Nvidia (NASDAQ: NVDA) has seen its stock surge by approximately 26,000% over the past decade, with a market capitalization nearing $3.5 trillion, making it one of the two most valuable companies globally, alongside Microsoft. In its fiscal Q1 results, Nvidia reported data center revenues of $39.1 billion, which is over nine times the $4.3 billion from two years prior.
While Nvidia remains a leader in AI infrastructure, analysts warn that as its growth matures, percentage gains are likely to diminish. Alternatives like Advanced Micro Devices (NASDAQ: AMD) and Broadcom (NASDAQ: AVGO) present opportunities for investors looking for potential growth in AI. AMD has established a niche in AI inference, while Broadcom reported a 170% increase in AI networking revenue recently, comprising 40% of its total AI revenue.
Broadcom’s potential in custom AI chips could lead to an addressable opportunity of up to $90 billion, as demand for specialized AI solutions grows. AMD’s continued development in CPU and GPU technologies positions it well within the expanding AI market.
