Nvidia stock is likely to be a top performer again in 2025 as the company ramps up shipments of its new Blackwell graphics processing units ( GPU s) for data centers. They are potentially the most powerful chips in the world for developing AI models, and demand for them far exceeds supply.

Artificial intelligence (AI) was a market-driving theme last year, with AI stocks helping the S&P 500, the Nasdaq, and the Dow Jones Industrial Average each soar in the double digits. Companies selling AI tools and services saw earnings climb -- and investors piled into these players.

Today, history offers us reason to be excited about 2025, suggesting that the S&P 500 is likely to soar as it's done in previous periods. But even if it doesn't, by taking the steps I've mentioned, your portfolio still could advance this year -- and most importantly, over the long run.

The market is coming off two superb years, 2023 and 2024, when the S&P 500 climbed over 53% in total, mainly thanks to tech and artificial intelligence (AI) stocks. While 2025 has started off with some turbulence,

Semiconductor stocks are the biggest S&P 500 gainers in Thursday trading, fueled by upbeat commentary from Taiwan Semiconductor Manufacturing Co. on the state of the artificial-intelligence market. Chip-equipment stocks KLA Corp.

Over a third of the S&P 500's value is now concentrated in the "Mag 7" — a handful of huge companies that sell AI technology.

The S&P 500 posted its biggest comeback since September as Wall Street shrugged off some weakness in stocks linked to the artificial intelligence trade. The market benchmark rose 0.2% after trading down 0.

Returning 25% in 2024, the S&P 500 delivered a record-breaking year for stock market investors. A resilient global economy coupled with interest rate cuts by the Federal Reserve continues to fuel optimism toward a strong outlook.

The S&P 500 added 0.6% on Monday, Jan. 6, led by a surge in semiconductor stocks as the first full week of the new year got underway.

Advances in AI are causing a paradigm shift across a variety ... Going back 50 years, the S&P 500 has generated positive returns 78% of the time. Furthermore, in years following back-to-back ...

The S&P 500's recent growth, driven by AI optimism and productivity gains, contrasts extremely extended valuations, creating a brittle market outlook for 2025. We foresee two scenarios: continued momentum leading to 10% to 20% positive returns, or a quick, significant downturn if mega cap earnings begin to change direction.

The Nasdaq and S&P 500 fell Monday morning as a continued selloff in tech stocks extended losses sparked by stronger-than-expected job reports.