Investors pick top stocks for 2025

In a recent interview on CNBC Africa, David Shapiro, Chief Global Equity Strategist at Sasfin Wealth, shared his top stock picks for 2025. The discussion centered around key companies such as ASML, NVIDIA, Microsoft, Hermes, and Walmart. Shapiro remains bullish on tech stocks despite the emergence of new competitors in the market, emphasizing that increased competition only serves to expand the applications of technology, much like the evolution of smartphones did in the past. He highlighted the resilience of companies like Alibaba, which have swiftly responded to challenges posed by newcomers like DeepSeek. When prompted about concerns regarding valuations in the tech sector, Shapiro remained confident, drawing on historical examples from the dot-com era to illustrate that market dynamics are constantly evolving. He stressed the importance of staying agile as an investor and being prepared to pivot when industry landscapes shift. Shapiro's top stock pick, ASML, saw a surge in performance following the announcement of orders exceeding analyst expectations. The Dutch company, instrumental in manufacturing machines for semiconductor production, reaffirmed its pivotal role in advancing AI technologies. Shapiro expressed optimism in ASML's continued relevance in the supply chain, particularly within the AI sector. Discussing stalwart tech giants Microsoft and NVIDIA, Shapiro lauded Microsoft's cloud business and commitment to artificial intelligence development, while acknowledging the inevitable challenges of sustaining rapid growth. He defended NVIDIA against naysayers, asserting that competition in the AI space would only drive further innovation and demand for advanced technologies. Transitioning to the retail sector, Shapiro highlighted the transformation of Walmart under new management, emphasizing the company's focus on e-commerce and the evolving consumer landscape. He noted a shift towards value-conscious shopping and the rising influence of social media platforms in shaping consumer preferences. Lastly, Shapiro spotlighted luxury retailer Hermes, renowned for its exclusive offerings like the coveted Birkin bag. He underscored the brand's allure among affluent clientele and its ability to command premium prices for coveted products. Drawing parallels to other elite brands like Ferrari, Shapiro praised Hermes for its loyal customer base and exceptional market positioning. As Shapiro concluded the interview, he emphasized the enduring appeal of high-end retailers like Hermes and the value of investing in companies with distinct market advantages. Despite uncertainties in the global economic landscape, Shapiro's top stock picks for 2025 reflect a blend of technological innovation and consumer trends, positioning investors for long-term growth and resilience.