MSFT vs. GOOGL vs. NVDA: Which ‘Strong Buy’ Mega-Cap Stock Has the Highest Upside Potential, According to Analysts?

Investors looking for stocks with long-term growth potential can consider mega-cap stocks, which have a market capitalization of more than $200 billion. These stocks are associated with large, well-established companies with strong track records and generally rank among the leading players in their respective industries. Using TipRanks’ Stock Comparison Tool, we placed Microsoft (MSFT), Alphabet (GOOGL), and Nvidia (NVDA) against each other to determine the mega-cap stock with the highest upside potential, according to Wall Street.

Microsoft (NASDAQ:MSFT) Stock

Microsoft is benefiting from the ongoing artificial intelligence (AI) boom. The company’s Azure cloud business is witnessing solid growth. In fact, Azure revenue surged 34% year-over-year to more than $75 billion in Fiscal 2025. Furthermore, revenue from Azure and other cloud services jumped 40% in Q1 FY26.

Moreover, the company is also gaining from its relationship with ChatGPT maker OpenAI (PC:OPAIQ). Also, the integration of AI across MSFT’s productivity tools and other offerings is further boosting its business.

However, investors are concerned about Microsoft’s elevated spending to build the infrastructure needed to support AI demand.

Is Microsoft Stock a Buy, Sell, or Hold?

Earlier this month, Barclays analyst Raimo Lenschow reiterated a Buy rating on MSFT stock with a price target of $625. The company announced price hikes for its Office and M365 subscriptions for Commercial customers, effective July 1, 2026. Lenschow noted that this marked the second price hike after the first increase in 2022, following the launch of Office 365 subscriptions in 2011.

The 5-star analyst stated that the higher prices reflect Microsoft’s AI-driven pricing leverage, backed by stable enterprise demand. He noted that the company highlighted that the higher prices are supported by the addition of 1,100 new features across Microsoft 365, Security, Copilot, and SharePoint over the past year. Specifically, the M365 F1 subscription’s price was raised the most (by 33%), given this offering’s high net seat expansions.

With 32 Buys and two Holds, Microsoft stock scores a Strong Buy consensus rating. The average MSFT stock price target of $632.32 indicates 32.1% upside potential. MSFT stock has risen about 14% year-to-date.

See more MSFT analyst ratings.

Alphabet (NASDAQ:GOOGL) Stock

Shares of Google-parent Alphabet have rallied more than 63% year-to-date, as fears about AI models hurting the company’s crucial Search business have subsided with the launch of the Gemini 3.

Also, the strong prospects of Google Cloud and reports that Meta Platforms (META) is considering using Google’s Tensor Processing Units (TPUs) in its data centers have boosted investor sentiment. Moreover, a U.S. federal judge’s ruling that the tech giant is not required to sell its popular Chrome web browser removed a major overhang.

What Is the Price Target for GOOGL Stock?

Last week, JPMorgan analyst Doug Anmuth increased his price target for Alphabet stock to $385 from $340 and reiterated a Buy rating. The analyst thinks that 2026 could be a crucial turning point for the internet mega-caps as they progress from significant generative AI spending to delivering tangible financial returns on AI investments.

Anmuth expects spending to intensify, with his estimates indicating a 20% to 60% increase in the capex of Alphabet, Amazon (AMZN), and Meta Platforms. The 5-star analyst expects the combined capex to grow by 40% and surpass $400 billion in 2026. “Given heavy infrastructure & AI spending, it remains critical for the mega-caps to generate greater returns on AI investments in 2026,” said Anmuth. JPMorgan’s 2026 Top Picks are Alphabet, Amazon, DoorDash (DASH), and Spotify (SPOT).

With 29 Buys and seven Holds, Alphabet scores a Strong Buy consensus rating. At $323.64, the average GOOGL stock price target indicates 4.6% upside potential.

See more GOOGL analyst ratings.

Nvidia (NASDAQ:NVDA) Stock

Nvidia stock has declined 10% over the past month due to concerns about the steep valuations of AI stocks and rising competition in the AI chip space. Nonetheless, shares of the chip giant have risen 30% year-to-date.

Despite ongoing concerns, most analysts remain bullish on Nvidia stock based on its solid fundamentals and robust demand for its graphics processing units (GPUs). Opportunities related to sovereign AI and strategic deals, including the $100 billion investment in OpenAI, are also expected to help boost further growth. Most recently, Nvidia has been in the news as President Donald Trump said that the company will be allowed to ship its H200 AI chips to China if the U.S. gets a 25% cut.

Is NVDA Stock a Good Buy?

Recently, Bank of America analyst Vivek Arya reiterated a Buy rating on Nvidia stock with a price target of $275, calling it a Top Pick. The 5-star analyst said, “NVDA GPUs remain a full generation ahead of competition.” He noted that the current leading GPU-trained large language models (LLMs) are still based on 2022’s Hopper architecture, while the upcoming Blackwell generation is about 10x–15x better generation-over-generation.

Furthermore, Arya highlighted that Nvidia’s next-generation Vera Rubin platform remains on schedule for the second half of 2026, with a pre-fill inference CPX version scheduled in the fourth quarter of next year. The analyst mentioned that Nvidia has visibility into the demand and supply backdrop regarding the $500 billion sales projection for 2025-2026 (at a minimum). He added that new partnerships with OpenAI and Anthropic present additional sources of upside. Arya noted that Nvidia’s mid-70% gross margin forecast remains intact despite growing memory costs.

Overall, Wall Street has a Strong Buy consensus rating on Nvidia stock based on 39 Buys, one Hold, and one Sell recommendation. The average NVDA stock price target of $258.45 indicates 48% upside potential.

See more NVDA analyst ratings.

Conclusion

Wall Street is bullish on all three mega-cap stocks discussed here. However, currently, analysts see higher upside potential in Nvidia stock compared to the other two mega-cap stocks. The chip company continues to deliver solid revenue and earnings growth, driven by robust demand for its AI chips. Analysts see further momentum in Nvidia due to its solid execution and continued innovation.