From Yahoo Finance: 2025-04-30 14:25:00

The Dow Jones Industrial Average corrected nearly 7% in 2025 amid economic uncertainties and geopolitical tensions. With 30 constituent stocks, the index remains volatile, reflecting the unclear market outlook. Lauren Goodwin of New York Life Investments notes sustained high volatility across equities and fixed income due to policy uncertainty and economic data releases.

As markets remain uncertain, investors should focus on Dow stocks with earnings resilience and exposure to long-term growth themes. Stephanie Link of Hightower Advisors sees a positive outlook for the stock market, attributing the recent market rebound to strong corporate earnings. Large-cap companies across industries in the Dow are expected to perform better during sell-offs.

NVIDIA Corp. (NVDA) emerges as a top Dow stock for the next 12 months with a potential upside of 56.8%. The company’s AI-driven technology remains crucial in advancing artificial intelligence and data analytics. Investors believe in the company’s long-term prospects despite macroeconomic uncertainty. Fred Alger Management highlights rising demand for NVIDIA products due to increased computing needs.

Morgan Stanley analyst Joseph Moore remains bullish on NVIDIA, driven by demand for inference chips. Despite supply chain and macro issues, the company’s strong positioning in the AI cycle supports an optimistic view. NVDA ranks 1st on the list of best and worst Dow stocks, with AI stocks showing promise for higher returns in a shorter timeframe. Investors looking for promising AI stocks can explore undervalued options.

Read more: Is NVIDIA Corp. (NVDA) the Best Dow Stock for the Next 12 Months?