Not Nvidia. This Chip Stock Has More Upside, According to Wall Street. | The Motley Fool

Semiconductor bellwether Nvidia (NVDA +2.23%) has seen phenomenal growth over the past four years, driven mainly by its dominance in the artificial intelligence (AI) chip market.

The good news for Nvidia stock investors is that its impressive growth is here to stay. I won’t be surprised to see the company’s market cap approach the $10 trillion mark in 2030, primarily due to heavy spending on AI infrastructure. However, Wall Street believes that there is another chip stock that could deliver bigger gains than Nvidia.

SK Hynix (SKHY +3.24%) is one of the largest memory manufacturers in the world, controlling a significant chunk of the dynamic random-access memory (DRAM) and NAND flash markets. Let’s see why analysts are more bullish about SK Hynix’s growth potential compared to Nvidia and see if the memory specialist can indeed live up to expectations.

SK Hynix could surge impressively over the coming year

SK Hynix has a median 12-month price target of $250, according to 14 analysts covering the stock. That suggests potential upside of 82%. On the other hand, Nvidia’s 12-month median price target of $320 implies a 52% jump from current levels.

It is easy to see why SK Hynix stock is expected to deliver stronger gains. The AI-fueled memory demand led to a 257% year-over-year increase in SK Hynix’s Q2 revenue. What’s more, the memory supply crunch and the resulting price…