These 2 Artificial Intelligence (AI) Chip Stocks Could Soar 50% to 112% in the Next Year, According to Wall Street
From Yahoo Finance: 2025-04-26 08:00:00
Semiconductor stocks have faced a tough year, with a 23% decline in the PHLX Semiconductor Sector index due to trade war uncertainty. Recent positive developments, like a tariff pause and trade negotiations, offer hope. Investing in top semiconductor stocks could pay off, especially with the rise of AI technology for long-term gains.
Broadcom’s stock has dropped 28% in 2025 despite solid growth, with analysts predicting a 50% potential increase. AI revenue surged 77% year-over-year, contributing 27% of Broadcom’s revenue. Custom AI chips are in high demand, with a 44% year-over-year revenue increase expected in fiscal Q2, indicating strong growth potential.
Marvell Technology, Broadcom’s competitor, has seen a 55% stock drop but expects a 112% potential jump. With 27% year-over-year revenue growth and expectations of remarkable earnings growth, Marvell is a solid investment. The company is making strides in custom AI chip development and aiming for significant revenue increases in the future.
Investors looking for AI stocks should consider Broadcom and Marvell Technology for their growth potential. Both companies are heavily involved in custom AI chip development and have strong growth projections. Buying these stocks at discounted prices could lead to significant returns in the future.