The outgoing year witnessed some of the intense volatilities in the equity market in recent memory due to incessant threats of tariffs and counter-tariffs on one hand and market resilience on the other, largely driven by AI and the technology sector dominance. Despite a sharp market sell-off that led to a bloodbath in April, some blue-chip tech firms stood tall against the carnage, helping broader market indices to record several all-time highs later in the year. A change of stance by the Federal Reserve also buoyed the uptrend, with the aggressive rate hikes in the preceding years giving way to multiple rate cuts. 

The tech sector has gained 25.6% to date in 2025, outperforming the S&P 500 composite growth of 18.2%. Much of the tech sector’s stellar run was attributable to massive investments in developing AI infrastructure and the emergence of AI-based semiconductor chips that solve complex problems in split seconds. These chips include graphics processing units (GPUs), field-programmable gate arrays (FPGAs) and application-specific integrated circuits (ASICs), which dramatically accelerate the identical, predictable and independent calculations required by AI algorithms. The precedence for low-latency, high-bandwidth applications for faster access to data processing also gained steam.

This has brought several telecommunications and electronics firms to the forefront. Leveraging proprietary modeling and simulation techniques to optimize networks, these firms offer high-speed network access solutions across Internet protocol, asynchronous transfer mode and time-division multiplexed architecture in both wireline and wireless network applications. The firms have enabled enterprises to rapidly scale communications functionalities to a vast range of applications and devices with easy-to-use software application programming interfaces to support wireline and wireless network convergence.

Let us delve a little deeper into four such tech stocks that have soared more than 100% in 2025 to understand the underlying growth dynamics. In addition to solid Zacks Rank and strong fundamentals, these stocks have a healthy Zacks Industry Rank and are placed within the top half of more than 250 Zacks industries. Our research shows that the top 50% of the Zacks-ranked industries outperform the bottom 50% by a factor of more than two to one. 

Celestica Inc. (CLS Quick QuoteCLS - Free Report) has been benefiting from the ongoing generative AI boom, thanks to the solid demand trends for AI/ML compute and networking products from hyperscale customers. AI investments are driving demand for Celestica’s enterprise-level data communications and information processing infrastructure products, such as routers, switches, data center interconnects, edge solutions and servers and storage-related products.

Celestica’s focus on product diversification and increasing its presence in high-value markets is positive. Its strong research and development foundations allow it to produce high-volume electronic products and highly complex technology infrastructure products for a wide range of industries. The company continuously enhances its manufacturing, engineering, design, quality and supply-chain capabilities while developing trusted relationships with leading customers. This strategy has augmented its market penetration in each of the markets it serves.

With an average broker recommendation (ABR) of 1.35, the stock has gained 228.3% in 2025 (till Dec. 15). Earnings estimates for Celestica for the current and next fiscal year have moved up 33.2% and 41.8%, respectively, since December 2024. It has a Zacks Industry Rank #5 (top 2%). Celestica sports a Zacks Rank #1 (Strong Buy) at present. You can see the complete list of today’s Zacks #1 Rank stocks here.

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CommScope Holding Company, Inc. (COMM Quick QuoteCOMM - Free Report) is developing solutions that are essential for the success of 5G technology. Its product portfolio has been specifically designed to help global service providers efficiently deploy fiber networks. CommScope has strengthened its portfolio by acquiring Casa Systems' Cable Business assets. The acquisition enhanced CommScope’s market-leading position in Access Network Solutions. It bolstered its virtual CMTS (Cable Modem Termination Systems) and PON (Passive Optical Network) product offerings, bringing significant synergies to the company’s operations, especially in the domain of cloud-native network solutions.

CommScope has launched the HX6-611-6WH/B antenna to revolutionize the way network operators scale their operations by providing a high-capacity microwave backhaul solution that meets the demands of future networks. By operating seamlessly in both the 6 GHz and 11 GHz bands, the HX6-611-6WH/B ensures reliable, long-haul connectivity, making it a critical asset for mobile network operators (MNOs) looking to future-proof their infrastructure. The company’s continuous innovation in microwave backhaul technology is expected to boost demand for its products as MNOs seek to upgrade their networks to handle the growing data traffic and connectivity needs of the future. The introduction of this advanced antenna further underscores the company's commitment to delivering high-performance, cost-effective solutions to address the evolving needs of the telecommunications industry.

With an ABR of 1.83 and long-term earnings growth expectations of 13.5%, the stock has gained 265.3% in 2025 (till Dec. 15). Earnings estimates for CommScope for the current and next fiscal year have moved up 358.3% and 68.2%, respectively, since December 2024. It has a Zacks Industry Rank #16 (top 7%). CommScope sports a Zacks Rank #1 at present.

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AST SpaceMobile, Inc. (ASTS Quick QuoteASTS - Free Report) is building the world’s first and only global cellular broadband network in space, accessible directly by standard smartphones (4G-LTE/5G devices) for commercial and government use, leveraging its extensive Intellectual Property and patent portfolio. The SpaceMobile Service is currently planned to be provided by a constellation of high-powered, large phased-array satellites in low Earth orbit (“LEO”) using low-band and mid-band spectrums controlled by MNOs in areas lacking terrestrial network coverage.

AST SpaceMobile is slated to launch BlueBird 6, the first of its next-generation satellites, next week. Featuring the largest commercial phased array in LEO at nearly 2,400 square feet, the satellite will reportedly mark a 3.5x increase in size over its predecessors with 10x data capacity. AST SpaceMobile is reportedly on track to deploy about 45-60 satellites in orbit by the end of 2026. The company’s first five commercial satellites (dubbed BlueBird) in LEO marked a key advancement in developing a space-based mobile network infrastructure. These satellites feature commercial communications arrays spanning 693 square feet, offering non-continuous service across the United States using more than 5,600 cells within the premium low-band spectrum. The company boasts a diverse portfolio of more than 3,800 patents and patent-pending claims worldwide for the direct-to-cell satellite ecosystem from space to Earth.

With long-term earnings growth expectations of 30.9%, the stock has gained 221.4% in 2025 (till Dec. 15). It has a Zacks Industry Rank #43 (top 18%). AST SpaceMobile carries a Zacks Rank #3 (Hold) at present. 

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Micron Technology, Inc. (MU Quick QuoteMU - Free Report) has established itself as one of the leading worldwide providers of semiconductor memory solutions. Through global brands, namely Micron, Crucial and Ballistix, it manufactures high-performance memory and storage technologies, including Dynamic Random Access Memory (DRAM), NAND flash memory, NOR Flash, 3D XPoint memory and other technologies. Its solutions are used in leading-edge computing, consumer, networking and mobile products. Micron is capitalizing on the AI boom with its HBM3E solutions, which are increasingly being adopted by major hyperscalers and enterprise customers. It is poised to be the key beneficiary of surging AI-related infrastructure spending, as companies continue to build out GPU clusters and AI data centers that require advanced memory solutions.

In addition, the company is expanding its foothold in the SSD storage market. The emergence of thinner laptops and tablets over the past few years has created ideal market conditions for SSDs, which are now entering the higher end of the market. Furthermore, secular growth of digital data, modest growth in TAM and higher demand for storage will likely drive growth. The company is actively engaged in long-term agreements with NVIDIA, AMD and Intel, enabling Micron to capture a larger share of the AI infrastructure market. Additionally, Micron’s focus on long-term supply agreements with major cloud and enterprise customers ensures stable revenue streams and reduces the risk of pricing volatility. These partnerships are expected to contribute meaningfully to revenue growth in the coming quarters.

With an ABR of 1.35 and long-term earnings growth expectations of 35.4%, the stock has gained 182.2% in 2025 (till Dec. 15). Earnings estimates for Micron for the current and next fiscal year have moved up 69.9% and 208.7%, respectively, since December 2024. It has a Zacks Industry Rank #14 (top 6%). It has a VGM Score of A. Micron sports a Zacks Rank #1 at present.

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