We recently published 10 Stocks Stealing Wall Street’s Spotlight. Power Integrations Inc. (NASDAQ:POWI) is one of the best performers on Monday.
Power Integrations bounced back from two days of losses on Monday, surging 24.57 percent to close at $43.15 apiece following news that it partnered with technology giant Nvidia Corp. to help accelerate the latter’s 800-volt direct current (VDC) data center systems to power the next-generation artificial intelligence.
Power Integrations Inc. (NASDAQ:POWI) showcased its 1,250-volt and 1,700-volt chips, which are able to handle Nvidia’s high-power AI servers while maintaining energy efficiency above 98 percent.
According to Power Integrations Inc. (NASDAQ:POWI), its single 1250-volt PowiGan switch delivers greater power density and efficiency compared with stacked 650-volt GaN FETs and competing 1200-volt SiC devices.
It also introduced the InnoMux 2 EP chip, a unique solution for auxiliary power supplies in 800 VDC data centers, which supports 1,000-VDC input voltage.
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“With rising rack power demands, we see 1250-V and 1700-V PowiGaN devices as ideal choices for main and auxiliary power supplies, delivering the efficiency, reliability and power density required in 800-VDC data centers,’ said Power Integrations Inc. (NASDAQ:POWI) Vice President for Product Development Roland Saint-Pierre.
Nvidia said Power Integrations Inc. (NASDAQ:POWI) joins more than 20 companies helping it deliver rack servers with open standards, enabling the future gigawatt AI factories.
While we acknowledge the potential of POWI as an investment, our conviction lies in the belief that some AI stocks hold greater promise for delivering higher returns and have limited downside risk. If you are looking for an extremely cheap AI stock that is also a major beneficiary of Trump tariffs and onshoring, see our free report on the best short-term AI stock.
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Disclosure: None. This article is originally published at Insider Monkey.