investor interest in growth stocks.
Dan Ives Sees the NASDAQ Composite at 30,000 as These Stocks Offer Upside Potential
This has raised hopes that the rally in the NASDAQ Composite could continue. Dan Ives said on CNBC on Monday that the index could reach 30,000 points over the next year, which would mean another 14% gain from current levels.
He based his view on the latest earnings season.
“These results support the bullish case for AI. Demand for chips is far higher than supply. We are still in the early stages of the AI revolution,” he said.
Still, many tech stocks now look expensive, and investing when markets are at record highs requires extra caution.
For investors looking for exposure to the NASDAQ Composite without heavily relying on mega-cap stocks already trading at record highs, the Investing.com screener can help find Nasdaq-listed companies that still show strong upside potential based on valuation models and analyst estimates.
We therefore searched for Nasdaq stocks meeting the following criteria:
Market capitalization greater than $1 billion
Index: Nasdaq Composite
Sector: Technology
Upside potential of over 40% according to InvestingPro Fair Value (which synthesizes several recognized valuation models)
Upside potential of more than 40% based on the average analyst target
InvestingPro Financial Health Score above 2.5
Growth Health Score above 2.5
This research has allowed us to identify 7 opportunities:
In particular, these Nasdaq stocks offer potential upside between 40.4% and 76.7% based on InvestingPro Fair Value estimates, while analysts see possible gains ranging from 46.2% to 79.6%.
Among these stocks are:
1. Waystar Holding (NASDAQ:) is a leading cloud platform for payment and revenue cycle management in the US healthcare industry. The sector still faces major administrative inefficiencies, and the company is benefiting from growing AI adoption. Around 40% of Waystar’s revenue now comes from AI-powered workflows, and these solutions also made up 40% of new contracts signed in Q1 2026, showing rising demand.
The company’s Q1 results, released in late April, highlighted this growth. Revenue rose 22% to $314 million, adjusted EBITDA margin reached 43%, and non-GAAP earnings per share came in at $0.42, above expectations of $0.39.
2. Global-E Online Ltd (NASDAQ:) helps global brands expand internationally by managing cross-border e-commerce operations. Its platform supports companies such as Victoria’s Secret and True Classic by handling localization, currencies, logistics, and regulatory compliance across more than 200 markets.
The company benefits from growing global e-commerce activity and strong network effects. Global-E will report its next quarterly earnings on May 19. Analysts expect earnings per share of $0.18 for the quarter, while the company’s 2026 guidance points to annual revenue above $1 billion, representing growth of nearly 29%.
However, all other stocks on the list show higher potential according to Fair Value!
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Disclaimer: This article is written for informational purposes only; it does not constitute a solicitation, offer, advice, counsel or recommendation to invest as such, it is not intended to incentivize the purchase of assets in any way. I would like to remind you that any type of asset is evaluated from multiple perspectives and is highly risky and therefore, any investment decision and the associated risk remain with the investor.
