Barclays: AI Spending to Soar in 2026; These Stocks Will Thrive

• Barclays predicts strong AI spending in 2026, driving a significant US capital expenditure cycle.
• AI stocks have fueled 75-80% of S&P 500's earnings and total performance over the past three years.
• Easing financial conditions and favorable regulations in 2026 are expected to boost equity valuations.
• Barclays highlights a dozen "overweight-rated" stocks, including Microsoft and Nvidia, poised to capitalize on AI growth.
• Microsoft and Nvidia have potential upsides of 31% and 55% respectively, according to Barclays' price targets.

Why It Matters: Barclays identifies key stocks like Microsoft and Nvidia set to gain from robust AI spending and favorable market conditions in 2026.