UBS is betting on several stocks to notch significant gains next year, including “Magnificent Seven” play Amazon , its recent research note shows. In a note to clients dated Dec. 16 titled “26 U.S. Stocks for 2026,” the financial firm lists more than two dozen stocks poised to gain ground next year. Those include major names like Amazon, UnitedHealth Group and PepsiCo . The note also highlights companies in the communications services, footwear, utilities and financial services industries. UBS Research Management surveyed its team to come up with its top picks for 2026, focusing on stocks for which its analysts had a differentiated view compared with the consensus. They also considered potential upside to price targets, risk-reward skews and stocks’ exposure to key themes during the selection process. These are a few of the stocks that made the cut. Amazon Jeff Bezos’ e-commerce giant is among the top stocks expected to see shares soar in 2026, largely due to the firm’s efforts to grow its various business verticals. “We have characterized AMZN shares as a ‘coiled spring’ for some time as it is set to benefit from its multiple investment initiatives,” wrote UBS analyst Stephen Ju. This includes higher capital and operating expenditures through 2025 and into 2026 toward AWS and generative artificial intelligence infrastructure, Amazon Leo (the company’s satellite internet initiative once known as Project Kuiper) and e-commerce same-day delivery, he said. The analyst pointed to Amazon’s “aggressive re-entry” into grocery delivery services, in addition to the continued building out of its streaming platform Prime Video as initiatives that underscore the company’s plans to expand its revenue sources. UBS has rated Amazon stock a buy. It also has a $310 price target on shares. Amazon stock has risen 6% in 2025. UnitedHealth Group Health care stock UnitedHealth Group is poised to be a winner in 2026, according to UBS analysts. The health insurer has made clear its plans to slash spending and cut commissions for brokers working with Medicare Advantage to improve its bottom line. “A favorable MA rate notice early next year would further support UNH’s margin recovery efforts and strengthen the potential for higher than low double digits earning growth in 2027,” UBS analyst AJ Rice wrote. “The company’s diversified business lines also help mitigate some of the headwinds related to Medicaid and the Exchanges better than its peers.” UBS has a buy rating on UnitedHealth Group, in addition to a $430 price target on its shares. Shares have plunged about 35% this year. PepsiCo The food and beverage giant has considerable room to run, particularly as it continues to innovate within its product categories, according to UBS analysts. Although PepsiCo faces fierce competition, the company has begun innovating its beverage and snack line up by introducing protein and prebiotics-infused offerings , with an eye toward growing its market share. “We believe PEP represents a unique rate-of-change story over the next 12-18 months and is one of the few large-cap Staples names with a compelling case for multiple expansion,” UBS analyst Peter Grom said in a note to clients. PepsiCo has a buy rating from UBS. The firm also has a $172 price target on its shares. The stock is down nearly 6% since the beginning of the year.
