In this article, we will look at the 10 Best Performing Growth Stocks in 2025.
Heavy AI investments and the tariffs uncertainty have been putting pressure on the technology and growth sector. While some analysts are giving caution to stay away from growth and tech stocks Doug Clinton, Intelligent Alpha founder and CEO remains bullish on tech and growth stocks. He joined CNBC on February 12 for an interview. He noted that moving past the DeepSeek incident the sector has stabilized and he remains bullish on the tech sector. Some of the positive news for the sector as highlighted by Clinton includes hyper-scalers showing earnings growth, moreover, CEOs from the AI industry have indicated that the capital expenditure boom will continue.
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Clinton further explained that there are levels within the hyperscalers as well in terms of how levered they are to the artificial industry. Companies that have leveraged themselves using artificial intelligence have been experiencing significant growth through developing open-source AI models and by using these technologies to improve their businesses. While answering if tech companies are immune to tariffs, Clinton noted that investors don’t need to have “fire alarms” when it comes to technology companies, mainly hyper-scalers, as these companies are less likely to be overly impacted by the tariffs. This is because these companies are not subject to the import and export issue, which is the main concern regarding tariffs. Clinton explained that he is more interested in the story of technology and growth stocks. Moreover, he is also interested in the developments these tech companies are making with regard to developing their AI products and how the customers are adopting these technologies.
Moreover, while catering to the question regarding the likelihood of a trade war with Canada, Mexico, and China, Clinton noted that a trade war is highly unlikely as the current scenario points more toward negotiations. Clinton thinks that the Trump administration is acting as tough negotiators to get some action and the policies will ease down without a trade war.
While talking about the next big theme within the technology sector, Clinton thinks that silicon chips are going to remain a prominent theme for 2025, as it is being used to deliver AI products to customers. Moreover, he also mentioned that an emerging sub-theme is the use of custom silicon, which are optimized chips tailored for specific tasks, offering optimized performance and energy efficiency compared to general-purpose processors.
That being said, let’s take a look at the 10 best-performing growth stocks in 2025.
A financial analyst looking at a monitor displaying the stocks of the public company.
Our Methodology
To curate the list of 10 best-performing growth stocks in 2025 we used the Finviz stock screener. Using the screener we aggregated a list of growth stocks that have risen more than 30% on a year-to-date basis, sorted by market cap. Next, we ranked these stocks based on the number of hedge fund holders sourced from Insider Monkey’s Q4 2024 database. Please note that the data was recorded on March 11, 2025.
Why are we interested in the stocks that hedge funds pile into? The reason is simple: our research has shown that we can outperform the market by imitating the top stock picks of the best hedge funds. Our quarterly newsletter’s strategy selects 14 small-cap and large-cap stocks every quarter and has returned 373.4% since May 2014, beating its benchmark by 218 percentage points (see more details here).
10 Best Performing Growth Stocks in 2025
10. Kingsoft Cloud Holdings Limited (NASDAQ:KC)
YTD-Performance: 52.05%
Number of Hedge Fund Holders: 12
Kingsoft Cloud Holdings Limited (NASDAQ:KC) is a Chinese cloud services company that offers its services to businesses and organizations primarily in China. Businesses and organizations primarily in China, platform as a service, and platform as a service. These services include cloud computing, networks, databases, big data, security, storage, and delivery solutions.
The company has been focused on high-quality and sustainable growth. During the fiscal third quarter of 2024, Kingsoft Cloud Holdings Limited (NASDAQ:KC) grew its revenue by 16% year-over-year to reach RMB 1.89 billion. The company is experiencing growth in its AI business, during the quarter its AI revenue surged to RMB 362 million accounting for 31% of public cloud revenues. Moreover, the company has built a substantial computing power resource pool for AI, supporting large-scale supercomputing clusters. It is also collaborating with ShineWing to build a one-stop platform for AI model training, inference, and application development. Looking ahead, Kingsoft Cloud Holdings Limited (NASDAQ:KC) aims to enhance profitability and cash generation. It also plans to deepen cooperation with the Xiaomi and Kingsoft ecosystem to explore new AI opportunities. The stock has risen more than 52% year-to-date, making it one of the best-performing growth stocks in 2025. It was held by 12 hedge funds in Q4 2024.
9. Tempus AI, Inc. (NASDAQ:TEM)
YTD-Performance: 31.88%
Number of Hedge Fund Holders: 17
Tempus AI, Inc. (NASDAQ:TEM) is a technology company that applies artificial intelligence to healthcare in order to advance precision medicine. It has created a library of clinical and molecular data to help doctors make data-driven decisions and deliver personalized care and targeted therapies for patients. Its product line includes Genomics, including next-generation sequencing, diagnostics, profiling, molecular genotyping, and other anatomic and molecular pathology testing.
On March 6, Tejas Savant from Morgan Stanley maintained a Buy rating on the stock with a price target of $60. Savant maintained the rating due to the company’s strong performance in clinical oncology, which saw a large year-over-year revenue increase. This growth was mainly due to better reimbursement per clinical oncology report, despite a small decline in genotyping revenue from their Atlanta lab. Moreover, the Data & Services segment also showed strong growth, especially in the Insights business, which also had a large year-over-year increase of 43.2%. The analyst noted that Tempus AI, Inc. (NASDAQ:TEM) adjusted gross margin was better than expected, which shows good operational efficiency, particularly in the Data & Services business. Although the company faced some short-term challenges in the retail and CRO segments, the long-term growth potential is still strong. It is one of the best-performing growth stocks in 2025.
Baron Discovery Fund stated the following regarding Tempus AI, Inc (NASDAQ:TEM) in its Q3 2024 investor letter:
“Shares of Tempus AI, Inc (NASDAQ:TEM) contributed to performance. Tempus is a cancer diagnostics company that provides genomic testing results. Tempus has also amassed an over 200 petabyte proprietary multimodal dataset that combines clinical patient data with genomic testing data. In addition to using this data to empower more intelligent diagnostics for its own tests, Tempus also licenses this data to biopharmaceutical companies which use it to design smarter clinical trials and identify potential new drug targets. We think this proprietary dataset is unique with meaningful barriers to entry, and brings meaningful value to biopharmaceutical R&D. As we mentioned in the letter from last quarter, shares have been incredibly volatile. We took advantage of this volatility to buy a meaningful position when shares sold off into the low $20’s per share from an IPO price of $37. When shares spiked into the mid-$70’s (likely due to short sellers covering losses as shares rose), we took profits on a meaningful portion of the investment as we believed valuation had become stretched (shares now trade in the high $40’s to low $50’s level). We like our position sizing now, and would add to the position at lower valuations. We believe that Tempus has significant growth ahead of it and we are excited about its unique business model.”
8. AST SpaceMobile, Inc. (NASDAQ:ASTS)
YTD-Performance: 34.66%
Number of Hedge Fund Holders: 22
AST SpaceMobile, Inc. (NASDAQ:ASTS) is in the process of building a space-based cellular broadband network designed to connect directly to standard mobile devices. Its SpaceMobile network strives to provide 4G/5G speeds to existing smartphones in areas without terrestrial coverage.
The past year and a half have been transformative for the company. During the fiscal fourth quarter of 2024, AST SpaceMobile, Inc. (NASDAQ:ASTS) expanded its customer base through commercial and US government engagements, including agreements with Vodafone covering 20+ countries and a $43 million contract with the US Space Development Agency. The company also has agreements with approximately 50 mobile network operators globally, representing nearly three billion subscribers. In a major strategic development, the company is accelerating the production of its Block 2 Bluebird satellites, with plans to launch up to 60 satellites during 2025 and 2026.
AST SpaceMobile, Inc. (NASDAQ:ASTS) has risen more than 34% on a year-to-date basis, making it one of the 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.
6. Zai Lab Limited (NASDAQ:ZLAB)
YTD-Performance: 39.82%
Number of Hedge Fund Holders: 26
Zai Lab Limited (NASDAQ:ZLAB) is a biopharmaceutical company that discovers, develops, and sells medicines. The company aims to address unmet medical needs in areas like cancer, autoimmune diseases, infectious diseases, and central nervous system disorders. It has a range of drug candidates, including ZEJULA, OPTUNE, QINLOCK, NUZYRA, and VYVGART.
On March 3, Analyst Jonathan Chang from Leerink Partners reiterated a Buy rating on the stock with a price target of $74. The rating was based on the company’s strong financial performance and advancements in its product pipeline. Chang noted that the company experienced a significant year-over-year revenue increase, which was primarily due to the successful launch of Vyvgart and increased sales of Zejula and Nuzyra. This demonstrates Zai Lab Limited’s (NASDAQ:ZLAB) ability to effectively commercialize its products and capture market share. The analyst also highlighted that the company is strategically focused on advancing its pipeline, particularly ZL-1310, which he thinks is noteworthy. The company is preparing for multiple data updates and a pivotal study initiation for ZL-1310, which could potentially lead to accelerated FDA approval. It is one of the best-performing growth stocks in 2025.
5. GDS Holdings Limited (NASDAQ:GDS)
YTD-Performance: 57.08%
Number of Hedge Fund Holders: 32
GDS Holdings Limited (NASDAQ:GDS) develops and operates high-performance data centers in China, offering colocation, managed hosting, and managed cloud services. The company is carrier and cloud-neutral, allowing customers access to major telecommunications networks and public clouds within China. Its services include colocation services, managed services, and data center services.
On February 21, Raymond James analyst Frank Louthan raised the price target on the stock from $25 to $53, while maintaining a Buy rating. The analyst believes that the company’s future growth should be more stable with less associated risks. Baron Real Estate Fund in its Q4 2024 investor letter announced acquired additional shares in GDS Holdings Limited (NASDAQ:GDS). The fund believes that the shares are attractively valued and offer compelling long-term growth prospects. Moreover, the fund anticipates that the company will be able to secure additional high-demand power capacity in Southeast Asia and other international markets, which will extend the company’s growth profile. It is one of the best-performing growth stocks in 2025.
Baron Real Estate Fund stated the following regarding GDS Holdings Limited (NASDAQ:GDS) in its Q4 2024 investor letter:
“In the most recent quarter, we acquired additional shares in data center operator GDS Holdings Limited (NASDAQ:GDS). We believe the shares are attractively valued and offer compelling long-term growth prospects. Please see “Top contributors to performance for the quarter ended December 31, 2024” for more on GDS.
Shares of GDS Holdings Limited continued to perform well during the quarter, delivering returns into the mid-teens. We traveled to Asia in December to tour the company’s newly developed data center campus in Malaysia, spend additional time with GDS International’s executive team, and conduct competitor/market due diligence by meeting with the management teams of several global competitors based in Singapore. We also had the opportunity to meet the management team of the largest utility in Malaysia providing power to GDS and competitors, which provided valuable insight on the developing market. We also traveled to Hong Kong to meet, once again, with CEO/founder William Huang and CFO Daniel Newman while touring one of the company’s urban data centers with the local operating team. We came away with more confidence regarding the demand visibility and growth that GDS can capture in this region due to its first mover and other competitive advantages. In addition, we believe GDS will be able to secure additional high-demand power capacity in Southeast Asia and other international markets, which will elongate the growth profile of the company and is not currently appreciated by the broader investment community.
We remain optimistic about the company’s growth prospects over the next several years, which can be bucketed into: i) its Asia ex-China data center business (GDS International or GDSI); and ii) its mainland China data center business (GDS Holdings or GDSH)…” (Click here to read the full text)
4. TG Therapeutics, Inc. (NASDAQ:TGTX)
YTD-Performance: 26.30%
Number of Hedge Fund Holders: 36
TG Therapeutics, Inc. (NASDAQ:TGTX) is a commercial-stage biopharmaceutical company that focuses on developing and commercializing treatments for B-cell diseases. The FDA has approved the company’s BRIUMVI for treating relapsing forms of multiple sclerosis in adults, including clinically isolated syndrome, relapsing-remitting disease, and active secondary progressive disease.
On March 4th, Analyst Edward White from H.C. Wainwright reiterated a Buy rating on the stock with a price target of $55. The analyst highlighted that he reiterated the rating due to the strong financial results and promising future of TG Therapeutics, Inc. (NASDAQ:TGTX). The company’s fourth quarter 2024 results surpassed expectations, with GAAP and non-GAAP EPS exceeding estimates, driven by strong sales of Briumvi. The company also grew its revenue by 146% year-over-year to reach $108.18 million. Analyst White is also encouraged by the optimistic guidance for 2025, which projects substantial growth in revenue and earnings. TG Therapeutics, Inc. (NASDAQ:TGTX) is one of the best-performing growth stocks in 2025 with a year-to-date gain of 26.3%.
ClearBridge Small Cap Growth Strategy stated the following regarding TG Therapeutics, Inc. (NASDAQ:TGTX) in its Q4 2024 investor letter:
“2024 proved a particularly active year for new idea generation: we added 23 new investments while exiting 29 due to a variety of considerations, including acquisitions, market capitalization constraints, and our assessment of forward return potential. While many of the new investments we made during the year are of relatively modest size, we will continue to build these positions over time provided company execution and end market prospects remain intact. In the fourth quarter we initiated five new investments: Oscar Health,TG Therapeutics, Inc. (NASDAQ:TGTX), Clearwater Analytics, Fluor and Modine.
TG Therapeutics is a commercial stage biotechnology company focused on multiple sclerosis (MS), a significant chronic disease end market. Its lead product, Briumvi, has the potential to grow its market share significantly within the largest drug class in the $8 billion MS market.”
3. Verona Pharma plc (NASDAQ:VRNA)
YTD-Performance: 27.28%
Number of Hedge Fund Holders: 42
Verona Pharma plc (NASDAQ:VRNA) is a biopharmaceutical company based in the United Kingdom that focuses on creating and commercializing treatments for respiratory diseases. It is working to develop inhaled Ensifentrine for chronic obstructive pulmonary disease. Ensifentrine is a molecule that inhibits phosphodiesterase 3 and 4 and combines bronchodilator and non-steroidal anti-inflammatory activities.
On February 28, Analyst Edward Nash from Canaccord Genuity maintained a Buy rating on the stock with a price target of $72. Nash likes the company’s market position and potential for growth. Ohtuvayre, which is one of the leading drugs of the company, had impressive sales in its first full quarter, which exceeded expectations. Moreover, the sales projections for 2025 are expected to increase as a result of this strong performance. The analyst further noted that the drug’s unique mechanism and the large COPD patient population contribute to its success. Verona Pharma plc (NASDAQ:VRNA) plans to introduce Ohtuvayre to the EU and UK markets and continue developments in Greater China, which supports the positive outlook. It is one of the best-performing growth stocks in 2025.
2. Axsome Therapeutics, Inc. (NASDAQ:AXSM)
YTD-Performance: 36.03%
Number of Hedge Fund Holders: 44
Axsome Therapeutics, Inc. (NASDAQ:AXSM) is a biopharmaceutical company that develops and delivers therapies for central nervous system conditions with limited treatment options. It has two commercial products, Auvelity and Sunosi, and several products in development, including AXS-05 and AXS-07.
On March 6, Ram Selvaraju from H.C. Wainwright reiterated a Buy rating on the stock with a price target of $200. The analyst likes the company’s strategic developments and potential market advantages. Selvaraju mentioned the strategic developments including a settlement agreement regarding patent litigation over Sunosi. This can potentially lead to securing the market exclusivity until 2040. Moreover, Axsome Therapeutics, Inc. (NASDAQ:AXSM) progress with AXS-05 for Alzheimer ‘s-associated agitation, with positive feedback from the FDA indicates a clear path for submission of a supplemental New Drug Application. Selvaraju believes the potential approval and market introduction of AXS-05 could significantly enhance the company’s product portfolio and revenue streams. It is one of the best-performing growth stocks in 2025.
1. Okta, Inc. (NASDAQ:OKTA)
YTD-Performance: 33.44%
Number of Hedge Fund Holders: 72
Okta, Inc. (NASDAQ:OKTA) offers a cloud-based identity management platform for businesses. Its platform allows companies to manage and secure user authentication into modern applications and enables developers to build identity controls into applications, websites, web services, and devices.
On March 10, BMO Capital raised the firm’s price target on the stock from $105 to $130, while keeping a Market Perform rating. The firm had been skeptical regarding the performance of the company. However, strong execution in the fourth quarter and management’s forecast for fiscal year 2025 Remaining Performance Obligations growth resulted in an optimistic rating from BMO Capital. Okta, Inc. (NASDAQ:OKTA) grew its revenue by 13% to $682 million during the fiscal fourth quarter of 2024. Notably, its Identity Governance segment reached $100 million in annual recurring revenue (ARR), with 1,300 customers during the quarter. Moreover, the firm noted that the identity market is expected to grow and converge, which will benefit the company. It is the best-performing growth stock in 2025.
White Brook Capital Partners stated the following regarding Okta, Inc. (NASDAQ:OKTA) in its Q4 2024 investor letter:
“Okta, Inc. (NASDAQ:OKTA) was basically unchanged from where we bought it in 2024, although its had a good start to 2025. Okta’s products are used by customers and consumers to manage and secure identities. I believe we acquired shares at an attractive price and look forward to publishing a write up early this year.”
While we acknowledge the potential of Okta, Inc. (NASDAQ:OKTA) to grow, our conviction lies in the belief that AI stocks hold greater promise for delivering higher returns and doing so within a shorter time frame. If you are looking for an AI stock that is more promising than OKTA but that trades at less than 5 times its earnings, check out our report about the cheapest AI stock.
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