Top tech stocks to watch in 2026
Tech stocks are expected to offer plenty of trading and investing opportunities in 2026. This guide aims to help you understand key trends in the tech sector, as well as how to pick the right tech stocks to trade and invest in, while managing risks effectively.
Important to know
This article is for informational purposes only and does not constitute investment or trading advice. Please ensure you understand the risks and consider your individual circumstances before trading.
Key takeaways
AI leadership: Nvidia and Microsoft are spearheading the AI revolution, with record growth in data center and cloud revenues.
Semiconductor dominance: TSMC remains the backbone of global chip supply, powering everything from smartphones to AI servers.
E-commerce and cloud scale: Amazon continues to expand AWS and advertising, reinforcing its dual growth engines.
Singapore relevance: ST Engineering anchors the list with strong defense and smart city contracts, offering local investors GEO exposure.
Convenient access: All five stocks are available for CFD trading and investing via IG Singapore’s platforms.
Why trade and invest in tech stocks in 2026
Tech companies continue to drive innovation worldwide, shaping how we work, communicate, and live. In 2026, tech stocks remain a popular choice for traders and investors due to their potential for strong price movements and market influence. Whether you’re new to trading/ investing or experienced, tech stocks offer diverse opportunities, from well-established giants to fast-growing disruptors.
Trading and investing in tech stocks can help you capitalise on the sector’s growth without owning the shares directly, especially through platforms like IG Singapore that offer CFD trading and investing options.
Big tech trends driving 2026
Major trends that are expected to shape the tech stock market in 2026 include:
- Artificial intelligence (AI) infrastructure build‑out: Hyperscale demand for GPUs and cloud services will continue to accelerate.
- Semiconductor innovation: Advanced nodes (3nm, 2nm) are becoming increasingly critical for AI and high‑performance computing.
- Digital defense (cybersecurity): Governments will continue to invest heavily in aerospace, defense, and smart city technologies.
- E-commerce resilience: Boost in consumer spending and digital advertising continue to support online retailing and web-based services growth.
- 5G expansion: Faster mobile networks will keep creating new possibilities in connectivity, benefiting telecom and tech hardware stocks.
These trends influence stock prices and create trading/ investing opportunities driven by innovation and changing market dynamics.
Did you know?
US big tech companies are projected to spend over US $1 trillion on AI infrastructure by 20281, up from an estimated US$593 billion in 2025, led by companies like Alphabet and Amazon.
How to choose the right tech stocks to trade and invest in
Choosing tech stocks to trade and invest in involves several key considerations:
- Liquidity: Opt for stocks with high trading volumes to ensure you can enter and exit positions easily.
- Volatility: Stocks with moderate to high price movement provide opportunities for profit but come with higher risk.
- Industry position: Look for companies leading their market niche or offering innovative products.
- Earnings and growth: Positive earnings reports and growth potential can signal strong momentum.
- News catalysts: Product launches, regulatory approvals, or market trends can trigger price moves.
By focusing on these factors, you can identify tech stocks that fit your trading/ investing style and goals.
Risks and challenges when trading and investing in tech stocks
While tech stocks can offer exciting opportunities, they come with risks:
- Market volatility: Tech stocks can be more volatile than other sectors, meaning prices can change quickly.
- Regulatory changes: New laws or government actions may impact tech companies’ operations and valuations.
- Competition: Rapid innovation means companies must constantly adapt or risk losing market share.
- Leverage risks: Trading CFDs often involves leverage, which can amplify losses as well as gains.
Understanding these risks helps you manage your trades and investments wisely so as to avoid common pitfalls.
Top 5 tech stocks to watch
Company name
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Market capitalisation*
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Market cap change in 2025*
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Available for CFD trading with IG?
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Available for investing with IG Markets Singapore app?
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Singapore Technologies (ST) Engineering
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S$26.1 billion
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+80%
|
✔
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✔
|
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S$5.9 trillion
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+35%
|
✔
|
✔
|
|
S$4.7 trillion
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+15%
|
✔
|
✔
|
|
S$3.2 trillion
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+6%
|
✔
|
✔
|
Taiwan Semiconductor Manufacturing Company (TSMC)
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S$2.0 trillion
|
+51%
|
✔
|
✔
|
*As of December 2025
1. ST Engineering (SGX: S63)
Sub-sector: Aerospace, defence, and engineering
Market cap: S$26.1 billion
Latest earnings: ST Engineering reported group revenue of S$9.1 billion for the first nine months of 2025 (9M2025), up 9% year-on-year (YoY). In Q3 2025 alone, revenue rose 13% YoY to S$3.1 billion, with Commercial Aerospace (+22%), Defence & Public Security (+5%), and Urban Solutions & Satcom (+15%) all posting higher sales.
Financial position: ST Engineering completed divestments of LeeBoy, CityCab, and SPTel, generating S$594 million in cash proceeds and after-tax gains of S$258 million. These moves improved liquidity and sharpened focus on strategic growth areas.
Dividends: An interim dividend of 4.0 Singapore cents per share for Q3 2025 was paid on 5 December 2025. The company’s board also proposed a final dividend of 6.0 Singapore cents per share and a special dividend of 5.0 Singapore cents per share (linked to divestment proceeds), subject to shareholder approval at the 2026 AGM. If approved, total FY2025 dividends will amount to 23.0 Singapore cents per share.
Share price performance: Shares surged 80% year-to-date (YTD), outperforming the Straits Times Index (+22.3%). Valuation stood at a price-to-earnings (P/E) ratio of 34.1 and price-to-book (P/B) ratio of 9.60.
2. Nvidia (NASDAQ: NVDA)
Sub-sector: Semiconductors, AI hardware
Market cap: US$4.6 trillion (S$5.9 trillion)
Latest earnings: Nvidia Q3 FY2026 revenue hit US$57.0 billion, up 62% YoY, with data center sales contributing US$51.2 billion. Net income rose to US$29.4 billion for FY2025, cementing Nvidia’s dominance in AI infrastructure. Gaming revenue stabilized at US$6.1 billion, while automotive chips grew 22% YoY.
Financial position: Nvidia generated record free cash flow of US$18.7 billion in FY2025, ending the year with US$28 billion in cash. R&D spending exceeded US$10 billion, reflecting aggressive investment in next-gen GPUs and networking.
Share price performance: Shares rallied ~35% in 2025, making Nvidia the world’s most valuable company by market capitalisation. Valuation is rich at P/E ~50, but investors continue to price in exponential AI demand.
Business outlook: CNBC reported that Wall Street analysts lifted their forecasts after Nvidia’s Q3 FY2026 results, projecting ~65% Q4 growth and ~40–50% FY2026 growth. CEO Jensen Huang said in its Q3 earnings release that the company has ‘entered the virtuous cycle of AI’.
3. Microsoft (NASDAQ: MSFT)
Sub-sector: Cloud computing, software
Market cap: US$3.6 trillion (S$4.7 trillion)
Latest earnings: Microsoft delivered a strong start to FY2026, with revenue of US$77.7 billion, up 18% YoY (17% in constant currency). Operating income rose 24% to US$38.0 billion, while GAAP net income increased 12% to US$27.7 billion. On a non-GAAP basis (excluding OpenAI investment impacts), net income was US$30.8 billion, up 22% YoY. Diluted EPS came in at US$3.72 GAAP (+13%) and US$4.13 non-GAAP (+23%).
Financial position: Microsoft ended Q1 FY2026 with US$102 billion in cash, cash equivalents, and short-term investments, reflecting strong liquidity. Operating cash flow was US$45.1 billion for the quarter. The company returned US$10.7 billion to shareholders via dividends and buybacks.
Share price performance: Shares rose over 15% in 2025, with valuation at P/E 34.7 and P/B 10.0, around the stock’s ten-year averages.
Business outlook: CEO Satya Nadella emphasised Microsoft’s ‘planet-scale cloud and AI factory’ and the broad diffusion of Copilot across productivity domains. Management guided for continued strength in cloud and AI services, with capital and talent investments to meet massive demand. Analysts expect double-digit revenue growth in FY2026, led by Azure and AI workloads.
4. Amazon (NASDAQ: AMZN)
Sub-sector: E-commerce, cloud services
Market cap: US$2.5 trillion (S$3.2 trillion)
Latest earnings: Amazon reported net sales of US$170 billion for Q3 2025, up 12% YoY. Net income rose sharply to US$12.4 billion, compared with US$9.9 billion in Q3 2024. Diluted earnings per share (EPS) was US$1.21, versus US$0.94 a year ago. Operating income increased to US$15.3 billion, up from US$11.2 billion in the prior year.
Financial position: Amazon ended Q3 2025 with US$85 billion in cash and marketable securities, supported by operating cash flow growth of 22% YoY. Capital expenditures continued to focus on expanding AWS data centers, logistics automation, and AI-driven advertising platforms.
Share price performance: Shares gained 6% YTD, a smaller increase than other tech companies on this list, although still rebounding from 2024 lows. Valuation stood at P/E of 32.9 times and P/B of 6.7 times.
Business outlook: For Q4 2025, Amazon expects net sales between US$195 billion and US$201 billion, representing growth of 8–12% YoY. Operating income is projected between US$18 billion and US$22 billion, compared with US$13.2 billion in Q4 2024. Management highlighted strong holiday demand, continued AWS expansion, and advertising as key growth drivers heading into FY2026.
5. Taiwan Semiconductor Manufacturing Company (TPE: 2330, NYSE: TSM)
Sub-sector: Semiconductors, foundry services
Market cap: US$1.6 trillion (S$2.0 trillion)
Latest earnings: TSMC reported Q3 2025 revenue of NT$1.06 trillion (US$33.1 billion), up 34.8% YoY and 16.8% sequentially. Net income was NT$468.5 billion (US$14.6 billion), up 49.3% YoY, with diluted EPS of NT$18.03 (US$2.92 per ADR). Gross margin expanded to 59.5%, operating margin reached 50.6%, and net margin was 44.1%, reflecting strong demand for advanced nodes.
Financial position: TSMC ended Q3 with NT$1.2 trillion (US$38.2 billion) in cash and short-term investments, maintaining a strong balance sheet. Capex for 2025 is guided at US$32 billion, focused on 3nm and 2nm capacity expansion.
Share price performance: Shares rose 51% YTD, outperforming peers. Valuation stood at a P/E of 31.5 times and a P/B of 9.9 times, reflecting earnings optimism and potential asset undervaluation.
Business outlook: For Q4 2025, TSMC guided revenue between US$32.2 billion to US$33.4 billion, with gross margin of 59% to 61% and operating margin of 49% to 51%. Management highlighted strong AI and HPC demand as key drivers, alongside continued smartphone seasonality.
How to trade and invest in tech stocks with IG Singapore
CFD share trading
- Create a live or demo account
- Find an opportunity among one of our 10,000+ stocks with our stock screener
- Click ‘buy’ to go long or ‘sell’ to short
- Set your position size
- Take steps to manage your risk
- Open and monitor your position
Investing
- Open an account via IG Markets Singapore app
- Search for tech stocks on the app
- Choose the shares you want to buy
- Determine how many shares you want to purchase
- Place your order
- Monitor your investment and collect any dividends
FAQs about tech stocks
Can I trade global tech stocks with IG Singapore?
Yes. IG Singapore offers CFDs on major global tech companies from markets including the US, Europe, and Asia, as well as Singapore-listed tech stocks.
How much capital do I need to trade tech CFDs with IG Singapore?
CFDs use leverage, so you only need to deposit a percentage of the total trade value (called margin). This reduces upfront capital requirements but also increases the potential for losses.
What are the risks of trading tech stocks via CFDs with IG Singapore?
Tech stocks can experience high volatility, and CFD leverage can magnify gains and losses. Effective risk management, such as stop-loss orders, is essential.
Do I receive dividends when trading tech stock CFDs with IG Singapore?
You will not receive shareholder dividends directly, but IG Singapore adjusts your account to reflect dividend payments, credited or debited depending on whether you hold a long or short position.
How often is IG Singapore’s ‘top tech stocks to watch’ list updated?
The list is updated regularly to reflect current market trends, company performance, and emerging trading opportunities in the tech sector.
Footnotes
1 Dell'Oro Group, August 2024
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Chapters
- Why trade and invest in tech stocks in 2025
- Big tech trends shaping the stock market in 2025
- How to choose the right tech stocks to trade and invest in
- Risks and challenges when trading and investing in tech stocks
- Top 5 tech stocks to watch in 2025
- How to trade and invest in tech stocks with IG Singapore
- FAQs about tech stocks
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