Prediction: 2 AI Semiconductor Stocks That Will Join Micron and Broadcom in the $1 Trillion Club by 2028

Two semiconductor stocks, Advanced Micro Devices (AMD) and ASML Holding, are poised to join Micron Technology and Broadcom in the lofty $1 trillion market valuation club by 2028. AMD is leveraging its expertise in agentic AI, offering a rack-scale solution called Helios, and securing deals with AI giants like OpenAI, Anthropic, and Meta Platforms. This solution, combining GPUs, CPUs, networking equipment, and more into a single server rack, is expected to accelerate its AI data center revenue growth.

On the other hand, ASML Holding is the sole provider of advanced lithography machines for semiconductor manufacturing. Its machines print intricate patterns on silicon, and the company's older technology enjoys widespread customer loyalty due to its 30-year lifespan. With the soaring demand for AI chips, ASML has seen a surge in customer commitments and is planning a substantial expansion of its manufacturing capacity, with a potential 69% increase by 2028.

This expansion, coupled with management's optimistic revenue outlook, could propel ASML to a $1 trillion market cap by 2028 even with an earnings multiple compression.