History Says The Stock Market Is About To Soar 2 Magnificent Ai Stocks

Bonisiwe Shabane

-Dec 3, 2025, 12:01 AM

history says the stock market is about to soar 2 magnificent ai stocks

The S&P 500 (^GSPC +0.13%) added 20.5% during the two-month period that ended on June 9, 2025. The index has only achieved a two-month return above 20% on five other occasions since 1950, and that momentum led to an average gain of 31% during the next 12 months. Since the S&P 500 closed at 6,006 on June 9, that suggests the index will climb 31% to 7,868 by next June -- if its performance aligns with the historical average. That implies 26% upside from its current level of 6,230. Of course, past performance is never a guarantee of future returns, but investors can lean into historical trends, as long as they maintain a long-term mindset. With that in mind, most Wall Street analysts see The Trade Desk (TTD +1.42%) and Okta (OKTA +1.19%) as undervalued stocks at their current prices, as detailed below:

Here's what investors should know about these magnificent stocks. The Trade Desk operates the leading independent demand-side platform (DSP) in the adtech industry. Its software leans on artificial intelligence (AI) to help media buyers plan, measure, and optimize advertising campaigns across digital channels. The company has the dominant DSP in connected-TV advertising due to partnerships with streaming giants Disney, Netflix, and Roku. History says the S&P 500 could advance 26% in the next year, and most Wall Street analysts see The Trade Desk and Okta as undervalued stocks at current prices. The Trade Desk operates the leading independent adtech platform for media buyers, and the adtech market is projected to expand at 14% annually through 2030.

Okta is a leader in identity and access management, a market where spending is forecast to grow at 12% annually through 2030 as more businesses deploy AI agents. The S&P 500 (SNPINDEX: ^GSPC) added 20.5% during the two-month period that ended on June 9, 2025. The index has only achieved a two-month return above 20% on five other occasions since 1950, and that momentum led to an average gain of 31% during the next 12 months. Since the S&P 500 closed at 6,006 on June 9, that suggests the index will climb 31% to 7,868 by next June -- if its performance aligns with the historical average. That implies 26% upside from its current level of 6,230. Of course, past performance is never a guarantee of future returns, but investors can lean into historical trends, as long as they maintain a long-term mindset.

Written by John Ballard for The Motley Fool-> The Nasdaq Composite is up 30% over the last 12 months, kicking off a strong bull market. This market enthusiasm has significance for new investors, because the average duration of a bull market historically is 4.9 years, according to investment firm Stifel -- about three times longer than bear markets. Much of the growth in the Nasdaq Composite in this bull market is related to enthusiasm for all things connected to artificial intelligence (AI). The potential of this evolving technology has investors and market traders excited. Investors who focus on buying reasonably priced AI growth stocks now could have several years of handsome gains to look forward to.

Here are two quality AI growth stocks to buy today. Alphabet (NASDAQ: GOOG) (NASDAQ: GOOGL) is using AI technology it's developing to generate significant improvements across its business, including improving search results for users on multiple platforms it operates and boosting ad performance for... Alphabet began investing in generative AI technology in 2016, and its latest iteration is Gemini, a series of AI models it plans to use to lay the groundwork for the company's future. Gemini can generatively process and produce text, images, audio, and video based on user prompts, and the enthusiasm among users is already driving substantial growth for the company. The stock market has been running high. Too high, some analysts say.

A number of Wall Street observers warn the stock market may have entered “bubble” territory. It’s an analogy to the overhyped markets of 2008 and 1999, which crashed when the bubbles burst. Lately, there's talk of an AI bubble, a runup in the prices of tech stocks fueled by enthusiasm over artificial intelligence. Those fears partly explain why stocks have faltered in the second half of November, despite a string of strong earnings reports. When investors fear stocks might sink, their thoughts might turn to pulling money from the market and parking it in cash: money market funds, Treasury bills, even a plain old savings account. Seesawing stock prices fuel their ennui.

“A lot of my clients have been sort of panic-calling this week,” said Monica Dwyer, a certified financial planner in West Chester, Ohio, speaking to USA TODAY in October. History says the S&P 500 could advance 26% in the next year, and most Wall Street analysts see The Trade Desk and Okta as undervalued stocks at current prices. The Trade Desk operates the leading independent adtech platform for media buyers, and the adtech market is projected to expand at 14% annually through 2030. Okta is a leader in identity and access management, a market where spending is forecast to grow at 12% annually through 2030 as more businesses deploy AI agents. The S&P 500 (SNPINDEX:$SPX) added 20.5% during the two-month period that ended on June 9, 2025. The index has only achieved a two-month return above 20% on five other occasions since 1950, and that momentum led to an average gain of 31% during the next 12 months.

Since the S&P 500 closed at 6,006 on June 9, that suggests the index will climb 31% to 7,868 by next June -- if its performance aligns with the historical average. That implies 26% upside from its current level of 6,230. Of course, past performance is never a guarantee of future returns, but investors can lean into historical trends, as long as they maintain a long-term mindset.

History Says The Stock Market Is About To Soar 2 Magnificent Ai Stocks

People Also Search

The S&P 500 (^GSPC +0.13%) Added 20.5% During The Two-month

Here's What Investors Should Know About These Magnificent Stocks. The

Okta Is A Leader In Identity And Access Management, A

Written By John Ballard For The Motley Fool-> The Nasdaq

Here Are Two Quality AI Growth Stocks To Buy Today.