Prediction: 3 Stocks That Will Benefit More From the AI Boom Than Nvidia by 2028

The artificial intelligence (AI) infrastructure market is booming, and Nvidia remains king. However, as the world's largest company, its stock may not have as much upside as some others in the space.

Let's look at three AI stocks that could outperform it over the next few years.

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1. Broadcom

The AI infrastructure market is seeing a shift toward custom AI chips, benefiting Broadcom (NASDAQ: AVGO). The company is a leader in application-specific integrated circuit (ASIC) technology, where it helps provide the blueprints and intellectual property to turn its customers' chip designs into physical chips that can be manufactured at scale. Broadcom helped Alphabet develop its highly successful Tensor Processing Units (TPUs), which continues to be a nice tailwind.

At the same time, other hyperscalers (owners of large data centers) have turned to Broadcom to help develop their own custom AI ASICs, including Meta Platforms and OpenAI. Broadcom projects it will generate more than $100 billion in AI chip revenue alone in fiscal 2027, which is about five times the total AI revenue it produced in fiscal 2025. Meanwhile, Broadcom's ASIC business also helps feed into its data center networking business, where the company is a leader in Ethernet technology with its Tomahawk solution.

With Broadcom poised for explosive growth over the next few years, it's a top AI stock to own.

2. AMD

As the distant No. 2 player in the graphics processing unit (GPU) market behind Nvidia, Advanced Micro Devices (NASDAQ: AMD) has the opportunity to grow more quickly, given its much smaller revenue base. Meanwhile, two large partnerships with OpenAI and Meta Platforms should be a big revenue growth driver for AMD.

As part of the deals, both customers have committed to purchasing 6 gigawatts of GPUs from AMD, which will require them to integrate its ROCm software platform into their data centers. In exchange, both customers will receive warrants representing up to 10% of the ownership in AMD, with vesting contingent on deliveries and AMD's share price. This incentivizes both OpenAI and Meta to help AMD succeed and become a more important player in the fast-growing inference market.

The biggest growth driver for AMD, though, may actually be in the data center central processing unit (CPU) market, where it is the market leader. While GPUs provide the muscle, CPUs act as the brain, and with the emergence of agentic AI, there will be a much greater need for high-performance CPUs to coordinate the data flow and logic behind AI agents.

Between its GPU partnerships and growing data center CPU demand, AMD looks well positioned to outperform moving forward.

3. Micron Technology

While Micron Technology (NASDAQ: MU) shares took a breather after the memory maker posted amazing fiscal second quarter results, the company is still one of the best-positioned companies in the AI infrastructure space, and its stock trades at a forward price-to-earnings (P/E) ratio of below 4.5 times fiscal 2027 analyst estimates.

That low valuation stems from the historically cyclical nature of the memory business, which has seen a lot of boom-and-bust cycles in the past. However, for GPUs and other AI chips to perform at their best, they need to be packaged with a special form of DRAM (dynamic random-access memory) called high bandwidth memory.

However, the three big DRAM makers, which also include Korean companies Samsung and SK Hynix, are now looking to lock in longer-term supply deals, which should help increase visibility and reduce some of the cyclical nature of their business. Micron recently confirmed that it has signed its first five-year strategic customer commitment, marking a major shift from its traditional one-year agreements.

While Micron doesn't have the same moat or technological edge as Nvidia, it is ultimately riding the same secular tailwinds. As such, the valuation gap between the two companies should not be as wide, which sets its stock up to outperform.

Geoffrey Seiler has positions in Advanced Micro Devices, Alphabet, Broadcom, and Meta Platforms. The Motley Fool has positions in and recommends Advanced Micro Devices, Alphabet, Meta Platforms, Micron Technology, and Nvidia. The Motley Fool recommends Broadcom. The Motley Fool has a disclosure policy.