Artificial intelligence infrastructure is soaking up huge amounts of capital, and Amazon’s latest move to lift 2024 capex guidance to US$220b puts that trend in sharp focus. With AWS reporting 37% year over year sales growth and Amazon doubling down on AI chips and data centers, investors are seeing fresh signals about where money is flowing in the market. This article looks at three stocks exposed to that same AI infrastructure news, each potentially positioned to benefit in different ways. By the end, you will see how these companies connect to the story behind Amazon’s spending surge.

Marvell Technology (MRVL)

Overview: Marvell Technology designs and sells data infrastructure chips that help move, process, and store data inside AI data centers and communications networks worldwide. Its portfolio spans custom system-on-chip designs, high speed ethernet and optical interconnects, storage controllers, and processors that sit at the core of cloud and AI workloads.

Operations: Marvell generates about US$8.7b from designing, developing, and selling integrated circuits, with customers spread across China (US$3.3b), other regions (US$2.5b), Taiwan (US$1.8b), and the United States (US$1.0b).

Market Cap: US$143.1b

Marvell Technology sits right in the flow of Amazon’s AI and data center spending, supplying custom AI chips, optical DSPs, and high speed networking that plug directly into AWS and other hyperscalers. Analysts expect revenue and earnings to grow at roughly mid 20% rates. However, the stock trades on an elevated P/E and carries risks around customer concentration, heavy external funding, and the sustainability of one off gains. For investors watching where cloud giants are directing capex, Marvell offers a focused way to gain exposure to AI infrastructure build outs. At the same time, the current valuation and execution bar are high enough that it is important to understand what the growth story assumes and what could upset it.

Marvell’s AI story is accelerating on the back of custom chips and high speed networking. Yet the real tension sits in what the current valuation already prices in. Get the full picture in the 2 key rewards and 2 important warning signs (1 is major!)

SiTime (SITM)

Overview: SiTime designs and sells silicon based timing solutions, such as oscillators and clock chips, that keep servers, networking gear, AI accelerators, and other electronics running in sync and reliably. Its products are used across AI systems, data centers, communications equipment, autos, industrial gear, aerospace, mobile devices, IoT, and consumer electronics.

Operations: SiTime generates about US$379.9m from the design, development, and sale of silicon timing systems solutions.

Market Cap: US$14.0b

SiTime sits at a critical pinch point of the AI infrastructure buildout, supplying precision timing that helps keep Amazon scale data centers, GPUs, and networks stable as workloads intensify. Analysts have identified strong top line potential, with revenue and earnings forecasts running well ahead of broad market expectations, and recent products like the Elite 2 Super TCXO are aimed directly at next generation AI servers. At the same time, the stock is richly valued on measures such as P/S, is still loss making, and carries funding and segment concentration risks. For investors tracking how components vendors might relate to Amazon’s large capex spending, SiTime is a company where both the potential opportunities and the risk profile may warrant closer attention.

SiTime’s growth story is accelerating around AI servers and precision timing, yet the real twist is what might be hiding in plain sight in the analyst forecasts for SiTime and how that could reshape the risk narrative

Lattice Semiconductor (LSCC)

Overview: Lattice Semiconductor sells low power, programmable chips known as FPGAs, along with software and IP, that sit alongside CPUs and GPUs to handle control, security, and AI tasks in data centers, industrial systems, cars, and consumer devices.

Operations: Lattice Semiconductor generates about US$574.0m in revenue from its Core Lattice segment, with sales spread across Greater China, the Americas, Europe, Japan, and other parts of Asia.

Market Cap: US$16.0b

Lattice Semiconductor is connected to the same AI infrastructure trend associated with Amazon’s US$220b capex, supplying companion FPGAs that help manage, secure, and monitor AI servers, networking gear, and edge devices. Recent revenue growth in communications and computing, the AMI acquisition to deepen secure platform management, and awards for post quantum ready security FPGAs all contribute to a thesis around higher value products and software potentially supporting margins over time. The catch is that investors are paying a steep P/S multiple for those expectations, while current net margins and ROE remain low and insiders have been selling shares. That combination of AI demand exposure and rich pricing is one reason Lattice is attracting closer scrutiny from many investors.

Lattice Semiconductor’s rich P/S and low current profitability suggest something important may be hiding beneath the surface. Get the context, numbers, and missing link in the 1 key reward and 2 important warning signs

The three AI infrastructure stocks in this article are only a starting point. The full Artificial Intelligence Infrastructure screener surfaces 41 more companies that carry similarly compelling stories around cloud, data centers, and AI hardware. Use Simply Wall St to identify, analyze, and filter for the specific catalysts and narratives that matter to you so you can focus on the highest conviction opportunities in this theme.

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This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.