The year 2025 will hold a lot of surprises, such as higher inflation, tariffs, the slowdown in rate cuts, so on. That's why it makes sense to focus on the large-cap US stocks, as they can easily handle the economic upsets.
Microsoft is at the top of the list due to its strong position in cloud computing. In just last quarter, Microsoft generated a revenue of $24.1 billion via its cloud business.
Microsoft also offers special blockchain and AI dev tools which further enhances its appeal in the cloud computing sector. If the activity in the blockchain and AI development continues, it will benefit Microsoft for sure.
According to experts, the target price for Microsoft shares is $503.43, which means an upside of 22% from the current levels.
The second best stock is Mastercard, which doesn't need any introduction. Trump's plan includes removing the income taxes on tops, overtime, and social security. This will improve consumer spending and will benefit Mastercard, which is a leading payment processor.
Mastercard is also expanding its wings in cryptocurrency and blockchain solutions. One such initiative is 'Mastercard Crypto Credential,' offering seamless verification of crypto transactions on different blockchains.
Mastercard Multi-Token Network is also an initiative of Mastercard, which is under development. This will automate the escrow processes and will also include support for smart contracts.
Right now, Mastercard stock is a 'Strong Buy' based on the analysts' recommendation. They have set a target price of $552.75 for Mastercard which means a 7.3% upside.
Next up is Chevron, which also stands to gain due to Trump's policies for the oil and gas industry. Trump plans to boost the production of oil and gas, which is a good thing for Chevron.
Chevron is highly likely to increase its activities in the exploration and acquisition. On top of that, Chevron is also offering dividends to its stockholders.
The target price for Chevron stock is set at $174.27 which is an upside of 7.8% from the current share price.