Artificial intelligence (AI) has been the driving force behind the stock market’s strong performance over the past three years. This is not surprising, as the massive investments in AI infrastructure and the productivity gains that this technology brings to users have led to improved revenues and profits for several companies.
The good news for investors is that AI will remain a catalyst for the stock market in 2026, according to Wall Street analysts. The average profit of companies in S&P500 hint are expected to grow by 15.5% in 2026, up from last year’s estimated growth of 13.2%. Therefore, don’t be surprised to see AI stocks post another year of robust gains in the new year.
That’s why we’re going to take a closer look at a few AI names that were in good shape on the stock market in 2025 but declined as the year progressed. These companies not only show healthy growth, but they can also be bought at attractive valuations. Let’s take a look at why these two companies could beat the market in 2026, as well as in the long term.
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CoreWeave(NASDAQ:CRWV) The stock made a strong debut on the stock market in March 2025. The company’s shares soared over the next three months, driven by accelerating growth and tremendous deal momentum. Leading cloud hyperscalers and AI companies have been lining up to buy data center capacity from CoreWeave, leading investors to buy the stock following its initial public offering (IPO).
However, the stock has seen a significant decline in recent months, falling 61% from its 52-week high set last year. CoreWeave’s high valuation, concerns about an AI bubble and the company’s huge capital investments weighed on the stock. But investors shouldn’t overlook the bigger picture.
CoreWeave operates data centers equipped with graphics processing units (GPUs), which are seeing high demand from customers looking to train and deploy AI models and applications in the cloud. Its data centers are specially designed for AI. Customers can rent computing power and data storage, and deploy managed software services using CoreWeave’s AI data centers.
What’s worth noting is that demand for CoreWeave’s AI infrastructure capacity is outpacing demand. This is evident from the fact that its revenue book grew 271% year-over-year in the third quarter of 2025 to $55.6 billion, outpacing its 134% increase in revenue. The staggering increase in CoreWeave’s backlog is the result of deals CoreWeave has signed with companies such as Metaplatforms and OpenAI.
Importantly, CoreWeave’s existing customers continue to purchase more capacity from the company, with one of the leading hyperscalers signing its sixth contract with the neocloud provider. Unsurprisingly, CoreWeave management noted during the October 2025 earnings conference call that it operates “in a highly supply-constrained environment, where demand for CoreWeave’s best-in-class AI cloud platform far exceeds available capacity.”
As a result, CoreWeave will bring more data center capacity online in 2026. It projects its 2026 capital spending will “far exceed that of 2025.” The aggressive increase in investments is expected to enable CoreWeave to convert its backlog into revenue at a faster rate, thereby accelerating its revenue growth.
Additionally, the stock’s decline in recent months means investors can now buy it at eight times sales price, a discount to the U.S. technology sector’s average sales multiple of 8.8. Buying the tech stock at this valuation is a no-brainer when you consider the speed of its growth, as well as its ability to maintain its exceptional growth rates for a long period of time to come.
If the market decides to reward CoreWeave’s tremendous growth with an appropriate multiple, it won’t be surprising to see its shares soar in 2026.
Jabil(NYSE:JBL) It may not be a household name in the tech industry, but the stock has made an impressive 58% over the past year. Jabil is a contract electronics manufacturer that provides design, engineering, manufacturing and supply chain management services to various industries such as automotive, cloud computing and data centers, consumer electronics, networking and others.
The stock’s impressive gains over the past year can be attributed to the growing demand for AI infrastructure. Jabil manufactures server components, such as racks, liquid cooling solutions and network switches, which are deployed in AI data centers, for hyperscalers. The rapid growth of the AI data center market explains why Jabil is experiencing healthy growth in this segment.
The company expects AI revenue to increase 35% in the current fiscal year 2026 (which ends in August 2026), to $12.1 billion. This is an improvement over the 25% growth in AI revenue that Jabil predicted before the start of the fiscal year. Jabil emphasizes that given its ability to design and deliver “fully integrated systems combining compute, networking, power distribution and advanced cooling, we are significantly reducing deployment times and reducing total cost for customers, precisely what is required as AI capability evolves.”
As hyperscalers and AI companies face a shortage of data center capacity, Jabil’s ability to help them quickly bring computing capabilities online is why its cloud infrastructure and AI business is thriving. Unsurprisingly, Jabil management says that AI is now its main growth driver, which should lead to improved revenue and margins as the year progresses.
All of this explains why analysts have become more optimistic about Jabil’s growth prospects.
Another important point to note is that Jabil is trading at an extremely attractive price, 20 times forecast earnings. This is a great discount for tech specialists Nasdaq-100 The index’s earnings multiple is 33. So, Jabil stock looks poised for bigger gains as the healthy double-digit earnings it is expected to post over the next three years could be rewarded with a higher multiple in the market.
Assuming Jabil trades at even 30 times earnings after a few years and reaches $15.37 earnings per share, its stock could climb to $461. That would be almost double its current share price. So, investors looking to buy a value stock capable of delivering tremendous growth would do well to consider Jabil now.
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Hard Chauhan has no position in any of the stocks mentioned. The Motley Fool has no position in any of the securities mentioned. The Motley Fool has a disclosure policy.
