The AI infrastructure sector is thriving, with market confidence up due to potential trade deals and rate cuts. Three AI infrastructure stocks with over 10% returns and a Zacks Rank #1 are highlighted: CRDO, JBL, and LITE. Massive investment in AI infrastructure is expected to drive significant growth in various sectors over the next five years.

Credo Technology Group Holding Ltd. specializes in high-performance serial connectivity solutions for data centers and AI markets. Their Active Electrical Cables product line is gaining traction, particularly in the data center market. Additionally, CRDO’s optical business and innovative products like PCIe retimers are expected to drive revenue growth and industry transition.

Jabil Inc. benefits from diverse business verticals like capital equipment and AI-powered data center infrastructure. The company’s focus on product diversification and financial management practices is driving growth. JBL’s generative AI applications and wide portfolio offer resilience in times of disruption. Expected revenue and earnings growth rates for next year are promising.

Lumentum Holdings Inc. designs optical technologies for high-speed telecommunications and AI applications. LITE’s products support AI, cloud computing, and 5G connectivity markets. Collaboration with NVIDIA is boosting LITE’s presence in the AI ecosystem. Strong revenue and earnings growth rates are forecasted for the current year, with a positive outlook for AI infrastructure demand.

Read more at Nasdaq: Buy 3 AI Infrastructure Stocks Backed by Past Month’s Solid Momentum