What Is the Nasdaq-100?

By Matthew DiLallo – Updated Apr 17, 2025 at 12:06 AM EST

Key Points

Nasdaq-100, tracking 100 large non-financial stocks, is ideal for growth-focused investing.
Over a decade, Nasdaq-100's performance topped S&P 500, aiding superior investment returns.
Investors can use Invesco QQQ ETF to match Nasdaq-100's gains, tracking similar stock allocations.

The Nasdaq-100 is a stock market index comprised of the 100 largest non-financial companies listed on the Nasdaq Stock Exchange. Nasdaq-listed stocks tend to be fast-growing companies. As such, this index tracks 100 of the largest growth stocks.

Here's a closer look at the Nasdaq-100, why it's important, and how investors use this index.

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A digital board displaying stock market indexes and what they're trading for. — Image source: Getty Images.

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About the Author

Matt DiLallo has been a contributing Motley Fool stock market analyst specializing in covering dividend-paying companies, particularly in the energy and REIT sectors, since 2012. He also covers pre-IPO companies, ETFs, and other investing topics. He holds an MBA from Liberty University.

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Suzanne Frey, an executive at Alphabet, is a member of The Motley Fool’s board of directors. Randi Zuckerberg, a former director of market development and spokeswoman for Facebook and sister to Meta Platforms CEO Mark Zuckerberg, is a member of The Motley Fool's board of directors. John Mackey, former CEO of Whole Foods Market, an Amazon subsidiary, is a member of The Motley Fool’s board of directors. Matt DiLallo has positions in Alphabet, Amazon, Apple, Broadcom, Meta Platforms, and Tesla and has the following options: short May 2025 $275 calls on Apple. The Motley Fool has positions in and recommends Alphabet, Amazon, Apple, Costco Wholesale, Meta Platforms, Microsoft, Nvidia, and Tesla. The Motley Fool recommends Broadcom and recommends the following options: long January 2026 $395 calls on Microsoft and short January 2026 $405 calls on Microsoft. The Motley Fool has a disclosure policy.