Gene Munster isn't worried about the AI trade in 2026.
The co-founder of Deepwater Asset Management, Munster is known for his analysis and commentary on the biggest developments in tech. He recently shared his tech-market predictions for 2026, laying out why he thinks the AI-led boom will continue for years to come.
Even as some weakness in the AI trade was seen at the end of 2025 amid bubble speculation and concerns over capex, Munster said that leading AI stocks would keep climbing and that industry leaders like Nvidia are being underestimated by Wall Street.
Munster gave his big predictions for 2026 and beyond in an interview with CNBC.
His first prediction is that the AI trade will boost markets for at least two more years.
Munster believes that investors can expect up to three more years of solid growth, driven primarily by the AI trade, as the market is still in its relatively early stages of growth and adoption.
"I still think we have two to three years left of a position where the Nasdaq performs +10% largely driven by AI," he said. "And I think AI-first companies continue to move higher than that."
He also noted that, despite some concerns regarding high valuations, he believes the top tech companies will continue to exceed Wall Street's estimates for earnings growth.
Second, Munster sees a boost coming in the near term from top CEOs Jensen Huang and Lisa Su, who are both set to speak at CES this week.
Munster is gearing up for a momentous address from the CEOs of Nvidia and AMD when they take the stage. Nvidia's Jensen Huang will deliver the opening address at the high-profile event on Monday at 4 p.m. ET, with Su scheduled to speak a few hours later.
Munster is optimistic that both CEOs will provide positive updates that spark fresh momentum for the AI trade. He predicted that Huang will reiterate that Nvidia isn't able to keep up with demand for its AI chips.
Finally, Munster's third prediction is that Apple will be the tech stock to watch in 2026.
He has maintained for months that Wall Street isn't giving Apple proper credit for its AI ambitions. He thinks recent financial results from manufacturing giant Foxconn, which reported a 22% surge in revenue in the fourth quarter, are a bullish signal for the iPhone maker.
"This Foxconn news is also positive for Apple," Munster said. "We think that's going to be the best performing large cap in the first half of this year."
