Not every company tied to artificial intelligence (AI) is attracting capital equally.
While investors have grown more “selective” toward software names after sharp selloffs in stocks such as Fortinet and have questioned the economics of heavily leveraged AI infrastructure builders, money continues to flow toward companies selling the tools, software, and systems that power the AI boom.
Here are three tech names that continue to attract billionaire investors heading into 2027.
All three of these tech stocks are Buy-rated among Wall Street firms, with mean price targets indicating meaningful upside over the next 12 months.
Synopsys Inc (SNPS)
29 billionaire investors and 85 hedge funds hold Synopsys stock, making it one of the most widely owned tech names among elite investors.
Prominent holders have included Philippe Laffont’s Coatue Management and Jeremy Grantham’s GMO, both firms known for focusing on long-term technology trends rather than short-term market swings.
What likely attracts them is Synopsys’ position at the center of semiconductor development.
Every generation of more advanced chips requires increasingly sophisticated design software and intellectual property, giving the company exposure to AI, high-performance computing, and data-center growth without manufacturing chips itself.
Investors also appear drawn to its recurring software revenue and expanding footprint following the Ansys acquisition, even as integration and regulatory risks remain.
Datadog Inc (DDOG)
Datadog counts 29 billionaire investors and 92 hedge funds among its shareholders, giving it the highest hedge-fund participation of the three companies.
Well-known growth investors associated with the stock have included Philippe Laffont’s Coatue Management and Fidelity’s investment arm (FMR), both of which have historically favored businesses with durable growth runways.
The attraction is straightforward: as cloud environments and AI applications become more complex, companies need deeper visibility into the performance, reliability, and security of their systems.
Datadog sits directly in that workflow.
Strong revenue expansion, rising adoption among large enterprise customers, and substantial cash generation strengthen the bull case.
The lingering question is whether GAAP profitability can eventually catch up with the company’s rapid top-line growth.
Hewlett Packard Enterprise (HPE)
Like Synopsys, Hewlett Packard Enterprise is owned by 29 billionaire investors and 85 hedge funds, reflecting continued institutional confidence in its role within enterprise technology.
Notable investors have included activist heavyweight Paul Singer’s Elliott Investment Management and quantitative giant Ken Griffin’s Citadel Advisors, firms that often seek companies with identifiable catalysts for value creation.
HPE’s appeal stems from its combination of AI-linked infrastructure exposure and established cash-generating operations.
Demand for AI servers, networking equipment, and hybrid-cloud solutions has helped drive growth, while improving margins suggest management is converting revenue gains into stronger profitability.
Investors are also watching whether the Juniper acquisition can create lasting strategic benefits beyond the initial boost to reported results.
AI disclosure: AI tools assisted with research and drafting of this piece. An Invezz editor reviewed the facts, sources and wording before publication. Any opinions or analysis are Invezz’s, not those of an automated system.
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