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MATTHEW GALGANI

Nvidia, Palantir And Google Fuel This List Of 23 'Perfect' Stocks

As President Donald Trump unveils Stargate AI, artificial intelligence powerhouses like Nvidia, Palantir Technologies, Broadcom, Arista Networks, Alphabet and Meta Platforms lead this stock screener showcasing 23 "perfect" stocks.

Netflix, which just reported blowout earnings, has also streamed onto the list. IPO Leader Marex, as well as young IPOs Credo Tech, Duolingo, Sezzle, Tuya and Olo are also on the list.

Nvidia, Palantir, Google stock and the other names all sport the highest-possible 99 Composite Rating. But a stellar rating is just one reason the stocks make this list.

Quantum Computing Stocks Pop As Investors Mull Trump's 'Stargate' Project

Palantir, Nvidia Among Top Stocks In Top Groups

In addition to a 99 Composite Rating, all the names on this stock screen hail from the top-ranked industry groups — a factor worth noting because winning stocks tend to come from the top-ranked groups among the 197 industries that IBD tracks. This screen highlights the Top 20 industries.

Palantir stock, for example, hails from the Enterprise Software industry, which ranks No. 15. The Fabless Semiconductor group, which included Nvidia, Broadcom and Rambus, ranks No. 19.

Fighting back against recent drops below its 50-day moving average, Nvidia spiked farther above that line Wednesday, gaining over 4%. Peers Broadcom and Rambus also rose.

Netflix, which represents the No. 18-ranked Leisure-Movies & Related industry group, gave back some of its earlier post-earnings gains, but still gained over 9% with its relative strength line soaring.

In the Internet-Content group, Meta Platforms is building a new base, while Alphabet remains extended.

Refine Your Stock Picks With This Stock Screener. Here's How.

Stock Screener Highlights Top-Rated Industry Leaders

Company Symbol Comp Rating Ind Group Rank EPS Rating RS Rating SMR Rating A/D Rating
Argan AGX 99 9 98 98 B A
Arista Networks ANET 99 14 98 94 A A-
AppLovin APP 99 17 83 99 A B
AppFolio APPF 99 17 82 86 A B
Broadcom AVGO 99 19 96 95 A B+
Credo Tech CRDO 99 5 81 99 B A
Ceragon Networks CRNT 99 4 81 96 B A
Descartes Systems DSGX 99 17 98 84 A B-
Duolingo DUOL 99 6 81 93 B B+
Great Lakes Dredge GLDD 99 9 81 89 B A-
Alphabet GOOGL 99 12 97 85 A B+
HubSpot HUBS 99 17 99 89 A B+
Meta Platforms META 99 12 96 86 A B
Marex MRX 99 20 99 95 A A-
Netflix NFLX 99 18 98 91 A B+
Nvidia NVDA 99 19 99 92 A D
Olo OLO 99 11 93 94 B A
Palantir Technologies PLTR 99 15 97 99 A B+
Quanta Services PWR 99 9 96 91 A A-
Rambus RMBS 99 19 99 84 A B
Sezzle SEZL 99 20 83 99 A C+
Shopify SHOP 99 15 99 92 A C
Tuya TUYA 99 15 81 87 B A+
Data as of Jan. 22

Hunting For The Best Stocks To Watch

To make this screen of top stocks to watch in the top-ranked industries, each company must meet the following criteria:

However, ratings of course are just one part of the equation when evaluating a stock. Be sure to always check the stock chart to gauge when to buy, sell or hold.

Stock Screener: Build Your Watchlist With Stock Ratings And Stock Lists

Running stock screens with the IBD Stock Screener or MarketSurge is an effective way to streamline your research to find top-rated stocks to watch.

You can also zero in on the best stocks to watch using IBD stocks lists based on a wide range of preset filters. You'll find top-rated stocks meeting the criteria of the IBD 50, IBD Sector Leaders, IBD Big Cap 20, IPO Leaders and more.

Once you've put together potential stock picks for your watchlist, you'll want to evaluate your ideas with IBD Stock Checkup. With pass, neutral or fail ratings for each of your stocks, IBD Stock Checkup provides a detailed look at both the fundamental and technical health of the companies on your watchlist.

Additionally, based on The IBD Methodology, the Composite Rating provides an overall score that takes into account each of the IBD ratings. The single score considers how a company and its stock are performing in terms of annual and quarterly earnings growth as well as its relative strength vs. the rest of the market. The score also accounts for sales, profit margins and institutional demand.

However, note that you should not buy a stock solely on its ratings or placement on one of IBD's stock lists. No matter how compelling a company's story may seem, savvy investors will always check the technical action in the stock chart before buying.

Check The Chart To Know When To Buy Stocks

Using stock lists helps you zero in on the best stocks to watch. Stock ratings look under the hood to diagnose a company and its stock's fundamental and technical health. Both stock lists and stock ratings help you understand what to buy. But to fully understand when to buy stocks, take a look at the stock chart.

Meanwhile, it's also critical to understand what type of environment you're currently in. Is it a bull market, when most stocks go up? Or a bear market, when most stocks go down? Or is it a volatile, choppy and uncertain time when the market indexes tend to fail to make any sustained headway?

Use stock charts to evaluate both the market indexes and individual stocks. Charts will help you pinpoint the best time to buy stocks by identifying support and resistance, as well as buy points and buy zones. Using charts also helps you identify warning signs and when to sell stocks.

So when searching for potential stock picks and stocks to watch, always check the charts. They provide the most unbiased diagnosis of a stock's health.

Follow Matthew Galgani on X (formerly Twitter) at @IBD_MGalgani.

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