Four chip stocks positioned to benefit from AI infrastructure buildout, with Nvidia posting 85% revenue growth and Micron expecting over 260% growth next quarter.

Nvidia trades at 24 times forward earnings despite 85% growth during its first quarter; Broadcom is offering custom AI chips designed to be more cost-effective than GPU-based training, potentially generating more than $100 billion in annual revenue by end of next year compared with less than $70 billion over the past 12 months.

Taiwan Semiconductor Manufacturing (TSMC), the world's largest logic chip producer, expects AI-related chip revenue to rise at nearly a 60% compound annual growth rate from 2024 to 2029, with Wall Street projecting over 35% revenue growth this year; Micron, recently reaching $1 trillion market value, makes memory chips and faces a major shortage causing prices to spike.

Micron is the fastest-growing of the four companies, with Wall Street expecting more than 260% revenue growth next quarter; the memory chip shortage shows no sign of alleviation, which could sustain this growth trend.