2026 US Stock Recommendations: 8 Technology Stocks Worth Buying on Dips

Over the past three years, the global tech industry has experienced unprecedented shake-ups. From the 2022 crypto winter and 90% declines in the NFT market, to the 2023 AI revolution, the volatility in the tech sector has far exceeded expectations. But it is this adjustment that has brought many high-quality tech companies’ valuations back to reasonable levels. For investors looking to position in U.S. stocks, now is the critical moment.

New Opportunities in the Post-AI Era: Why Now Is a Good Time to Invest in U.S. Tech Stocks

By the end of 2024, the landscape of the tech industry has largely stabilized. AI is no longer a fantasy but a practical productivity tool. Meanwhile, leading tech giants that have withstood market tests are showing more stable fundamentals. Market valuations for these companies are becoming more rational—no longer inflated by virtual concepts, but based on real cash flow and growth potential.

Many professional analysts recommending U.S. stocks point out that current tech stock valuations are more attractive compared to historical averages. Especially those top-tier companies that have achieved sustained profitability and possess competitive moats are more suitable for medium- to long-term investors.

Chip and Cloud Computing Sectors: Growth Logic of NVIDIA and Broadcom

NVIDIA (NVDA): The Absolute Leader in AI Chips

Since the surge of ChatGPT, NVIDIA has become the core beneficiary in the AI supply chain. Whether it’s training AI models for OpenAI, Google, or Baidu, NVIDIA’s GPUs are standard equipment. More importantly, the company is not just a chip supplier; it is actively building an AI cloud service ecosystem, collaborating deeply with tech giants like Microsoft, Oracle, and Google.

From a market perspective, the demand for AI computing power continues to accelerate. Enterprise AI application penetration is still under 5%, indicating a long-term growth runway for NVIDIA. Industry analysis projects that by 2026, the global AI chip market will keep expanding, with NVIDIA maintaining an unmatched market share.

Broadcom (AVGO): An Underappreciated Semiconductor Infrastructure Provider

Compared to NVIDIA’s spotlight, Broadcom’s story is often overlooked. Yet, it is a key supplier of chips for cloud computing, IoT, and 5G infrastructure. As global data centers expand and 5G applications deepen, Broadcom’s business demand only increases.

Most attractive is that Broadcom offers over 3% dividend yield—a rarity among tech stocks. Additionally, the company’s dividend growth rate is nearly 30% over the past five years, meaning investors’ actual yields are continuously rising. For those seeking stable cash flow, Broadcom is an essential pick among U.S. stocks.

Consumer and Service Giants: Apple, Amazon, and Adobe’s Defensive Strength

Apple (AAPL): The Fortress of the Consumer Ecosystem

Warren Buffett’s Berkshire Hathaway held over 26% of its portfolio in Apple as of November 2024, making it its largest single holding. This is no coincidence—Apple has over 2.2 billion active devices worldwide, creating a massive user base that continuously generates revenue through services.

Starting in 2025, Apple’s service revenue growth will become a new engine for expansion. Compared to hardware sales, services have higher repeat purchase rates and stickiness. Users’ dependence on the Apple ecosystem has reached unprecedented levels.

Amazon (AMZN): Bottom-Fishing in a Recession

Despite macroeconomic uncertainties, Amazon remains resilient. Its e-commerce business stays stable, while advertising and cloud computing show remarkable growth. Notably, its advertising business is steadily gaining market share from Google and Meta—representing a classic share-shift opportunity.

Currently, Amazon’s P/E ratio is relatively low, making it a rare opportunity for value investors to deploy capital.

Adobe (ADBE): Monopoly in Creative Software

Adobe’s Photoshop, Acrobat, and other products have become essential tools for creative professionals worldwide. Whether you’re aware of Adobe by name or not, you likely use its products daily. This dominant position ensures strong pricing power.

Recent earnings show that Adobe’s Document Cloud has become a new growth driver. Even amid economic downturns, demand for creative work remains robust, providing Adobe with stable revenue streams.

Streaming and Payment Enablement: Netflix, Google, and PayPal’s Recovery Signals

Netflix (NFLX): Turning Point in the Advertising Model

After experiencing user losses in 2022-2023, Netflix’s data in 2024 indicates it has overcome its toughest period. By introducing an ad-supported tier and raising subscription prices, Netflix optimized its revenue structure—raising the lifetime value (LTV) per user.

Most importantly, consumer demand for video content has not waned; it’s actually increasing. With a more complete content library and mature ad business, Netflix is poised for a new growth cycle.

Google (GOOG): Resilience of the Search Empire

The emergence of ChatGPT once raised fears that Google’s search dominance might be challenged. However, according to Statcounter’s latest data, as of December 2024, Google still controls over 89.9% of global search traffic—market fears have been overstated.

In the short term, conversational AI is unlikely to change consumer search habits significantly. Google’s AI R&D capabilities are strong, though commercialization has been cautious. From a valuation perspective, Google’s P/E ratio remains relatively low, reflecting market pessimism. For long-term investors, this presents a safe entry point.

PayPal (PYPL): Valuation Traps Turned Value Opportunities

In 2022, PayPal’s stock fell over 80% from its peak, yet its business fundamentals remained intact. This is a classic valuation trap—market pessimism about the company’s prospects is overdone.

In 2024, PayPal reported 435 million active accounts—an unmatched user base. The company also announced that 75% of free cash flow would be used for share buybacks, which is crucial for boosting EPS and shareholder value. From a valuation standpoint, PayPal’s expected P/E of 21x is at a five-year low, making it an attractive opportunity.

How to Make Precise Selections: Strategies for Beginners Investing in U.S. Stocks

For novice investors, the key to choosing U.S. stocks is not chasing short-term gains but understanding company fundamentals. The eight stocks above each have their own characteristics:

• Chip Sector (NVIDIA, Broadcom): Suitable for investors optimistic about industry trends; high growth potential but more volatile.
• Consumer/Service Sector (Apple, Amazon, Adobe): Suitable for those seeking stable growth; these companies have deep moats and strong resilience.
• Entertainment/Payments (Netflix, Google, PayPal): Suitable for investors interested in new opportunities; these firms are at critical stages of business model optimization.

Summary

After market cleansing and valuation adjustments, current tech stocks are no longer “gambling” but “investing.” Whether you are a beginner or a seasoned investor, these eight companies offer suitable opportunities.

The key to U.S. stock investing is aligning knowledge with action—understand fundamentals, believe in long-term logic, and be patient. When the market re-recognizes the true value of these companies, investors’ patience will be rewarded.