With the information technology sector booming, Apple (APPL), Nvidia (NVDA), and Microsoft (MSFT) are clearly sitting at the head of the table. Among them, Nvidia has clearly established its dominance. Amid the ongoing AI boom, the chipmaker has benefitted tremendously from increased demand.
Alternatively, Microsoft is looking at a dominant year ahead. Its ongoing investment into both AI and cloud-based computing puts it in a positive position to outperform expectations in the coming year. But what should investors expect from Apple? Specifically, what do analysts project from the three stocks heading into 2025?
Source: CNET
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Analysts Project Apple, Nvidia, & Microsoft to Dominate 2025: But Who Leads the Pack?
The last year has seen companies like Nvidia and Microsoft dominate headlines. Indeed, both companies are in prime position to benefit from emerging technologies and shifting customer interest. Yet neither can seemingly compete with the technological giant that is Apple (APPL). Well, at least they can at the moment.
The manufacturer and developer is worth more than any other S&P 500 company at $3.58 trillion. That is thanks in large part to the 23% leap that took place throughout 2024. But can that continue? Well, analysts have answered, as they have recently broken down how Apple is likely to compare with both Nvidia and Microsoft in 2025.
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A recent report from Investors Business Daily analysts expects things to change notably next year. Specifically, they project Microsoft to lead the pack with a market value target of $3.71 trillion. Thereafter, Nvidia will be the second most valuable S&P 500 company with a $3.68 trillion value. Finally, Apple would come in third, with a $3.66 trillion value.
The analysts expect a marginal 2.1% increase over the next 12 months for the iPhone developer. That would pale in comparison to what they expect from its two notable competitors.
Those same experts expect 17% growth from Microsoft in the next year. Specifically, they project it to be driven by continued developments in both the AI and cloud-based computing sector, Azure. Lastly, they predict Nvidia to likely underwhelm next year. They note that, despite 190% gains in 2024, it will only grow another 4.4% over the next 12 months.