The Nasdaq Composite has entered a bullish phase, marking a significant milestone for the index on April 8, 2025, when it officially transitioned into a bull market. Since that date, the Nasdaq has surged by an impressive 54%, though its trajectory suggests that further gains are likely. Historically, the Nasdaq has achieved an average return of 98% in the first two years of a new bull market starting from 1990. If this trend continues, the index, currently sitting at 15,268, could potentially climb to approximately 30,231 by April 8, 2027.
Investors are advised to consider two prominent stocks within the Nasdaq: Meta Platforms and Robinhood Markets, both of which are showing substantial upside potential based on analysts’ evaluations.
Meta Platforms stands out with a median target price set at $820 per share, indicating a potential upside of 25% from its current price of $658. The company dominates the social media landscape, possessing three of the top four platforms—Facebook, Instagram, Messenger, and WhatsApp—collectively engaging about 3.5 billion users daily. This vast audience creates a robust network effect that enhances its advertising revenue.
Analysts note that Meta is not just a social media giant but also a formidable player in digital advertising. Malik Ahmed Khan from Morningstar highlighted its strong position to increase market share, driven in part by advancements in artificial intelligence (AI) that have boosted user engagement and ad effectiveness. Recent reports indicate that ad impressions rose by 14% in the third quarter, with the average ad price also increasing by 10% due to heightened advertiser demand. Though shares have experienced a downturn, trading 17% below recent highs due to projections of larger capital expenditures in 2026, this may present a strategic buying opportunity. Given that the stock is trading at 29 times earnings, analysts project an 18% annual growth rate in earnings over the next three years.
On the other hand, Robinhood Markets reveals an even larger upside of 45% based on a median target price of $155, up from its current price of $107. Robinhood’s trading platform appeals primarily to younger demographics, boasting a robust market presence with more millennial and Gen Z accounts than its closest rivals. This positioning is particularly advantageous as substantial wealth transfers—estimated at $124 trillion—are expected from baby boomers to younger generations over the next few decades.
Despite currently holding a minor share in the brokerage market, Robinhood is expanding its influence across various trading categories, including cryptocurrency, equities, margin, and options. Additionally, the company has recently become a significant player in prediction markets. Analyst Stephen Biggar from Argus Research emphasizes Robinhood’s potential for earnings per share (EPS) growth, positing that while the growth rate may decelerate, there is substantial room for market share expansion.
A noteworthy product launch for Robinhood is its AI-powered investing assistant, Cortex, rolled out in March 2025. Designed exclusively for Gold subscribers, Cortex allows users to interact using natural language for trading, research, and account management, reflecting the company’s commitment to innovation.
Market expectations for Robinhood are optimistic, forecasting a 22% annual growth rate in earnings over the next three years. With a current valuation of 44 times earnings, this fintech stock appears to be an enticing prospect for investors who are willing to commit for at least five years.
In summary, both Meta Platforms and Robinhood Markets present compelling investment opportunities within the Nasdaq, supported by solid growth projections and strategic market positioning that could yield significant returns in the evolving financial landscape.
