Many investors who want exposure to the booming artificial intelligence (AI) market often focus on top-tier chipmakers like Nvidia (NVDA -2.28%). However, investors shouldn't overlook the AI infrastructure leaders, which build the foundations that support those powerful chips.
The global AI infrastructure market could expand at a 26.6% CAGR from 2026 to 2034, according to Fortune Business Insights, as more companies expand and upgrade their data centers to handle the latest AI applications. Here are three stocks that will capitalize on that secular trend: Marvell (MRVL -2.11%), Coherent (COHR +0.32%), and Vertiv (VRT +0.52%).
Image source: Getty Images.
Why are these 3 AI infrastructure stocks long-term winners?
Marvell sells high-speed connectivity chips, custom application-specific integrated circuits (ASICs) for hyperscalers, Ethernet switches, and data processing units (DPUs) that combine CPUs, networking interfaces, and programmable data acceleration engines. Data centers need to upgrade their infrastructure with Marvell's products to handle demanding AI workloads.
NASDAQ: MRVL
Key Data Points
Coherent, the world's leading photonics company, produces optical transceivers and components that convert electronic data into light signals, transmit them through fiber-optic cables, and convert them back into accessible data. Its business is booming as more companies replace copper cables in their data centers with fiber-optic cables, which offer greater bandwidth and better thermal resistance to handle the latest AI applications.
NYSE: COHR
Key Data Points
Vertiv produces thermal management, liquid cooling, and uninterruptible power supply (UPS) systems for data centers. The latest AI chips run so hot that data centers need to use Vertiv's products to cool their servers and keep them running smoothly. It's also co-developing its latest physical infrastructure, reference architectures, and liquid cooling systems with Nvidia.
NYSE: VRT
Key Data Points
How fast are these 3 companies growing?
Marvell, Coherent, and Vertiv will all grow rapidly as the AI market expands. From fiscal 2026 (which ended this January) to fiscal 2029, analysts expect Marvell's adjusted earnings before interest, taxes, depreciation, and amortization (EBITDA) to grow at a 44% CAGR.
From fiscal 2025 (which ended last June) to fiscal 2028, they expect Coherent's adjusted EBITDA to grow at a 44% CAGR. From 2025 to 2028, they expect Vertiv's adjusted EBITDA to increase at a 38% CAGR. Based on their current enterprise values, Marvell, Coherent, and Vertiv trade at 43, 39, and 34 times their current-year adjusted EBITDA.
These stocks aren't screaming bargains, but they still seem reasonably valued relative to their long-term growth potential. So if you're looking for solid AI infrastructure plays that might deliver multibagger gains over the next few decades, these three stocks check all the right boxes.
