One of the most tried-and-true strategies in investing is to buy great companies and hold them through thick and thin rather than selling winning stocks to chase after the next shiny thing. In his famous investing book, One Up on Wall Street, legendary investor Peter Lynch said, "Selling your winners and holding your losers is like cutting the flowers and watering the weeds."
That forms the basis of my investing philosophy. Moreover, I'd argue that some of the world's largest companies, when measured by market cap, will continue to generate market-beating returns in the years to come. Indeed, I predict that these five stocks, which have been winning investments in recent years, will join the $5 trillion club in 2026.
Image source: Nvidia.
No. 1: Nvidia
Nvidia (NVDA 0.44%) has had a remarkable run over the past few years, becoming a founding member of the $5 trillion club in the process. In fact, the artificial intelligence (AI) chipmaker is still the only stock to ever achieve this lofty milestone, though it has since ceded its membership. Its success was driven by continuing demand for its graphics processing units (GPUs), which have played a crucial role in the AI revolution.
The company's Vera Rubin chip appears poised to continue that trend, offering a 90% reduction in AI inference costs while using 75% fewer GPUs compared to its predecessor. Nvidia has visibility into $500 billion in revenue over the six quarters beginning Oct. 25, suggesting its growth will continue to accelerate.
Nvidia's market cap currently stands just below $4.6 trillion (as of this writing), meaning it will only need to add about 9% to surpass $5 trillion. Wall Street's average price target of $252 suggests potential gains of 35% over the coming year, which would push Nvidia's value to $6 trillion.
And at 25 times next year's expected earnings, Nvidia's price is right.
NASDAQ: NVDA
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No. 2 and 3: Alphabet
Alphabet (GOOGL 0.83%) (GOOG 0.85%) earns both the No. 2 and No. 3 spots on the list by virtue of its two share classes. With a current market cap just shy of $4 trillion, the Google parent also appears the most likely to follow Nvidia and perhaps surpass it.
With the Justice Department's antitrust case in the rearview mirror, Alphabet has several catalysts that could propel the stock higher. Concerns about competition for Google Search have largely evaporated, as the company has integrated AI results directly in its primary search pages. Furthermore, its Gemini large language model (LLM), fueled by its homegrown Tensor Processing Units (TPUs), is being hailed as among the best in the industry. This could help drive demand for Google Cloud, which grew 34% year over year in the third quarter.
It will only take 25% gains to drive Alphabet's value to $5 trillion. Pivotal Research analyst Jeff Wlodarczak suggests Alphabet will likely hit that mark this year. "Google appears to be the best positioned of its peers to monetize AI investment internally and externally," he wrote.
Despite the multipronged opportunity, both classes of Alphabet stock are trading for a reasonable 25 times next year's expected earnings.
NASDAQ: GOOGL
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4. Apple
After topping the charts for years, investors lost confidence in Apple (AAPL 1.04%), but that could be a costly mistake. With a market cap of roughly $3.8 trillion, the iPhone maker is just 32% away from $5 trillion.
The iPhone 17 has experienced strong adoption, with a resurgence of demand in China. Apple's lack of AI progress has come into focus, but the company is moving forward. It recently penned a deal to use Google's Gemini to underpin its own AI models, which will backstop a Siri upgrade later this year. It also sets the stage for Apple to offer (and monetize) personalized AI offerings to users of its 2.4 billion active iOS devices and 1.5 billion active iPhones.
Wedbush analyst Dan Ives recently raised his price target on Apple stock to $350, which would push its market cap above $5 trillion. Ives cites the Gemini tie-up, the Siri makeover, Apple's massive installed base, and strong iPhone demand as the basis for his bullish stance.
And Apple stock is reasonably priced at 28 times next year's expected earnings.
NASDAQ: AAPL
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5. Microsoft
Microsoft (MSFT +0.77%) has long been a household name, but this isn't your grandfather's Microsoft.
What sets the company apart is the strength of its product portfolio, which includes Microsoft Azure Cloud, Copilot, Microsoft 365 (formerly Office), Windows, Teams, LinkedIn, Xbox, Minecraft, and a host of enterprise security products. The company has been hard at work integrating AI across every facet of its business. What's even more remarkable is that the vast majority of its offerings continues to grow. Its Azure Cloud growth is notable, climbing 40% year over year for its fiscal 2026 Q1 (ended Sept. 30). This, combined with its substantial recurring revenue and heavy investment in AI, will drive future growth.
With a market cap of more than $3.4 trillion, it would take gains of roughly 45% to reach $5 trillion. Jefferies analyst Brent Thill has a buy rating and a $675 price target on Microsoft, which would be just enough to do the trick. Thill said Microsoft is best positioned among large-cap tech stocks to profit from the AI boom in 2026.
And at less than 25 times next year's expected sales, Microsoft is attractively priced.
