Because the enters the second half of 2025 close to file highs, buyers wanting past the mainstream mega-cap names have a wealth of alternatives to diversify their portfolios with high-potential tech shares.
Supply: Investing.com
As such, listed here are 5 standout Nasdaq-listed gems—Cisco (NASDAQ:), Fortinet (NASDAQ:), Shopify (NASDAQ:), Monolithic Energy (NASDAQ:) Techniques, and Jabil Circuit (NYSE:)—poised for additional upside within the latter half of 2025. These corporations supply a mixture of innovation, undervaluation, and publicity to high-growth sectors like cybersecurity, e-commerce, AI, and networking.
Beneath, we discover why these shares are robust buys and the tailwinds driving their potential because the again half of the yr begins.
1. Cisco: Networking Large on the Fringe of Transformation
Cisco Techniques might not be the flashiest, however its 50% year-on-year achieve proves its endurance because it pivots towards software program and recurring income. The tech big is reinventing itself as a frontrunner in AI-driven networking and safety, drawing reward from analysts.
Supply: InvestingPro
Buyers are more and more drawn to Cisco’s stability, constant dividends, and talent to adapt—making it a “Purchase” name for these searching for each progress and resilience as tech markets evolve.
Buying and selling at a ahead P/E of round 17, Cisco is considerably undervalued in comparison with tech friends, providing each progress and worth. Its steady dividend yield (~2.5%) provides enchantment for income-focused buyers.
2. Fortinet: Cybersecurity Standout with Sturdy Development
Fortinet, a number one cybersecurity options supplier, is a standout as a consequence of its undervaluation and strong progress prospects. The corporate’s inventory hit a file excessive of $114.82 in February, with a formidable 67.9% achieve previously yr, but Investing.com’s AI-backed fashions counsel it stays undervalued with a ‘Honest Worth’ of $112.30, implying a 9.6% upside from latest ranges.
Supply: InvestingPro
This cybersecurity powerhouse stays a favourite as enterprises ramp up their digital defenses amid a surge in AI-driven threats and regulatory calls for. With its broad product suite and increasing service margins, Fortinet’s regular income progress and wholesome free money movement hold it firmly in “Sturdy Purchase” territory.
The remainder of the yr seems promising as organizations worldwide prioritize community safety, a tailwind that isn’t fading anytime quickly.
3. Shopify: E-Commerce Ecosystem Chief
Shopify is up a strong 70.5% over the past 12 months, using the wave of e-commerce enlargement and international service provider adoption.
Supply: InvestingPro
Buyers are drawn to the corporate’s nice monetary well being, double-digit income progress and its potential to monetize AI-powered instruments for retailers. Shopify’s worldwide energy, strong free money movement margins, and a “Purchase” analyst consensus spotlight its management within the e-commerce infrastructure house.
As digital retail continues to evolve, Shopify’s platform upgrades and strategic partnerships place it for additional upside within the second half. Buying and selling at a ahead P/E ratio decrease than its historic common, Shopify provides a compelling entry level for progress buyers.
4. Monolithic Energy Techniques: Powering the AI and Information Middle Increase
Monolithic Energy Techniques continues to outperform with a 26.7% return within the second quarter, fueled by its dominance in high-efficiency energy options and optimism about its AI and automotive publicity.
Supply: InvestingPro
Regardless of competitors from Nvidia (NASDAQ:), Monolithic’s specialised chips for power-efficient techniques are in excessive demand as information facilities and electrical automobiles scale. Its relentless innovation and margin enlargement are drawing institutional curiosity, and with secular developments in electrification and AI infrastructure, Monolithic Energy’s progress runway seems removed from exhausted as H2 2025 begins.
Additional, the corporate’s deal with R&D ensures it stays aggressive in next-generation applied sciences.
5. Jabil: Unsung Hero of Superior Manufacturing
Jabil is quietly surging, up an enormous 99.6% previously yr, because it leverages secular demand for superior manufacturing and {hardware} throughout a number of industries. Jabil’s diversified consumer base, from electronics to healthcare, and its agility in adopting AI-driven automation have set it aside.
Supply: InvestingPro
Analysts see extra upside forward as the corporate continues to win new contracts and increase its margin profile, making it a compelling “Sturdy Purchase” because the second half of 2025 kicks off.
Buying and selling at a ahead P/E ratio of ~20, Jabil is affordable relative to its progress prospects, with analysts forecasting 15% EPS progress for 2025 amid robust demand for its manufacturing experience in high-growth sectors like AI servers and electrical automobiles.
Conclusion
Every of those 5 tech gems is well-positioned for continued momentum into late 2025, backed by secular progress developments in cybersecurity, e-commerce, AI infrastructure, networking, and international manufacturing.
For buyers searching for tech publicity past the mega-caps, these shares present a compelling mix of innovation, monetary energy, and clear catalysts for additional upside.
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Disclosure: On the time of writing, I’m lengthy on the S&P 500, and the Nasdaq 100 through the SPDR® S&P 500 ETF (SPY), and the Invesco QQQ Belief ETF (QQQ). I’m additionally lengthy on the Invesco Prime QQQ ETF (QBIG), and Invesco S&P 500 Equal Weight ETF (RSP).
I often rebalance my portfolio of particular person shares and ETFs primarily based on ongoing threat evaluation of each the macroeconomic setting and corporations’ financials.
The views mentioned on this article are solely the opinion of the writer and shouldn’t be taken as funding recommendation.
Observe Jesse Cohen on X/Twitter @JesseCohenInv for extra inventory market evaluation and perception.
