AI Fever Collides with Treasury Yields: Top Infrastructure Stocks to Watch
The AI infrastructure buildout is colliding with rising Treasury yields and Nvidia's Q2 earnings report, putting data center and infrastructure stocks under a spotlight. With over $500 billion of AI-related financing in play, investors are watching these stocks closely as the Fed keeps them guessing on rates heading into Jackson Hole.
Rambus (RMBS) is a semiconductor company that designs memory interface chips and security IP used in high-performance computing and AI data center infrastructure. The company earns almost all its $756 million in revenue from semiconductors, supplying DDR5 and DDR4 memory interface products to hyperscalers and OEMs.
Advanced Energy Industries (AEIS) is a power electronics company that sits right in the flow of AI and data center spending, supplying precision power conversion and control gear to keep servers running reliably. The company generates almost all its $2 billion in revenue from power electronics conversion products, giving it focused exposure to power-hungry infrastructure.
PDF Solutions (PDFS) is a semiconductor software and analytics company that helps chip manufacturers improve yield and factory efficiency, indirectly supporting the AI data center buildout by making it easier and cheaper to produce advanced server chips. The company currently generates about $241 million in revenue from software & programming.