Two Promising Semiconductor Stocks Defying Nvidia's Shadow
Forget Nvidia: 2 Super Semiconductor Stocks to Buy Hand Over Fist, According to Wall Street
The Street has an overweight (bullish) rating on two exciting chip stocks not named Nvidia. Nvidia (NASDAQ: NVDA) is the role model for the artificial intelligence (AI) revolution. The company is worth a whopping $2.2 trillion as of this writing, with $1.5 trillion of that value added within the last 12 months alone. Nvidia's recent success boils down to its data center chips designed for processing AI workloads, which continue to attract incredible demand.
AMD is emerging as a competitor to Nvidia in data centers
AMD's chips power some of the world's most popular consumer electronics, including Sony's PlayStation 5, Microsoft's Xbox Series X, and even the infotainment systems in Tesla's electric vehicles. However, investors' attention is now on the data center.
- The MI300A was selected by the Lawrence Livermore National Laboratory to power its new El Capitan supercomputer, which is expected to be the fastest in the world when it comes online this year.
- Millions of computers from leading manufacturers like Dell, HP, and Asus (among others) have already shipped with Ryzen AI chips.
Axcelis Technologies is a critical part of the chip fabrication process
Axcelis manufactures ion implantation equipment, which is critical to the chip fabrication process. Producers of silicon carbide power devices -- which regulate electric power in workloads with high currents -- are a significant source of demand for Axcelis at the moment, thanks especially to the electric vehicle industry.
- The stock is up over 400% in the last five years, but it has taken a breather over the last few months, suffering a 44% decline from its all-time high.
- Moreover, when you also consider Wall Street's bullish stance on Axcelis stock, there is a very clear case for buying it right now.
This article was prepared using information from open sources in accordance with the principles of Ethical Policy. The editorial team is not responsible for absolute accuracy, as it relies on data from the sources referenced.