AI chips on the upswing: These shares promise 2025 high profits!

The demand for AI chips could offer considerable investment opportunities in 2025. Analyst Stacy Rasgon from Bernstein recommends investing in certain AI chip shares and gives Nvidia, Broadcom and Qualcomm an "outperform" assessment. Nvidia is viewed as a clear favorite among the chip manufacturers and could benefit from an upcoming product cycle.

The high demand for Nvidia chips goes hand in hand with the expectation that the company will experience an “exceptionally good year” in 2025. Broadcom will also benefit from the increasing demand for AI chips. Rasgon expects the sales to increase with these chips in the second half of 2025 and CEO Hock Tan estimates a market potential of $ 60 to 90 billion for AI chips by 2027. Qualcomm, on the other hand, is considered promising and "extremely cheap", especially in the field of automotive technology.

technological developments and market prospects

nvidia plans to introduce his next AI chip architecture, the Blackwell, which replaces the existing Hopper architecture. According to CEO Jensen Huang, Blackwell could be the most successful product of the company. Nvidia and Broadcom have exceeded the S&P 500 since January 2023, with Nvidia rising by over 180%. Both companies expect significant growth by 2025, since AI technology requires a high computing requirement.

in 2024 Broadcom achieved a AI turnover of $ 12.2 billion in the financial year, which corresponds to an increase of 220% compared to the previous year. Broadcom has concluded significant contracts for the development of AI inference chips with large companies, which probably include Openai and Apple. Analysts appreciate long-term profit growth of almost 22% annually for Broadcom and see the AI market chances of $ 60 to 90 billion until 2027.

The PEG ratio, a measure of the price-performance ratio of the shares, is 1.2 at Nvidia and at Broadcom 1.8. While Nvidia is a better price-performance ratio, it could also be riskier. Long -term investors could consider both shares, with Nvidia considered the better choice for 2025, such as finanzen.net and The Motley fool Report.