10 Best Performing Growth Stocks in 2025

7. VNET Group, Inc. (NASDAQ:VNET)

YTD-Performance: 125.89%

Number of Hedge Fund Holders: 26

VNET Group, Inc. (NASDAQ:VNET) is a holding company that provides carrier-neutral and cloud-neutral data center services. Its services include managed hosting, cloud, and virtual private network (VPN) services. It also provides managed network services to enable customers to deliver data across the Internet through its data transmission network and smart routing technology.

On February 14, Citi raised the firm’s price target on the stock from $4 to $16.10, while maintaining a Buy rating. Moreover, the firm also added VNET Group, Inc. (NASDAQ:VNET) to its focus group. The firm’s analysis of industry data suggests an increase in capital expenditures related to AI and data centers from Chinese communication service providers, signaling the beginning of an AI capex up-cycle in China. The company is expected to benefit significantly from this increased demand due to its substantial land resources. Citi Group also highlighted that the stock has shown significant growth, driven by advancements in cloud computing and potential strategic partnerships. It anticipates that the company will achieve a 22% compound annual growth rate in EBITDA from fiscal year 2023 to 2026. It is one of the best-performing growth stocks in 2025.