2 Artificial Intelligence (AI) Infrastructure Stocks Outgrowing Nvidia

Nvidia (NASDAQ: NVDA) may get a lot of the press in the artificial intelligence (AI) investing world, but there are other stocks out there that are growing quicker than Nvidia that don't get nearly as much attention as they deserve. Furthermore, Nvidia is also looking out for these companies, and has actually taken a position in them itself. That's a huge vote of confidence, as Nvidia has several other business units that can deliver a huge return on investment. Yet, it's choosing to invest in these two.

The stocks outgrowing Nvidia that are also backed by it are Nebius (NASDAQ: NBIS) and CoreWeave (NASDAQ: CRWV). Each of these looks like a strong buy, and I think they have the potential to outperform Nvidia.

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Nebius and CoreWeave are easily outgrowing Nvidia

Nebius and CoreWeave are both neocloud companies, which are cloud computing businesses completely focused on providing AI computing. Each deploys Nvidia hardware, which is also why Nvidia is confident in them, because it can see huge orders being placed by these two. Nebius and CoreWeave operate a bit differently. Nebius offers its clients a full-stack computing solution, giving them everything they need to create, train, and run AI models and applications. CoreWeave's offering is heavily dependent on GPUs (graphics processing units) that are available on demand for increased computing power.

Nebius is the smaller of the two businesses, but has the faster growth rate. In Q1, Nebius posted jaw-dropping revenue growth of 684% from the year-earlier period. That's just absurdly fast, but it could be just the beginning. Wall Street analysts expect Nebius to deliver 551% revenue growth this year and 224% next year. From 2025 to 2027, Nebius' revenue is projected to increase from $530 million to $11.2 billion.

That's an unbelievable growth rate in a short time frame, and showcases the monstrous demand for Nebius' computing platform. With growth like that, it's hard to ignore this stock, and it could easily outperform Nvidia over the same time frame.

CoreWeave isn't growing as fast as Nebius, but it's no slouch. In Q1, its revenue rose 112% from a year earlier to $2.1 billion. Like Nebius, CoreWeave has piled up a huge order backlog from the various clients it has signed to its platform. Its backlog now sits at nearly $100 billion, with more than a third of that expected to turn into revenue during the next two years. Wall Street is similarly bullish on CoreWeave's growth prospects, with analyats expecting revenue to rise 147% in 2026 and 97% in 2027. Both of those years will likely exceed Nvidia's growth rates, making it an intriguing stock to buy now.

However, there are some important notes to keep in mind for each business.

Nebius and CoreWeave aren't profitable

Nebius and CoreWeave are in a generational opportunity for each of their businesses, so it shouldn't surprise investors that profits are an afterthought. However, investors need to know how these two are funding their build-out. Data centers aren't cheap, and with CoreWeave and Nebius not having a base business to fund these expansions, they must raise capital somehow. That can be through issuing shares or taking on debt, but either way creates increased risk for shareholders. However, it's also the only way for these two to operate, so it's not really a choice.

The main thing investors must consider before investing is the increased risk these two pose, given their funding structures and the long-term ramifications for returns if issuing shares is the primary mechanism for raising capital. This can dilute existing shareholders (similar to how inflation decreases the purchasing power of the dollar), and damp long-term returns.

However, with the major growth these two are experiencing, I think they can easily deliver a strong return on investment and become solid companies in a few years. It won't be easy, but with major AI demand, I think these two can do it.

Keithen Drury has positions in Nebius Group and Nvidia. The Motley Fool has positions in and recommends Nvidia. The Motley Fool has a disclosure policy.