Tech Stocks Surge: 3 Must-Watch Names with Huge Upside

UPDATE: The tech sector is continuing to drive market momentum as 2025 nears its end, with the Technology Select Sector SPDR Fund surging nearly 25% year-to-date (YTD). This growth outpaces other SPDR sector funds, highlighting a vibrant tech landscape. However, as gains concentrate among the Magnificent Seven tech giants, investors are urged to consider emerging companies with substantial upside potential.

Three stocks stand out for their promising trajectories: HubSpot Inc., Nebius Group N.V., and Atlassian Corp. PLC. Here’s why these names could be game-changers in your portfolio.

1. HubSpot: Strong Fundamentals Amid AI Fears

Despite a troubling 47% drop in shares YTD, HubSpot is positioned for recovery. The customer relationship management (CRM) giant has seen its stock tumble from highs earlier in the year, driven by investor concerns over its readiness for the AI revolution. However, the company’s latest earnings reveal a robust 18.4% growth in revenue year-over-year (YOY), thanks in part to the successful rollout of its AI-driven Data Hub.

Analysts are optimistic; HubSpot recently raised its 2025 guidance and announced a share buyback worth $375 million. With a growing customer base and improving margins, investors might find HUBS shares enticing, with potential upside exceeding 65%.

2. Nebius: Rapid Expansion Fuels Expectations

In stark contrast, Nebius Group has more than tripled in value YTD, driven by rapid growth and a significant partnership with Meta Platforms Inc.. The Amsterdam-based AI infrastructure firm reported a staggering 355% increase in net revenue YOY, yet still faced widening losses in its latest quarterly report.

Despite the setbacks, nine out of eleven analysts maintain a bullish outlook on NBIS stock, projecting a near-term upside of 50%. The company is actively expanding, indicating its commitment to meeting investor expectations.

3. Atlassian: Optimism Amid Modest Decline

Atlassian has experienced a more moderate decline of 37% YTD, yet recent results suggest a robust transition to AI. The company reported a 21% revenue growth, largely driven by a 26% increase in cloud sales. Notably, Atlassian AI boasts 3.5 million monthly active users, reflecting significant user engagement.

Despite potential short-term challenges from ongoing migrations, analysts project a strong long-term outlook for Atlassian, with potential gains of nearly 56% for investors willing to capitalize on its AI initiatives.

What’s Next?

As the tech sector continues to evolve, these three stocks—HubSpot, Nebius, and Atlassian—emerge as compelling options for investors. The current market conditions, characterized by rapid technological advancements and shifting investor sentiment, create a unique opportunity for those looking to diversify beyond the major tech players.

Stay tuned for further updates as these companies navigate the dynamic landscape of the tech market. Investors should act swiftly; these stocks could be the key to unlocking substantial returns as we approach the end of the year.