Many growth investors are drawn to the tech sector, hoping to find the next big profit opportunity that could make them millionaires. While stories like Nvidia’s success circulate, there are also many examples of failures, such as Snap and BlackBerry.
To spot potential winners and steer clear of failures, investors should look at companies with distinctive business strategies, first-mover edges, and reasonable valuations. Three stocks that meet these criteria are Nebius (NASDAQ:NBIS), Symbotic (NASDAQ:SYM), and Strategy (NASDAQ:MSTR). They could be on track to create substantial wealth over the next ten years.
Nebius, which used to be known as Yandex, once operated Russia’s leading search engine. However, after facing sanctions, it sold its Russian assets, relocated to the Netherlands, and rebranded as a provider of cloud-based AI infrastructure services.
Under its new name, Nebius installs powerful AI servers in data centers, offering computing resources to companies that prefer not to maintain their own servers. Its data centers are based in the U.S. and Europe, and the company also melds managed software services into tailored AI solutions for markets like data training, education technology, automation, and robotics.
Analysts project a staggering 274% compound annual growth rate (CAGR) for Nebius’s revenue from 2025 to 2027. They also anticipate that the company’s earnings before interest, taxes, depreciation, and amortization (EBITDA) will turn positive in 2026 and more than triple in 2027. This growth is expected to be fueled by collaborations with major tech players like Microsoft and Meta.
With a valuation of $28.1 billion, Nebius seems undervalued at just 18 times its adjusted EBITDA for this year. As the AI market continues to grow, there’s a chance for it to see higher valuations and, consequently, greater profits.
Symbotic develops fully autonomous robots designed for warehouse operations, specifically for managing pallets and cases. For instance, its major customer, Walmart (NASDAQ:WMT), claims that a $50 million investment in one of Symbotic’s modules could yield $250 million in savings over 25 years.
A significant chunk of Symbotic’s revenue comes from a long-term agreement to automate all of Walmart’s U.S. distribution centers through 2034. To broaden its market appeal, the company is also securing contracts with other retailers such as Target and Albertsons.
Analysts believe that Symbotic’s revenue and adjusted EBITDA will grow at CAGR rates of 26% and 68%, respectively, from fiscal 2025 to 2027. Currently valued at $6.1 billion, the company appears to be a bargain at 12 times its projected adjusted EBITDA for next year.
As businesses ramp up automation and expand their operations, there’s potential for significant profits in the coming years. Symbotic could also acquire smaller AI and robotics companies to enhance its automation service offerings.
Strategy came onto the scene as MicroStrategy, a slow-growth analytics software firm. However, in 2020, it made a notable shift toward accumulating Bitcoin (Cryptocurrency: BTC). As of now, the company holds 709,715 Bitcoins valued at $62.8 billion—more than its corporate value of $60.3 billion.
This makes it seem undervalued when considering its Bitcoin holdings. Essentially, investors can access a slow-growth software business for free. In 2024, the company rolled out a new 21/21 plan—aimed at $21 billion in equity issuance and $21 billion in debt issuance—to finance an additional $42 billion in Bitcoin purchases by 2027. It appears that the company is funneling all its efforts into Bitcoin as its legacy software business looks limited in growth.
As the largest corporate investor in Bitcoin, Strategy could prove to be a solid long-term investment if you believe that the top cryptocurrency will rise significantly in the coming years. Michael Saylor, co-founder of Strategy, commented on Bitcoin’s potential, suggesting its value could increase from around $90,000 today to an astonishing $21 million by 2045. If that occurs, Strategy might yield millionaire-level returns for its most patient investors.
Before investing in Nebius Group stock, it’s important to consider the following:
Motley Fool’s analyst team has pinpointed their top ten stocks to buy right now—and Nebius Group isn’t one of them. These ten stocks are believed to have impressive return potential over the next several years.
For instance, if you had put $1,000 into Netflix stocks back when it was recommended on December 17, 2004, it would now be worth $470,587.* And for Nvidia, if you had invested $1,000 back on April 15, 2005, your investment would have grown to $1,091,605.*
It’s worth mentioning that Motley Fool’s average return is 930%, notably outperforming the S&P 500’s 192% over the same period. Clearly, there’s value in joining a community like this, which is designed by and for retail investors.
