Meet the Super Semiconductor Stock Crushing Nvidia in 2026
Credo and Corning illustrate how the next wave of AI winners will come from companies that make chips and those that build high-speed connectivity and fiber infrastructure.
Overview
If you are looking for a semiconductor stock that is not Nvidia and has actually crushed Nvidia so far this year, you are not chasing another GPU name. You are looking at Credo Technology (NASDAQ: CRDO), a company that does something far less glamorous and, in this cycle, just as important. Credo is wiring the artificial intelligence (AI) build-out together, and markets have started to price that in. Credo is up 80% this year, while Nvidia is up only 20%.
Credo's specialty is high-speed connectivity for data centers, especially the links that move data in and out of accelerators and across racks when thousands of GPUs are working together. The company sells active electrical cables, serializer-deserializer chips, and IP blocks that let hyperscalers push 800G and 1.6T connections over cheaper copper within the rack instead of fiber.
Details
That sounds technical, but the idea is really kinda simple. As AI clusters grow from hundreds of accelerators to tens of thousands, the network becomes just as important as the chip. If you cannot move data quickly and efficiently, those expensive GPUs will just sit idle. Credo's products reduce power use, simplify cabling, and cut costs at the physical layer, which lets cloud providers scale AI infrastructure without blowing up their budgets.
Source
Originally published at www.fool.com.