Nvidia (NASDAQ: NVDA) is the position mannequin for the unreal intelligence (AI) revolution. The corporate is value a whopping $2.2 trillion as of this writing, with $1.5 trillion of that worth added inside the final 12 months alone. Nvidia’s current success boils all the way down to its knowledge heart chips designed for processing AI workloads, which proceed to draw unimaginable demand.However regardless of capturing the lion’s share of traders’ consideration, Nvidia is not the one alternative within the semiconductor house. In accordance with The Wall Road Journal, analysts have a consensus obese (bullish) score on two different names: Superior Micro Units (NASDAQ: AMD) and Axcelis Applied sciences (NASDAQ: ACLS).This is why proudly owning shares of AMD and Axcelis may be a improbable concept, too.1. AMD is rising as a competitor to Nvidia in knowledge centersAMD’s chips energy a number of the world’s hottest client electronics, together with Sony’s PlayStation 5, Microsoft’s Xbox Collection X, and even the infotainment techniques in Tesla’s electrical autos. Nevertheless, traders’ consideration is now on the info heart.The corporate has begun delivery its newest MI300 lineup of knowledge heart chips designed for AI workloads — {hardware} that competes with Nvidia’s industry-leading H100 graphics processing unit (GPU). The MI300 is available in two configurations: The MI300A combines GPU and CPU {hardware} to create an accelerated processing unit (APU), whereas the MI300X is a pure GPU.The MI300A was chosen by the Lawrence Livermore Nationwide Laboratory to energy its new El Capitan supercomputer, which is anticipated to be the quickest on the earth when it comes on-line this 12 months. Nevertheless, AMD can be experiencing sturdy industrial demand for the MI300 vary from main knowledge heart operators like Oracle, Microsoft, and Meta Platforms.The MI300 will seemingly ship AMD’s knowledge heart income hovering within the subsequent few years. It will not be straightforward to catch Nvidia in that section. Nevertheless, AMD does have a 90% market share in AI-enabled private computer systems. Its Ryzen 700 sequence (Ryzen AI) chips are designed to deal with highly effective AI workloads on-device, resulting in quicker response occasions for the tip person as a result of requests aren’t touring forwards and backwards to the info heart.Story continuesMillions of computer systems from main producers like Dell, HP, and Asus (amongst others) have already shipped with Ryzen AI chips. Within the current fourth quarter of 2023, Ryzen AI chips despatched AMD’s Shopper section income hovering 62% 12 months over 12 months. The corporate plans to launch a brand new processor, which is as much as thrice quicker than earlier iterations, so this enterprise is simply getting warmed up.Mixed with a forecast $3.5 billion income contribution from the MI300 sequence of their first full 12 months of gross sales, 2024 is about to be AMD’s largest 12 months but. It is no shock that almost all of the 50 analysts tracked by The Wall Road Journal have given AMD inventory the very best potential purchase score.2. Axcelis Applied sciences is a important a part of the chip fabrication processAxcelis Applied sciences is not a glamorous producer of GPUs like Nvidia or AMD. In reality, it is comparatively ignored, with The Wall Road Journal monitoring simply eight analysts who cowl its inventory. Nonetheless, nearly all of them have given it the very best potential purchase score, and it trades at a really engaging valuation proper now, which could entice traders to comply with the Road’s lead.Axcelis manufactures ion implantation tools, which is important to the chip fabrication course of. Producers of silicon carbide energy units — which regulate electrical energy in workloads with excessive currents — are a big supply of demand for Axcelis in the mean time, thanks particularly to the electrical automobile {industry}. Silicon carbide chemistry is extra environment friendly than conventional silicon chemistry, which results in extra mileage per battery cost and quicker charging occasions.The corporate can be getting ready for rising demand from producers of AI-related semiconductors. Final 12 months, the corporate famous that AI requires considerably extra reminiscence and storage capability, which may make DRAM and NAND chips extra complicated to fabricate, and costlier.Axcelis generated a file $1.13 billion in income throughout 2023, representing a 22.9% year-over-year improve. However here is the kicker: The corporate ended 2023 with an order backlog value $1.2 billion, so 2024 is shaping as much as be one other file 12 months.The inventory is up over 400% within the final 5 years, however it has taken a breather over the previous few months, struggling a 44% decline from its all-time excessive. That may spell alternative, as a result of primarily based on the corporate’s $7.43 in earnings per share in 2023, the inventory now trades at a price-to-earnings (P/E) ratio of simply 14.6. That is a 59% low cost to the 35.6 P/E ratio of the iShares Semiconductor ETF, so Axcelis’ inventory is considerably cheaper than the remainder of the chip {industry}, on common.Furthermore, once you additionally think about Wall Road’s bullish stance on Axcelis inventory, there’s a very clear case for purchasing it proper now.The place to take a position $1,000 proper nowWhen our analyst crew has a inventory tip, it could actually pay to hear. In any case, the e-newsletter they’ve run for 20 years, Motley Idiot Inventory Advisor, has greater than tripled the market.*They only revealed what they imagine are the ten greatest shares for traders to purchase proper now… and Superior Micro Units made the record — however there are 9 different shares it’s possible you’ll be overlooking.See the ten shares*Inventory Advisor returns as of March 11, 2024Randi Zuckerberg, a former director of market improvement and spokeswoman for Fb and sister to Meta Platforms CEO Mark Zuckerberg, is a member of The Motley Idiot’s board of administrators. Anthony Di Pizio has no place in any of the shares talked about. The Motley Idiot has positions in and recommends Superior Micro Units, HP, Meta Platforms, Microsoft, Nvidia, Oracle, and Tesla. The Motley Idiot recommends the next choices: lengthy January 2026 $395 calls on Microsoft and quick January 2026 $405 calls on Microsoft. The Motley Idiot has a disclosure coverage.Overlook Nvidia: 2 Tremendous Semiconductor Shares to Purchase Hand Over Fist, In accordance with Wall Road was initially revealed by The Motley Idiot