AI adoption will play a greater role deciding next year's winners and losers. Here's why
More investors are casting an eye toward non-tech companies.
TL;DR
- AI adoption is expected to be a key factor in stock market performance in 2026.
- While AI enablers (chipmakers, cloud providers) are expected to remain strong, investors are increasingly looking at non-tech companies that are adopting AI.
- AI integration is anticipated to drive productivity improvements and potential earnings growth for companies.
- Goldman Sachs forecasts AI-driven productivity benefits will boost S&P 500 earnings growth.
- Cyclical sectors like industrials, materials, and consumer discretionary are likely to benefit the most.
- Concerns exist about potential job market weakening due to AI adoption, which could impact consumption.
- Big banks and pharmaceuticals are identified as other sectors that could benefit from AI adoption.