In this piece, we discuss the 11 best AI infrastructure stocks to buy right now.
The market is seeing a reshaping in global capital flows, corporate strategies, and investor sentiment amid the emergence of artificial intelligence (AI) as the defining force of the ongoing market cycle. As of October 14, 2025, global AI spending is projected to hit the $375 billion mark in 2025 alone and surpass $500 billion by 2026, according to UBS. This is shaping market sentiment such that investors are feeling optimistic that the technology could drive economic growth despite the faltering of traditional sectors.
Reflecting this enthusiasm, on October 14, Wedbush Securities’ Dan Ives compared today’s AI infrastructure boom to “building Vegas in the 1950s” or “Dubai 30 years ago,” highlighting the technology’s transformative potential.
At the same time, however, the massive investment surge is raising concerns about its sustainability. CNBC’s Jim Cramer warned on November 11 that OpenAI’s reliance on debt to fund its multibillion-dollar infrastructure commitments could ripple across the broader AI ecosystem. Thus, he emphasized the need to diversify into other “growth areas,” urging investors to remain cautious of the end of the era of easy gains. Furthermore, on the same day, stocks of DoorDash, Duolingo, and Roblox recorded declines as the companies announced their plans to increase spending on AI.
With this backdrop in mind, let’s move on to our list of the 11 best AI infrastructure stocks to buy right now.
Photo by NeONBRAND on Unsplash
Our Methodology
To curate our list of the 11 best AI infrastructure stocks to buy right now, we consulted ETFs and financial media reports to compile a list of the top AI infrastructure stocks. Next, we assessed hedge fund ownership in these stocks, using Insider Monkey’s hedge fund database. Finally, our list of the best AI infrastructure stocks is presented in ascending order based on the number of hedge funds holding stakes in each stock.
Why are we interested in the stocks that hedge funds pile into? The reason is simple: our research has shown that we can outperform the market by imitating the top stock picks of the best hedge funds. Our quarterly newsletter’s strategy selects 14 small-cap and large-cap stocks every quarter and has returned 427.7% since May 2014, beating its benchmark by 264 percentage points (see more details here).
11. Arm Holdings Plc (NASDAQ:ARM)
Number of Hedge Fund Holders: 41
With significant hedge fund interest, Arm Holdings Plc (NASDAQ:ARM) secures a spot on our list of the 11 best AI infrastructure stocks to buy right now.
On November 12, 2025, The Fly reported that Loop Capital increased its price target on Arm Holdings Plc (NASDAQ:ARM) from $155 to $180, while reiterating a “Buy” rating. The investment firm’s bullish stance stemmed from the company’s quarterly beat reported in its fiscal Q2 results.
Additionally, on November 7, 2025, The Fly reported that Morgan Stanley increased its price target on Arm Holdings Plc (NASDAQ:ARM) from $171 to $180, while maintaining an “Overweight” rating. The firm attributed its raised target to the company’s Q2 earnings and sales, both of which exceeded the upper end of its guidance. Furthermore, the investment firm highlighted the company’s expanding role in the accelerating AI ecosystem, evident from its increased operating expenses.
Meanwhile, on November 5, Arm Holdings Plc (NASDAQ:ARM) reported fiscal Q2 2025 results, noting record revenue of $1.14 billion, a year-over-year increase of 34%. Meanwhile, non-GAAP EPS came in at $0.39, surpassing the midpoint of guidance. The company reported $620 million in royalty revenue with a 21% growth. Thanks to strong demand for next-generation AI chips, licensing grew 56% to $515 million. The quarter also marked heightened R&D spending, growing operating expenses 31% to $648 million, driven by new chiplet and data center projects.
Looking ahead, Arm Holdings Plc (NASDAQ:ARM)’s partnership with Meta, announced during October, is expected to enhance its AI efficiency, while its agreed acquisition of DreamBig Semiconductor is expected to expand its networking IP footprint.
Operating across data center, smartphone, and IoT markets, Arm Holdings Plc (NASDAQ:ARM) designs, develops, and licenses CPU and semiconductor IP to global chipmakers and OEMs.
10. Nebius Group N.V. (NASDAQ:NBIS)
Number of Hedge Fund Holders: 45
With significant hedge fund interest, Nebius Group N.V. (NASDAQ:NBIS) secures a spot on our list of the 11 best AI infrastructure stocks to buy right now.
On November 12, 2025, Nebius Group N.V. (NASDAQ:NBIS) saw Northland Capital reduce its price target on the company from $211 to $206, while reiterating an “Outperform” rating. The firm attributed its bullish stance to impressive reliability metrics, a key to its growth outlook. This is evident from the company’s “sold-out” capacity across the September and December quarters, reflecting strong demand momentum. The investment firm is confident in the company’s guidance of 38-55 MW of incremental active power for the December quarter, alongside a 1.5 GW expansion of contracted power by the end of 2026.
Northland Capital’s revision to its price target followed the company’s announcement of a $3 billion, five-year deal with Meta on November 11. The deal, which will see Nebius Group N.V. (NASDAQ:NBIS) supplying AI infrastructure to Meta, reflects surging hyperscaler demand for high-performance computing power. This builds on the company’s momentum shown in the third quarter, as it reported a 355% revenue surge, allowing the company to project $7-$9 billion in annualized revenue by 2026.
Nebius Group N.V. (NASDAQ:NBIS), which owns Avride and TripleTen, and holds stakes in companies Toloka and Clickhouse, delivers advanced AI infrastructure solutions.
9. Super Micro Computer, Inc. (NASDAQ:SMCI)
Number of Hedge Fund Holders: 48
Super Micro Computer, Inc. (NASDAQ:SMCI) is one of the 11 best AI infrastructure stocks to buy right now.
On November 7, 2025, Argus Research upgraded Super Micro Computer, Inc. (NASDAQ:SMCI) from “Hold” to “Buy” with a $64 price target. Reflecting on the company’s Q1 2026 results, the investment firm highlighted its long-term AI infrastructure opportunity, supported by its expanding backlog, which already hit the $13 billion mark. Despite the company’s short-term revenue and margin struggles, the firm believes SMCI’s shares are trading at less than half the peak price seen at the start of 2024. Moreover, the firm sees a strong outlook for Super Micro Computer, Inc. (NASDAQ:SMCI), driven by robust demand for its products due to generative AI.
Meanwhile, on November 4, 2025, Super Micro Computer, Inc. (NASDAQ:SMCI) released fiscal Q1 2026 earnings, reporting $5 billion in revenue, down 15% YoY and 13% sequentially. The revenue was driven by AI GPU platforms, which accounted for over 75% of total sales. Its record $13 billion backlog included one of the largest deals in its 32-year history. Looking ahead, the company reaffirmed its full-year revenue outlook of at least $36 billion. Meanwhile, it expects revenue to lie between $10 billion and $11 billion in the second quarter.
Operating across the U.S., Asia, and Europe, Super Micro Computer, Inc. (NASDAQ:SMCI) designs and sells modular server and storage solutions.
8. Coherent, Inc. (NASDAQ:COHR)
Number of Hedge Fund Holders: 66
With significant hedge fund interest, Coherent, Inc. (NASDAQ:COHR) secures a spot on our list of the 11 best AI infrastructure stocks to buy right now.
On November 10, 2025, Craig-Hallum’s Richard Shannon reiterated his “Buy” rating on Coherent, Inc. (NASDAQ:COHR) with a $190 price target.
Previously, on November 7, 2025, William Blair’s Jed Dorsheimer reiterated his “Hold” rating on Coherent, Inc. (NASDAQ:COHR). The analyst cited the company’s strong Q1 2026 results, highlighting its increasing role in the AI technology stack amid improving transceiver supply conditions.
The analyst believes that the company’s new products, including the 400 mW CW laser and next-generation 2D VCSEL array, which enhance its position in AI-driven data centers, are already factored into its valuation. Dorsheimer also pointed toward improved margins and earnings performance, which benefited from Coherent, Inc. (NASDAQ:COHR)’s divestiture of its Aerospace & Defense unit.
Earlier, Coherent, Inc. (NASDAQ:COHR) released its Q1 2026 results on November 5, 2025, reporting $1.58 billion in revenue, up 17% YoY. Non-GAAP EPS came in at $1.16, an increase from $1.00 in the prior quarter. Despite record-level bookings, management highlighted ongoing supply constraints in indium phosphide lasers, limiting data center shipment capacity.
The company’s CEO, James Anderson, discussed plans to double indium phosphide capacity across its Texas and Sweden sites, as well as to advance its 6-inch production line to meet the growing demand for AI optical components. Furthermore, Coherent, Inc. (NASDAQ:COHR) continues its efforts to streamline operations, having exited 23 sites over the past five quarters and expanded module production in Asia to enhance delivery efficiency.
Coherent, Inc. (NASDAQ:COHR) serves the industrial, communications, and electronics markets by developing, manufacturing, and marketing engineered materials, optoelectronic components, and laser systems.
7. Advanced Micro Devices, Inc. (NASDAQ:AMD)
Number of Hedge Fund Holders: 113
Advanced Micro Devices, Inc. (NASDAQ:AMD) is one of the 11 best AI infrastructure stocks to buy right now.
Advanced Micro Devices, Inc. (NASDAQ:AMD)’s shares surged 5% in after-hours trading following the bold growth targets it unveiled at its 2025 Analyst Day on November 11.
This was followed by Mizuho’s Vijay Rakesh reiterating a “Buy” rating on the same day, who raised his price target to $285 from $275. The analyst’s bullish stance reflects the company’s potential to grow its revenue by over 35% annually, with Rakesh citing the company’s strong AI and data center outlook. He believes the company’s upcoming launches, including Helios servers with MI450 and Venice CPUs in 2026 and Verano CPUs and MI500X GPUs in 2027, will significantly improve its position in the AI space.
Meanwhile, Advanced Micro Devices, Inc. (NASDAQ:AMD) recently released its Q3 2025 results, reporting $9.2 billion in revenue, which surpassed the $8.74 billion analyst estimate, with 36% YoY growth. This was driven by robust demand for its EPYC processors and Instinct MI350 GPUs amid continued AI infrastructure spending. Furthermore, the company’s Client and Gaming segment recorded a 73% surge to $4 billion. Gaming alone rose 181% to $1.3 billion, offsetting the 8% decline in the Embedded segment.
With management expecting to generate over $100 billion in revenue in the coming years through its partnership with OpenAI, Q4 revenue was guided to around $9.6 billion at the midpoint. Moreover, Advanced Micro Devices, Inc. (NASDAQ:AMD) expects a 54.5% gross margin for the upcoming quarter. Diluted earnings per share were recorded at $1.20.
Advanced Micro Devices, Inc. (NASDAQ:AMD) is focused on designing and manufacturing semiconductor products across Data Center, Client and Gaming, and Embedded segments.
6. Broadcom Inc. (NASDAQ:AVGO)
Number of Hedge Fund Holders: 156
Broadcom Inc. (NASDAQ:AVGO) is one of the 11 best AI infrastructure stocks to buy right now.
On November 10, 2025, Citi analyst Christopher Danely reiterated his “Buy” rating on Broadcom Inc. (NASDAQ:AVGO) with a $415 price target.
Earlier, on November 4, Jefferies raised its price target on Broadcom Inc. (NASDAQ:AVGO) from $415 to $480. Citing the company’s artificial intelligence Application-Specific Integrated Circuits (ASIC) business, which the firm believes is reaching a critical inflection point, Jefferies named the stock as its top pick.
Jefferies highlighted the company’s ASIC, the specialized chips for AI workloads, which are expected to benefit from accelerating demand from hyperscale customers. Furthermore, the firm noted that substantial volume growth is expected in 2026 as cloud providers expand AI infrastructure capacity. The firm also discussed Broadcom Inc. (NASDAQ:AVGO)’s primary customer, which has scaled token processing capacity from 480 trillion in April 2025 to 1,300 trillion in October. The chip volumes are expected to double from 1.5 million units in 2025 to 3 million in 2026.
Previously, on October 13, 2025, Broadcom announced a collaboration with OpenAI. With this partnership, the company, alongside OpenAI, aims to develop 10 gigawatts of custom AI accelerators while leveraging OpenAI’s model insights. Amid rising global AI demand, the company will deploy racks with its networking solutions across OpenAI and its partner data centers.
Broadcom Inc. (NASDAQ:AVGO) is focused on designing and supplying semiconductor devices and infrastructure software solutions worldwide.
5. Alphabet Inc. (NASDAQ:GOOG)
Number of Hedge Fund Holders: 178
With significant hedge fund interest, Alphabet Inc. (NASDAQ:GOOG) secures a spot on our list of the 11 best AI infrastructure stocks to buy right now.
On November 13, 2025, Alphabet Inc. (NASDAQ:GOOG) saw the reiteration of a “Buy” rating by TD Cowen’s John Blackledge, who set a $335 price target. The analyst’s bullish stance was driven by an impressive growth trajectory of Waymo, the company’s autonomous vehicle business. The company’s business surpassed one million monthly rides in California, while expanding its service areas, reflecting robust demand for its services. Furthermore, the segment’s growth outlook remains strong, with the company planning to launch in seven new cities by 2026, increasing its weekly paid rides to one million by the end of 2026.
Blackledge also cited Waymo’s potential to increase the average trip distance and introduce freeway access in key cities. Furthermore, the analyst believes Alphabet Inc. (NASDAQ:GOOG) looks well-positioned to capitalize on the growing autonomous vehicle market, with plans to expand into new markets such as Miami, Washington, D.C., and London.
Meanwhile, on October 29, 2025, Alphabet Inc. (NASDAQ:GOOG) released Q3 2025 results, reporting $102.3 billion in revenue, an increase of 16% YoY. Earnings per share rose 35% to 2.87, thanks to standout performance from Google Cloud, which reported $15.2 billion in revenue, growing 34% YoY, due to a surge of over 200% in AI-related services. The segment reported margin expansion from 17.1% to 23.7%, thanks to increased adoption of AI infrastructure by enterprise customers. Furthermore, the company reported a 46% quarter-over-quarter growth in its cloud backlog, signaling strong momentum in its pipeline.
Facing immense capital expenditure pressure, Alphabet Inc. (NASDAQ:GOOG) raised its full-year 2025 guidance from $85 billion to $91-$93 billion due to a surge in AI infrastructure demand. The company expects further increases in 2026.
Alphabet Inc. (NASDAQ:GOOG), known for its Google search engine, offers various products and platforms through its Google Services, Google Cloud, and Other Bets segments.
4. NVIDIA Corporation (NASDAQ:NVDA)
Number of Hedge Fund Holders: 235
NVIDIA Corporation (NASDAQ:NVDA) is one of the 11 best AI infrastructure stocks to buy right now.
On November 12, 2025, Foxconn Technology reported strong demand for artificial intelligence hardware. This drove investor confidence in the AI buildout, which remains robust ahead of NVIDIA’s upcoming earnings report. With this, NVIDIA reversed some of the losses from the previous day, which were driven by SoftBank’s $5.8 billion sale of Nvidia’s shares.
Furthermore, Citi’s analyst Atif Malik raised his price target on NVIDIA Corporation (NASDAQ:NVDA) from $210 to $220 on November 10, 2025. Reaffirming his “Buy” rating, the analyst expects the company’s Q3 FY26 results to mark another “beat-and-raise” quarter. This optimism is driven by robust AI, data center, and GPU demand. In Q3, Malik expects $56.8 billion in revenue, which was above the $54.6 billion in analysts’ estimates, alongside $62.6 billion in Q4 guidance, also exceeding Street estimates.
Meanwhile, NVIDIA Corporation (NASDAQ:NVDA) joined the India Deep Tech Alliance on November 5. This reflects the company’s efforts to support deep-tech startups in the fields of semiconductors, AI, robotics, and space. Securing over $850 million in new capital commitments, the alliance will be supported by Nvidia’s technical guidance, AI tools, and policy input.
This move, part of NVIDIA Corporation (NASDAQ:NVDA)’s broader growth strategy, aims to help Indian start-ups scale innovation while promoting the adoption of its computing platforms globally. Qualcomm Ventures, Activate AI, InfoEdge Ventures, Chirate Ventures, and Kalaari Capital are other investors who have joined the alliance.
NVIDIA Corporation (NASDAQ:NVDA) serves enterprise, AI, and gaming markets by developing and providing graphics, compute, and networking solutions globally.
3. Meta Platforms, Inc. (NASDAQ:META)
Number of Hedge Fund Holders: 260
With significant hedge fund interest, Meta Platforms, Inc. (NASDAQ:META) secures a spot on our list of the 11 best AI infrastructure stocks to buy right now.
On November 12, 2025, Wallace Weitz’s Weitz Investment Management, Inc. cut its stake in Meta by 7,000 shares (-2.06%). Earlier, on November 7, 2025, Reuters reported that Meta Platforms, Inc. (NASDAQ:META) unveiled plans to invest at least $600 billion in U.S. infrastructure and jobs by 2028. As it strives to build the computing capacity required to achieve its superintelligence ambitions, the company looks to utilize this expenditure on AI data centers as well.
Previously, the company discussed its plans with U.S. President Donald Trump to invest at least $600 billion in the U.S. over the next several years. Additionally, Meta Platforms, Inc. (NASDAQ:META) has already finalized a $27 billion financing deal with Blue Owl Capital to fund its Louisiana data center. The data center project is the company’s largest project globally. Moreover, in October, it announced a $1.5 billion investment in a Texas facility.
Additionally, Meta Platforms, Inc. (NASDAQ:META) reported its Q3 2025 results on October 29. The quarter marked a 26% YoY revenue growth, taking revenue to $51.2 billion. Its Ad revenue reached $50.1 billion, a 26% increase driven by a 14% growth in ad impressions and a 10% higher average price per ad. Furthermore, conversion gains of 2%-14% were recorded by its AI-powered ad tools, particularly its Lattice and Andromeda model upgrades.
Meta Platforms, Inc. (NASDAQ:META) has increased its full-year 2025 capital expenditure guidance from the $66 billion to $72 billion range to $70 billion to $72 billion, driven by growing compute needs for AI infrastructure.
Meta Platforms, Inc. (NASDAQ: META) develops products that enable connections and sharing through mobile devices, virtual reality headsets, and wearables globally.
2. Microsoft Corporation (NASDAQ:MSFT)
Number of Hedge Fund Holders: 294
Microsoft Corporation (NASDAQ:MSFT) is one of the 11 best AI infrastructure stocks to buy right now.
On November 11, 2025, Reuters reported that Microsoft Corporation (NASDAQ:MSFT) unveiled its $10 billion investment plan for AI infrastructure in a data center in Sines, Portugal. This marks one of Europe’s largest AI investments. In collaboration with Start Campus, Nscale, and Nvidia, the company will deploy 12,600 next-generation Nvidia GPUs to power advanced AI workloads.
Microsoft Corporation (NASDAQ:MSFT)’s President Brad Smith sees this initiative strengthening Europe’s AI ecosystem and promoting responsible, scalable AI development. This is particularly beneficial to Portugal’s broader strategy of attracting green energy-powered data centers, which leverages its strategic Atlantic connectivity to support global digital infrastructure.
Previously, Microsoft Corporation (NASDAQ:MSFT) finalized a $9.7 billion deal with data-center operator IREN. With this deal, the company aims to address computing capacity constraints and capitalize fully on the surging demand for AI.
Based on the five-year deal, Dell will deliver to IREN roughly $5.8 billion worth of Nvidia’s GB300 chips and other equipment. Using those chips and equipment, Microsoft Corporation (NASDAQ:MSFT) will work to expand computing capacity without building new data centers or securing additional power infrastructure. These two factors have been the biggest constraints slowing its ability to meet AI demand.
Microsoft Corporation (NASDAQ:MSFT) develops and supports software, services, devices, and solutions worldwide.
1. Amazon.com, Inc. (NASDAQ:AMZN)
Number of Hedge Fund Holders: 335
With significant hedge fund interest, Amazon.com, Inc. (NASDAQ:AMZN) secures a spot on our list of the 11 best AI infrastructure stocks to buy right now.
On November 7, 2025, Amazon.com, Inc. (NASDAQ:AMZN) expanded its low-cost e-commerce service, Amazon Bazaar, to 14 new markets, according to Reuters. With this move, the company expects to compete with Shein and PDD Holdings’ Temu globally to sell ultra-cheap goods. Amazon Bazaar, which launched in Mexico last year, will offer products mostly under $10 in markets such as Hong Kong, the Philippines, and Taiwan. The service has already expanded to Saudi Arabia and the UAE.
On the development, DA Davidson’s Gil Luria commented:
“Amazon Bazaar’s expansion is an important step in Amazon’s international expansion. Amazon has only entered a market when it believed it can scale up to a level where it delights consumers and builds a profitable business. If it can build a business selling a small selection of very low-cost items at an attractive service level, it could expand beyond the core 23 markets to nearly every other country in the world.”
Meanwhile, on November 4, 2025, DBS analyst Sachin Mittal reiterated his “Buy” rating on Amazon.com, Inc. (NASDAQ:AMZN) with a $255 price target.
Furthermore, Amazon.com, Inc. (NASDAQ:AMZN) and OpenAI have signed a $38 billion deal under which OpenAI will purchase cloud services from Amazon, marking a significant boost to Amazon Web Services. PP Foresight analyst Paolo Pescatore stated:
“This is a hugely significant deal (and is) clearly a strong endorsement of AWS compute capabilities to deliver the scale needed to support OpenAI.”
Amazon.com, Inc. (NASDAQ:AMZN) focuses on providing online retail shopping services, as well as offering cloud computing and digital streaming services.
While we acknowledge the potential of AMZN to grow, our conviction lies in the belief that some AI stocks hold greater promise for delivering higher returns and have limited downside risk. If you are looking for an AI stock that is more promising than AMZN and that has 100x upside potential, check out our report about this cheapest AI stock.
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