Historically, January has been considered a robust month for the stock market.
As we kick off 2026, it seems like a poor time to fall into a post-holiday slump. Traditionally, significant stocks have seen considerable gains at the year’s start.
Data from Citadel reveals that shares in the Nasdaq-100 have increased 70% of the time in January since 1985, averaging a return of 2.5%. That’s notably better than the overall market. As for the S&P500, it has a 62% chance of going up in January.
What accounts for this trend? A considerable factor is the influx of year-end payments in the market—think retirement funds and bonuses. January tends to be when the most capital is put to work.
If you’re looking to capitalize on this trend, tech stocks in the Nasdaq 100 could be a wise choice to get your portfolio off to a strong start in 2026.
With ongoing advancements in artificial intelligence, tech stocks have outperformed many others in recent quarters. This trend is likely to persist, making these stocks appealing for both short- and long-term investment.
Three companies that are currently on my radar include:
1. Nvidia
Picking against Nvidia (NVDA 0.05%) could be pretty challenging at this point, especially given the company’s key role in providing infrastructure for AI. Their graphics processing units (GPUs) are incredibly sought after for developing and running advanced AI systems, with data centers using hundreds at a time to tackle complex problems.
Nvidia estimates that tech companies are spending around $600 billion annually on AI infrastructure, with projections reaching $4 trillion by 2030. A significant portion of that is likely to end up with Nvidia. The company’s recent revenue exceeded $187 billion, and their latest quarterly earnings report highlighted $57 billion in revenue, with over $51 billion from data center sales.
Their Hopper and Blackwell chips have seen great success, and their upcoming Rubin chips should also attract attention this year. Plus, Nvidia seems poised to resume chip sales in China, as reports suggest they’ve received the necessary permissions from the U.S. government. This could significantly benefit their growth, particularly since sales in China accounted for 13% of their profits in 2024 before restrictions were enforced in 2025.
2. Netflix
Netflix (NFLX 1.19%) has over 300 million subscribers in more than 190 countries, ensuring its position as a top streaming service. Although the company stopped providing detailed subscriber counts last year, it continues to show impressive revenue growth.
| metric | Q3 2024 | Q4 2024 | Q1 2025 | Q2 2025 | Q3 2025 |
|---|---|---|---|---|---|
| revenue | $9.825 billion | $10.247 billion | $10.543 million | $11.079 million | $11.51 billion |
| Growth rate (YoY) | 15% | 16% | 12.5% | 15.9% | 17.2% |
| Earnings per share | $5.40 | $4.27 | $6.61 | $7.19 | $5.87 |
In their efforts to ramp up revenue, Netflix has adopted several innovative strategies. This includes curbing password sharing, offering tiered subscription plans, and adding live sports to their lineup. They’ve also developed their first-party ad technology stack, the Netflix Ads Suite, and anticipate doubling their ad revenue by 2025.
3. Metaplatform
Meta Platform (meta +1.08%) saw a successful 2025, even if the stock price doesn’t reflect that. The stock took a hit in the latter half of the year as investors expressed concerns regarding the company’s heavy investments in AI. Annual capital investment is expected to be between $70 billion and $72 billion, with plans to increase spending in 2026.
Despite criticism for spending on Reality Labs projects, Meta seems to be allocating funds effectively. Their Meta AI assistant enhances personalized content and ad delivery across popular social media platforms like Instagram, Facebook, and WhatsApp. The Llama language model also allows users to engage with AI personas, which is likely to enhance user interaction.
This focus is crucial for Meta, which boasts 3.4 billion daily active users. Their third-quarter revenue rose by 26% to $51.24 billion, attributing increased ad impressions by 14% and a 10% rise in average ad pricing.
