Will Santa Claus Rally For Top AI Stocks?

Steven Cress, Quant Team SA Quant Strategist Follow 5 Share Save Play ( 14min ) Comment (1) Summary The Santa Claus rally, which begins on Christmas Eve and ends on the second trading day of the new year, has historically delivered positive returns for U.S. equities. While the rally failed to show up in 2023 and 2024, it has never missed three consecutive years, keeping hopes alive for a seasonal tailwind in 2025–2026. This pattern tends to reward the market’s dominant themes, and today those leaders are AI names. SA Quant highlights three AI Strong Buys and one bonus cannabis stocking stuffer, each combining strong fundamentals and excellent timeliness indicators. I am Steven Cress, Head of Quantitative Strategies at Seeking Alpha. I manage the quant ratings and factor grades on stocks and ETFs in Seeking Alpha Premium. I also lead Alpha Picks , which selects the two most attractive stocks to buy each month, and also determines when to sell them. Gary Yeowell/DigitalVision via Getty Images Registration is now open for our Top Stocks for 2026 event with Steven Cress, featuring his newest list of high-conviction picks designed to target long-term performance. Steve’s previous Top Stocks lists have demonstrated an impressive track record , so don’t This article was written by Steven Cress, Quant Team 81.36K Follower s Follow Steven Cress is VP of Quantitative Strategy and Market Data at Seeking Alpha. Steve is also the creator of the platform’s quantitative stock rating system and many of the analytical tools on Seeking Alpha. His contributions form the cornerstone of the Seeking Alpha Quant Rating system, designed to interpret data for investors and offer insights on investment directions, thereby saving valuable time for users. He is also the Founder and Co-Manager of Alpha Picks, a systematic stock recommendation tool designed to help long-term investors create a best-in-class portfolio.Steve is passionate and dedicated to removing emotional biases from investment decisions. Utilizing a data-driven approach, he leverages sophisticated algorithms and technologies to simplify complex, laborious investment research, creating an easy-to-follow, daily updated grading system for stock trading recommendations.Steve was previously the Founder and CEO of CressCap Investment Research until its acquisition by Seeking Alpha in 2018 for its unparalleled quant analysis and market data capabilities. Prior to that, he had also founded the quant hedge fund Cress Capital Management, after spending most of his career running a proprietary trading desk at Morgan Stanley and leading international business development at Northern Trust.With over 30 years of experience in equity research, quantitative strategies, and portfolio management, Steve is well-positioned to speak on a wide range of investment topics. Analyst’s Disclosure: I/we have a beneficial long position in the shares of CRDO either through stock ownership, options, or other derivatives. I wrote this article myself, and it expresses my own opinions. I am not receiving compensation for it. I have no business relationship with any company whose stock is mentioned in this article. Seeking Alpha's Disclosure: Past performance is no guarantee of future results. No recommendation...

Preview: ~500 words