Broadcom's (NASDAQ: AVGO) shares surged by nearly 25% after the company posted an impressive financial performance for the fourth quarter of fiscal 2024 (ended Nov. 3). This leading custom chip designer and infrastructure software maker has emerged as a major beneficiary of the ongoing artificial intelligence (AI) trend,

The S&P 500 (SNPINDEX: ^GSPC) is up 28% this year, which is almost triple its average annual gain going back to 1957. Technology stocks are leading the S&P higher at the moment, but those operating in the artificial intelligence (AI) space are generating particularly strong gains.

Key technical levels are starting to break. The stock has dropped below short-term moving averages, a sign that gravity is starting to kick in.

Nvidia (NASDAQ: NVDA) is the top player in the market for data center graphics processing units (GPUs) that are being deployed in data centers for artificial intelligence (AI) training and inference,

Market researcher IDC forecasts that global AI-related spending could hit $337 billion next year and jump to a whopping $749 billion by 2028. As a result, technology companies selling AI-related hardware and software should ideally witness healthy growth in their businesses next year.

Nvidia (NVDA) stock’s meteoric rise seems to have hit a roadblock. Despite delivering an exceptional Q3 performance that surpassed Wall Street’s expectations, NVDA stock has been on a downward trajectory.

AI's need for semiconductor products provides Wolfspeed and AMD years of potential sales growth ahead. Wolfspeed's silicon carbide components enable efficient energy use to address the massive power consumption of AI.