AI Chip Backlogs Are Piling Up Amid Supply Constraints: Which Infrastructure Stocks Beyond Nvidia Win Biggest?
An Investopedia report this week underscores that global demand for AI chips "remains extremely robust," with supply constraints fueling massive order backlogs across the semiconductor ecosystem. As hyperscalers race to build out AI infrastructure, companies beyond Nvidia are seeing explosive growth in AI server orders, custom ASICs, and wafer fab equipment. The question for investors: Which infrastructure players—server assemblers, chip designers, and manufacturing toolmakers—are best positioned to convert this backlog into sustained revenue and profits?
Over the past 12 months, AI infrastructure spending has surged, driven by frontier models requiring unprecedented compute power. Backlogs are ballooning: Dell reports a record $43 billion AI server backlog entering FY27, Super Micro Computer shipped $12.7 billion in Q2 FY26 amid GPU server demand, and equipment giants like Applied Materials and Lam Research cite elevated bookings tied to AI-driven wafer fab expansions. With Nvidia's GPUs at the core but supply choked, the spillover benefits partners up and down the stack. Here's how six key players stack up.
Super Micro Computer (SMCI): The Pure-Play AI Server Surge
Super Micro, a key Nvidia partner for rack-scale AI systems, is at the epicenter of the backlog boom. Its 10-Q filings reveal massive shipments of liquid-cooled and air-cooled GPU servers, with Q4 FY25 net sales up 123% YoY to fulfill datacenter orders delayed by customer upgrades. AI GPU billings jumped 170% YoY, comprising the bulk of its $21.97 billion FY25 revenue.
Despite recent legal headwinds from class actions, management highlights sustained AI momentum, guiding Q3 FY26 sales to at least $12.3 billion and full-year to $40 billion.
| Metric | Value (FY25 unless noted) |
|---|---|
| Market Cap | $15.1B |
| Revenue | $22.0B (up 47% YoY) |
| EBIT Margin (TTM) | 3.7% |
| P/E TTM | 17.3x |
| Price Return 1Y | -2,403% (volatile post-rally) |
Verdict: Strong buy. SMCI's direct exposure to AI GPU demand and low valuation make it the top backlog beneficiary, though monitor legal risks.
Dell Technologies (DELL): AI Servers With $43B Backlog
Dell has transformed into an AI powerhouse, closing FY26 with $113.5 billion in record revenue (up 19% YoY) and a staggering $43 billion AI-optimized server backlog. Q4 FY26 saw $33.4 billion revenue (up 39%), with AI servers shipping $25 billion annually amid GPU shortages. Management notes traditional servers also grew double-digits, broadening the tailwind.
Guidance calls for FY27 revenue of $138-142 billion (up 23%) and non-GAAP EPS up 25%, fueled by Infrastructure Solutions Group (mid-40s% growth).
| Metric | Value (FY26 unless noted) |
|---|---|
| Market Cap | $120.1B |
| Revenue | $113.5B (up 19% YoY) |
| EBIT Margin (TTM) | 7.2% |
| P/E TTM | 20.0x |
| Price Return 1Y | 6,029% |
Verdict: Bullish. Dell's scale, cash flow ($11.2B ops CF), and massive backlog position it as a steady AI winner.
Broadcom (AVGO): Custom AI ASICs and Networking Boom
Broadcom's custom silicon for hyperscalers—XPUs, ASICs, and AI networking—is exploding. FY25 revenue hit $63.9 billion (up 24%), with AI semiconductors at $20 billion (up 65%) and a $73 billion AI backlog over 18 months. Q1 FY26 guidance: $19.3 billion revenue (up 29%), AI semis $8.4 billion (up 106%). Networking now 40% of AI revenue.
| Metric | Value (FY25 unless noted) |
|---|---|
| Market Cap | $1,762B |
| Revenue | $63.9B (up 24% YoY) |
| EBIT Margin (TTM) | 40.9% |
| P/E TTM | 70.4x |
| Price Return 1Y | 6,705% |
Verdict: Conviction buy. Elite margins and hyperscaler lock-in make AVGO the premium AI chip play.
AMD: Data Center AI Accelerators Gaining Traction
AMD's Instinct GPUs and EPYC CPUs are scaling in AI, with FY25 revenue at $34.6 billion and data center driving record growth. A multi-year OpenAI deal for 6GW of MI450 GPUs underscores momentum. Q1 FY26 guidance: $9.8 billion (up 32% YoY), non-GAAP gross margin 55%.
| Metric | Value (FY25 unless noted) |
|---|---|
| Market Cap | $399.5B |
| Revenue | $34.6B |
| EBIT Margin (TTM) | 10.7% |
| P/E TTM | 91.8x |
| Price Return 1Y | 8,795% |
Verdict: Bullish. AMD's full-stack AI push positions it well, though higher valuation tempers upside vs. peers.
Lam Research (LRCX): Etch/Dep Tools for AI Fabs
Lam benefits from AI-fueled WFE spending ($135B expected FY26). FY25 revenue topped $20B, with DRAM/logic leading. Backlog elevated; new AI etch tools like Aqara doubling installed base. Q2 FY26 guide: $5.7B revenue.
| Metric | Value (FY25 unless noted) |
|---|---|
| Market Cap | $329.3B |
| Revenue | $18.4B |
| EBIT Margin (TTM) | 33.8% |
| P/E TTM | 53.8x |
| Price Return 1Y | 18,017% |
Verdict: Buy. Critical for AI chip production ramps, with strong share gains.
Applied Materials (AMAT): Broad AI Equipment Exposure
AMAT's tools enable AI logic/DRAM, with FY25 revenue at $28.4B (up 4%, accelerating). Backlog stable at unity book-to-bill; AI drives second-half growth. Q1 FY26: $6.85B revenue.
| Metric | Value (FY25 unless noted) |
|---|---|
| Market Cap | $317.0B |
| Revenue | $28.4B (up 4% YoY) |
| EBIT Margin (TTM) | 29.1% |
| P/E TTM | 40.8x |
| Price Return 1Y | 12,268% |
Verdict: Hold. Solid but less AI-pure than Lam; China exposure a drag.
Ranked Conviction: The AI Backlog Leaders
- SMCI (best exposure/lowest valuation) 2. DELL (scale/backlog) 3. AVGO (margins) 4. AMD 5. LRCX 6. AMAT.
This theme thrives on sustained hyperscaler capex, but risks include GPU supply easing (hurting backlogs), China restrictions, and macro slowdowns. Watch Dell's AI backlog conversions, SMCI legal updates, and WFE forecasts from ASML/VFEL for signals.