Investors looking for serious upside should keep their eyes on companies delivering explosive revenue growth. While earnings can fluctuate, top-line momentum is often the clearest sign that a company is winning market share or tapping into a new megatrend.
Let's look at five tech stocks that are all growing their core revenue metrics by 25% or more and look well positioned to continue to see strong growth.
Palantir
Palantir Technologies (PLTR -2.46%) is becoming one of the best growth stories in all of artificial intelligence (AI). In the first quarter, it saw its revenue soar 39% to $883.9 million, marking its seventh straight quarter of accelerating revenue growth. The big driver continues to be its U.S. commercial business, which saw revenue surge 71% year over year to $255 million. However, it also saw strong momentum with its largest customer -- the U.S. government -- where revenue climbed 45%.
The company is benefiting from customers beginning to adopt its AI Platform (AIP), which helps make AI more actionable. Best of all, AIP isn't just for one type of problem or industry. The platform is already being used to help solve a wide variety of real-world problems across very distinct industries. Importantly, many customers are still in their very early stages of usage, and the company has a big growth opportunity just within its existing customer base.
The breadth of use cases for which AIP can be used gives Palantir a huge runway of growth still in front it. Ultimately, Palantir is trying to turn AIP into an AI operating system. If successful, the company could still see substantial growth.
SoundHound AI
If there is one company in hypergrowth mode, it's SoundHound AI (SOUN -1.94%). Last quarter, its revenue surged 151% year over year to $29.1 million, marking its sixth straight quarter of 50%+ growth. That type of growth suggests SoundHound's platform is starting to gain some serious traction.
The company's tech has already made solid inroads in the automotive industry, as carmakers look to replace big-tech partners with more customizable voice solutions. It's also gained a nice foothold in the restaurant space, where its technology is used to power voice-ordering systems. Meanwhile, its acquisition of Amelia last year gave SoundHound not only access to other important industry verticals but also advanced conversational intelligence to go along with its own "speech-to-meaning" and "deep meaning understanding" technology.
The Amelia acquisition is also part of the foundation for its next big opportunity: agentic AI. With the launch of Amelia 7.0, the company has introduced AI voice agents that operate independently to handle tasks. If SoundHound's technology can become the preferred interface for agentic AI across various industries, the company could remain in hypergrowth mode for quite some time.
AppLovin
AppLovin (APP -2.74%) isn't just growing its revenue, it's also printing money. In Q1, its revenue jumped 40% to $1.48 billion, while ad revenue soared 73% thanks to its AI-powered Axon 2 engine. But that's not all. Gross margins are also expanding, while its earnings and free cash flow have also been soaring.
The key to AppLovin's success has been its Axon 2 adtech engine, which optimizes ad targeting, bidding, and placement. The technology has helped the company take massive share in the mobile gaming market, where it thinks it can continue to grow 20% to 30% into the foreseeable future.
But AppLovin is not looking to stop with gaming apps. The company is now piloting its ad engine with web-based and e-commerce advertising, where it sees huge potential. If it can replicate its gaming app success in other areas, the stock has far more room to run.
GitLab
GitLab (GTLB -4.36%) continues to put up consistent 25%+ revenue growth, with Q1 revenue rising 27% year over year to $214.5 million. That marked its eighth straight quarter of top-line growth in the 25% to 40% range.
While some worry about the impact that AI will have on its business, GitLab is using AI to transform its business from a code repository into a full software-development life cycle platform. With the launch of GitLab 18, the company has released multiple new features, including its Duo Agent platform, which allows AI agents to help across the entire software-development lifecycle.
GitLab is now helping automate everything in the software development process, which is huge given that developers typically only spend about 20% of their time writing code.
With the company's platform adding a lot more value, don't be shocked if GitLab eventually looks to make the shift away from a seat-based model to one that is consumption-based. GitLab has positioned itself well in an AI world, and such a move would likely be a big revenue growth driver for the company.
Image source: Getty Images.
Toast
Toast (TOST -4.26%) is becoming a powerhouse in restaurant tech. Revenue from subscription and fintech solutions jumped 35% year over year in Q1, while total restaurant locations using Toast's platform hit 140,000 -- a 25% increase from a year ago.
Toast is more than just a payment processor. It's becoming the digital operating system for restaurants, offering tools for menu optimization, staffing, and even marketing. Its AI-driven ToastIQ and Sous Chef modules are helping restaurants make smarter decisions in real time, and it recently landed big enterprise wins with Applebee's and Topgolf. Toast is also expanding internationally, giving it even more room to grow.
Restaurants are under pressure to operate more efficiently, and Toast is increasingly the go-to platform. With its expanding footprint and growing AI capabilities, this looks like a name with a long runway ahead.
