The technology sector has historically delivered substantial returns for long-term investors, often outperforming the broader market. For instance, over the past five years, the S&P 500 index has risen by 81%, while the State Street Technology Select Sector SPDR Fund (XLK) has gained 116% during the same period. This is why many stocks with the potential to help individuals achieve millionaire status are found in the tech field, and the following three giants stand out among them.
Most investors are familiar with Nvidia’s AI chips. These semiconductors are essentially the “batteries” of AI innovation; without the AI chips they provide, various AI applications would be unable to function. Nvidia specializes in graphics processing units (GPUs), a type of chip designed to handle a wide range of tasks. Unlike other chips customized to meet specific client needs, Nvidia’s GPUs are capable of handling the vast majority of workloads, making them fundamental building blocks for numerous tech giants.
This chip manufacturer serves all the major technology companies, and its clients are all eager to obtain Nvidia’s products. This robust demand positions Nvidia to become one of the most profitable publicly listed companies globally. Its latest reported net income reached $31.9 billion, a 65% increase year-over-year, placing it just over $10 billion away from the profitability level of Apple Inc. (AAPL). Nvidia continues to invest in the future, planning to release its brand-new Vera Rubin chip in the second half of 2026.
Nvidia is not the only company benefiting from the AI wave. Enterprises like Micron Technology provide essential components that enable the expansion of AI infrastructure. Micron helps AI chips perform at their best through its memory storage solutions. Successfully solving this significant challenge directly translates into higher profit margins and attractive sales growth for the company. In fact, Micron has exited consumer-oriented businesses to focus on the AI infrastructure sector.
Micron’s performance for the first quarter of fiscal 2026 highlights the correctness of this strategy. Its revenue increased by 57% year-over-year, and the company’s outlook suggests continued revenue growth and improved profitability in the coming quarters. The year 2026 could be a watershed year for Micron, and the company’s stock price has accumulated a gain of nearly 350% over the past year. Currently, the stock’s price/earnings-to-growth (PEG) ratio stands at an astonishingly low 0.18. Typically, a PEG ratio of 1 is considered fair value, while a ratio below 1 is often seen as undervalued. Despite achieving exceptional growth rates, Micron’s valuation remains well below that of most technology companies.
Unlike Nvidia and Micron, whose stock prices have surged due to strong performance, Amazon’s stock price has been relatively flat, remaining largely unchanged over the past year and posting a modest 36% gain over five years. While these figures may not seem impressive, this tech giant appears to be brewing a recovery.
Amazon’s online marketplace has made it a household name, but Amazon Web Services (AWS) and its online advertising business are two key growth engines where it is actually gaining market share. Its self-developed Trainium chip has become a new business, with an annualized revenue run rate exceeding $10 billion, representing growth of over 100% year-over-year. In the fourth quarter of 2025, Amazon’s overall sales increased by 14% year-over-year, its cloud business grew by 24%, and net income also saw a slight increase of 6% year-over-year.
Given this performance, Amazon’s 7% decline in stock price so far this year seems difficult to understand. Valuation is also not an issue, with its current price-to-earnings (P/E) ratio at just 34 times. Smart money has already taken notice of the divergence between the company’s fundamental growth and its recent stock price trend. Morgan Stanley recently raised its price target for Amazon to $300, while the current stock price hovers around $210.
