--- title: "3 Top Tech Stocks to Buy in August" description: "Investors should consider adding tech stocks to their portfolios, as they currently dominate the market, making up 34% of the S&P 500. Recommended stocks for August include Nvidia, which leads in GPU " type: "news" locale: "en" url: "https://longbridge.com/en/news/252015810.md" published_at: "2025-08-07T11:07:31.000Z" --- # 3 Top Tech Stocks to Buy in August > Investors should consider adding tech stocks to their portfolios, as they currently dominate the market, making up 34% of the S&P 500. Recommended stocks for August include Nvidia, which leads in GPU production with a 92% market share, Alphabet, which reported strong Q2 earnings, and Taiwan Semiconductor Manufacturing, a key player in GPU fabrication. These companies are well-positioned to benefit from the ongoing growth in AI technology, making them attractive investment options. While it's important for investors to keep a balanced portfolio, you can't afford to overlook tech stocks in this market. Tech stocks are the muscle behind U.S. markets these days, accounting for 34% of the makeup of the entire **S&P 500**. They are also outperformers, as the tech-heavy **Nasdaq Composite** is outperforming both the S&P 500 and the **Dow Jones Industrial Average** so far this year. The lesson here? You need to have tech stocks in your portfolio if you want to outperform the market. Tech stocks are immensely popular these days as companies are racing to train large language models (LLMs) to customize their platforms with generative artificial intelligence (AI) offerings in order to roll out new services and customer experiences before their competitors. The race to build AI products is far from over, and buying stocks that will be best positioned to capitalize on the trend is a smart way to invest right now. If you're looking for the best tech stocks for August, I'm recommending **Nvidia** (NVDA 0.66%), **Alphabet** (GOOG 0.82%) (GOOGL 0.75%), and **Taiwan Semiconductor Manufacturing** (TSM -0.52%). Image source: Getty Images. ## Nvidia The unquestioned leader in tech stocks right now is chipmaker Nvidia. As the creator of the most advanced graphics processing units (GPUs) that top companies use to power their AI platforms, Nvidia has grown to be the most valuable publicly traded company in the world and was the first to crack the $4 trillion milestone. Nvidia's GPUs can be combined with other chips into clusters that can work faster and more powerfully, which is why they are so prized by companies building AI applications. Jon Peddie Research estimates that Nvidia has a staggering 92% of the GPU market. The company will report earnings for its second quarter of fiscal 2026 on Aug. 27, and analysts are expecting another blowout quarter. Of 66 analysts who cover Nvidia on Yahoo! Finance, 59 of them rank Nvidia as a buy or strong buy. ## Alphabet Alphabet already reported its quarterly earnings, and Wall Street was impressed. Revenue in Q2 was up 14% to 96.4 billion, while net income was up 19% to $28.19 billion. Alphabet's earnings per share also jumped to $2.31, a 22% gain from a year ago. The report was a welcome return to form for Alphabet, which has struggled so far in 2025 amid concerns that platforms such as ChatGPT would eat into the company's massive Google search business. There are also legal issues, as Alphabet is battling with the Justice Department over allegations that it has an illegal monopoly, and there are concerns that the company could be split up. But Alphabet has been able to put those concerns to rest, at least for now. Revenue from Google Cloud was particularly strong in the second quarter, rising 32% to $13.6 billion, as the company's Google AI platform is incorporated into its Chrome browser and Google search engine. Alphabet also saw strong growth in Google Search (revenue was up 11.7%) and Google Advertising (up 10.4%). Alphabet's stock also trades at a low 20.6 price-to-earnings ratio --incredibly attractive for a tech stock that continues to show strong growth. ## Taiwan Semiconductor Manufacturing This one goes hand-in-hand with Nvidia, really. If you believe in the growth story powering Nvidia's GPUs, then Taiwan Semiconductor, also known as TSMC, has the same kind of tailwinds. TSMC is a fabricator of GPUs -- it doesn't design them, but it is one of the biggest companies in the world that actually makes them for Nvidia and others. It's a rapidly growing field, as Mordor Intelligence says the GPU market will be $82.7 billion this year and explode to $352.5 billion by 2030. TSMC has an estimated 62% market share of the global foundry market, so it's going to benefit no matter which company has the lead in the GPU race over the next decade. Nvidia's major competitor, **Advanced Micro Devices**, is also a TSMC customer. TSMC is also growing its footprint in the U.S. rapidly, with plans to invest $165 billion in facilities in Arizona that should shield it from any tariff concerns in the future. TSMC's Q2 earnings included revenue of $30.07 billion, up 44.4% from a year ago. The company is projecting Q3 revenue even higher, to be between $31.8 billion and $33 billion. ## The bottom line Each of these companies is at the forefront of the explosive growth in AI, which is the dominant trend driving the stock market today. All of them would be excellent buys in August to capitalize on the market-driving power of tech stocks. ### Related Stocks - [GOOGL.US - Alphabet](https://longbridge.com/en/quote/GOOGL.US.md) - [GOOG.US - Alphabet - C](https://longbridge.com/en/quote/GOOG.US.md) - [TSM.US - Taiwan Semiconductor](https://longbridge.com/en/quote/TSM.US.md) - [GGLS.US - Direxion Daily Googl Bear 1x Shares](https://longbridge.com/en/quote/GGLS.US.md) - [GGLL.US - Direxion Daily GOOGL Bull 2X Shares](https://longbridge.com/en/quote/GGLL.US.md) - [SOXL.US - Direxion Semicon Bull 3X](https://longbridge.com/en/quote/SOXL.US.md) ## Related News & Research | Title | Description | URL | |-------|-------------|-----| | AI 债务泡沫初现端倪？分析师警告：Alphabet 发行百年期债券或为市场 “见顶” 信号 | Alphabet 首次发行 10 亿英镑百年期债券，策略师警示，在信贷利差历史低位、AI 需求不确定及技术变革加速背景下，此举是市场过度乐观及 AI 泡沫积聚的典型信号。本次发行是其 200 亿美元多币种融资计划一部分。 | [Link](https://longbridge.com/en/news/275752138.md) | | 姚顺宇谷歌首秀，Gemini 新模型刷爆 SOTA：人类仅剩 7 人捍卫碳基编程 | 谷歌推出 Gemini 3 Deep Think 模型，取得 3455 Elo 分数，位列全球第 8，超越以往最高分 2727。该模型在 ARC-AGI-2 基准测试中得分 84.6%，刷新 SOTA，远超 Claude Opus 4.6 | [Link](https://longbridge.com/en/news/275891427.md) | | “Robotaxi 商业化大赛” 拉开大幕，Waymo 定下 “今年 KPI”：美国市场每周 100 万单！ | Waymo 扩张速度显著加快，计划今年在美国及国际市场的 20 个城市扩大测试并推出新商业服务，在某些情况下 Waymo 可以在短短几个月内完成从城市测绘到付费出行的全流程。该公司目前在美国约六个城市通过自有应用及与 Uber 合作提供无人 | [Link](https://longbridge.com/en/news/275681939.md) | | 软件股遭遇 2010 年来最大做空潮，高盛惊呼：市场 “无处可藏”！ | 十年最猛烈做空潮席卷美国软件股，摩根士丹利数据显示空头规模创 2010 年以来新高，市场陷入 “先卖后问” 的恐慌。AI 取代白领的担忧引发行业震荡，防御性板块加速跑赢，科技七巨头（Mag 7）亦显颓势。高盛交易主管 Callahan 表示 | [Link](https://longbridge.com/en/news/275859482.md) | | 美光 CFO 对 HBM 有信心，存储股全线走高 | 美光 CFO 表示，公司已开始 HBM4 芯片的量产和出货。这一表态了缓解了市场对其在 HBM4 领域落后竞争对手的担忧。大摩大幅上调美光目标价，并表示 SK 海力士虽将在第一季度向英伟达供应 HBM4，但美光从第二季度开始也能实现供货，时 | [Link](https://longbridge.com/en/news/275688469.md) | --- > **Disclaimer**: This article is for reference only and does not constitute any investment advice.