My 10 Top Stocks to Buy to Start the New Year Off Right

A new investing year is upon us, and if you have cash to deploy, now is a great time to get started. Here, I’ll highlight a few stocks that have one or more of the following characteristics: interesting valuations, recovery stories, solid earnings records, and leadership in growth markets. If you invest in just a few of these companies, you’ll be giving yourself diversification opportunities and the potential for long-term investing wins.

Let’s take a look at my top 10 stocks to buy as the new year begins.

Palantir Technology (NASDAQ: PLTR) Winning in the growing artificial intelligence (AI) market. The company’s AI-driven software platform, the Artificial Intelligence Platform (AIP), helps customers make better use of their data, which has spurred huge earnings growth over the past few quarters.

Palantir’s revenue was once driven by government customers; now it’s driven by government and government customers and Business customers. They are flocking to AIP because it allows them to apply AI to their needs easily and immediately. The company has seen high demand every quarter, and that’s likely to continue as the AI ​​craze rages on.

IonQ (NYSE: IONQ) is an innovator in the hot growth field of quantum computing. These computers offer the opportunity to solve problems that cannot be solved by traditional computers. While it may be several years before quantum computers are generally available, progress is being made — and IonQ is one of the most promising players.

IonQ uses trapped ions for calculations, a system that offers several key advantages, such as lower error rates and longer coherence times (which allows for more calculation time). The company currently sells access to its computers through major cloud service providers. We’re still in the early stages of this growth story, and now is an ideal time to buy and hold this exciting Quantum stock.

NVIDIA (NASDAQ: NVDA) He is a recognized winner in the field of artificial intelligence. The company sells the world’s most powerful artificial intelligence chips, and those chips and related products and services are generating record revenue. Demand continues to be high, and Nvidia plans to refresh its chips every year to maintain its leadership position.

The company predicts that AI infrastructure spending could reach $4 trillion by the end of the decade, and Nvidia is poised to benefit as data centers require the company’s systems to serve an increasing number of customers.

Even though Nvidia’s stock has soared 1,100% in three years, it still has room to rise as the AI ​​story unfolds.

Microsoft (NASDAQ:MSFT) Giving you access to high-growth areas like artificial intelligence and quantum computing – it has exposure to both and recently said it would increase investment in artificial intelligence to benefit from the “huge opportunities ahead”.

The tech giant also has you covered thanks to its long track record of profitable growth. Microsoft’s software, cloud business and other revenue streams should continue to drive earnings higher going forward.

With all of this in mind, the stock looks particularly cheap today, trading at 29 times forward earnings, down from 36 times just a few months ago.

costco (NASDAQ: COST) For example, this is a successful investment that’s up 87% over the past three years. But the stock has plenty of room to rise over time. I like Costco’s business model. Most of its profits come from membership fees, and its high renewal rates year after year give us reason to be optimistic about future profitability.

The company is also one that’s likely to do well in any economic climate, as it offers customers extremely cheap prices on essentials, from food to gas. Currently, the company is trading at rock-bottom levels compared to expected earnings estimates over the past year, providing investors with a solid buying opportunity.

carnivalof (NYSE: CCL) (NYSE:CUK) Things were not so bright in the early days of the pandemic, when the halt to sailings left the company losing money and racking up debt. But Carnival deftly turned things around, paying down debt, improving efficiency and returning to profitability.

In fact, Carnival’s revenue and adjusted net income have reached record levels in recent quarters, and bookings for future cruises have reached new highs, even at higher price levels. The company even had its investment-grade credit rating restored by Fitch Ratings.

So now looks like a good time to jump in and bet on Carnival stock for 2026 and beyond.

Target (NYSE:TGT) It has been going through difficult times in recent years, with various challenges hampering revenue growth. But next month, under new CEO Michael Fiddelke, the company may be on the verge of turning things around.

The retailer has made several moves – from layoffs to improving store service – that could help spur a recovery. It’s important to remember that Target has a number of multi-billion-dollar private brands that could drive growth — brands that generate higher profits for the company than national brands.

Target currently trades at 13 times forward earnings estimates, making it an excellent buy for the 2026 recovery.

intuitive surgery (NASDAQ: ISRG) is a world leader in robotic surgery. The company’s flagship da Vinci system is well-liked by doctors, which has helped it build a strong moat, or competitive advantage: Most surgeons trained on the da Vinci, so they may prefer to use this system with which they are familiar. It’s also important to note that after hospitals make a significant investment in a robotic system, they aim to amortize that investment so they don’t easily switch to another system.

Over time, Intuitive has continued to update the da Vinci System to provide surgeons with optimal performance—another reason to stick with the product. Finally, I like that the majority of Intuitive’s revenue comes from the sale of accessories used during surgeries, which amounts to recurring revenue for the company.

All of this makes this stock an excellent long-term hold.

Vertex Pharmaceuticals (NASDAQ: VRTX) is a global leader in cystic fibrosis (CF) treatments, generating billions of dollars in revenue with this product portfolio. This is likely to continue, as Vertex’s intellectual property protects its product portfolio until at least the late 2030s.

In addition to this, Vertex has launched two products outside this specialty area in the past few years: Casgevy for blood disorders and Journavx for pain management. Both have multibillion-dollar potential, and the company is making progress in launching these treatments.

Vertex has proven its ability to excel in CF and expand into other areas, and the company’s pipeline is strong – so this biotech can provide you with both safety and growth.

American Express (NYSE: AXP) The company has proven itself over the long term, delivering earnings growth, share price performance and passive income to shareholders. In the latest quarter, the established payments card company built on its solid track record, with revenue growing by double digits to a record of more than $18 billion. Earnings per share also grew by double digits.

The company is seeing growth among younger customers, which is a good sign for the future. Demand for the recently updated U.S. Consumer and Business Platinum Cards exceeded American Express’s expectations.

I particularly like the fact that by serving higher-income customers, American Express will be less vulnerable during economic downturns. All of this makes this stock a worthwhile hold in any market environment.

Before buying Palantir Technologies stock, consider the following factors:

this Motley Fool Stock Advisor The analytics team has just identified what they believe is 10 Best Stocks There are stocks for investors to buy now…and Palantir Technologies isn’t one of them. The 10 stocks selected could generate huge returns in the coming years.

consider when Netflix This list was created on December 17, 2004… If you invested $1,000 when we recommended, You will have $490,703!* or when NVIDIA This list was created on April 15, 2005… If you invested $1,000 when we recommended, You will have $1,157,689!*

Now, it’s worth noting stock advisor The total average return is 966% — outperformed the market compared to the S&P 500’s 194%. Don’t miss the latest top 10 list, available via stock advisorand join an investment community built by individual investors for individual investors.

See 10 stocks »

*Stock Advisor returned on January 5, 2026.

American Express is an advertising partner of Motley Fool Money. Adria Cimino works at American Express, Target and Vertex Pharmaceuticals. The Motley Fool owns and recommends Costco Wholesale, Intuitive Surgical, IonQ, Microsoft, Nvidia, Palantir Technologies, Target and Vertex Pharmaceuticals. The Motley Fool recommends Carnival Corp. and recommends the following options: long January 2026 Microsoft $395 calls and short January 2026 $405 Microsoft calls. The Motley Fool has a disclosure policy.

My 10 Best Stocks to Buy to Start the New Year Originally Posted by The Motley Fool