The Santa Claus rally never materialized, but January is off to a fairly decent start with some tech names bouncing back. Though it’s too soon to tell if the AI trade is bound for another leg higher, I do think there are reasons to be encouraged after a rather turbulent fourth quarter for big tech. As the bulls and bears debate over where AI and tech stocks are headed next, it might be worthwhile to look at where some of the bigger opportunities in AI lie as we kick off a new year with new catalysts.
Add new commentary from industry juggernauts into the equation (think Jensen Huang of Nvidia (NASDAQ:NVDA | NVDA Price Prediction)), and perhaps the groundwork for another AI rally could be put in place. With Huang stating that “the ChatGPT moment for physical AI is here,” perhaps it’s time to pay closer attention to the AI innovators that have skin in the robotics game.
Here are two big-tech stocks that could have a big year if the AI trade manages to find its footing again after a turbulent past couple of months. While there’s no telling what will soothe AI spending and bubble fears, I do think that it’s quarterly earnings that investors should be paying most attention to.
Amazon
If 2026 really is a year where physical AI and robotics have a “ChatGPT moment” of sorts, Amazon (NASDAQ:AMZN) stands out as a Magnificent Seven laggard that could quickly evolve into a leader. With Alexa+ looking to go toe-to-toe with other AI models on the consumer market, questions linger as to whether the e-commerce titan can close ground with the likes of ChatGPT and others.
Undoubtedly, few saw Amazon as a rising AI threat in 2025, but that could change in 2026, especially with shares gaining close to 3% in a day following news that Amazon launched its new model on the web via Alexa.com. While the AI model scene might be more commoditized, I do think that robotics and in-home devices could be the differentiating factor. Many Amazon shoppers already have an Echo device in their homes. And if Amazon can deliver a cheaper, more useful form of Astro, perhaps we could witness the warehouse robotics innovator join the household robot.
Even if household robots are still more than a year away, Amazon is breaking huge ground with its warehouse robots. And that alone makes the firm a top physical AI play in the Mag Seven basket. Time will tell how Amazon stock fares in the new year, but with a very reasonable 31.9 times trailing price-to-earnings (P/E) multiple and ample potential to deliver new AI innovations, I certainly wouldn’t stand in the way of the firm as it looks to command a richer multiple.
Apple
Like Amazon, Apple (NASDAQ:AAPL) isn’t too hyped when it comes to AI. With a Siri overhaul looming and rumors of a desktop robot in the works, perhaps it’s the consumer devices company we all know and love that could dominate in physical AI as it comes into its prime.
Of course, it’s hard to tell what such a desktop robot will entail, when it will launch (perhaps this year or not), and what it’ll eventually pave the way for (perhaps a humanoid at some point down the line?). Either way, Apple Intelligence must go right in 2026 if the company is to be a success once physical AI hits the ground running, whether it be later this year or sometime in the near future.
In any case, I think Apple’s impressive silicon makes it a frontrunner in the rise of robotics, especially given the amount of processing that will need to happen on the edge. While Apple probably won’t be the first in the robotics race, it will probably deliver a product that’s the best. And that alone makes the name worth sticking with amid its recent 5-6% slump.
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