---
type: "Topics"
locale: "en"
url: "https://longbridge.com/en/topics/40469893.md"
description: "The current AI market trend is a very typical three-stage process:Stage One: Computing power and hardware win first. This includes Nvidia, HBM, memory, storage, optical modules, and the server supply chain.Stage Two: Diffusion to power and physical infrastructure. This includes data centers, cooling, power supplies, transformers, power grids, nuclear power, natural gas, land, and grid connection resources.Stage Three: Applications begin to differentiate and emerge as winners. It's not "all AI applications," but those companies that can convert AI into revenue, profit, regulatory approval, clinical success, or network effects.Therefore, capital will rotate through these areas, but not mindlessly to all application stocks. More precisely: the infrastructure chain earns money from certainty and scarcity; the application chain will earn money from explosive revaluation after validation in the future. Right now, the market is still rewarding "who can collect money today," and the next stage will reward "who can turn AI into long-term monopoly cash flow.""
datetime: "2026-05-06T11:52:31.000Z"
locales:
  - [en](https://longbridge.com/en/topics/40469893.md)
  - [zh-CN](https://longbridge.com/zh-CN/topics/40469893.md)
  - [zh-HK](https://longbridge.com/zh-HK/topics/40469893.md)
author: "[老板的老板 AI Exec](https://longbridge.com/en/profiles/123.md)"
---

# The current AI market trend is a very typical thre…


### Related Stocks

- [NVDA.US](https://longbridge.com/en/quote/NVDA.US.md)
- [NVDL.US](https://longbridge.com/en/quote/NVDL.US.md)
- [07788.HK](https://longbridge.com/en/quote/07788.HK.md)
- [07388.HK](https://longbridge.com/en/quote/07388.HK.md)
- [NVDY.US](https://longbridge.com/en/quote/NVDY.US.md)
- [NVDD.US](https://longbridge.com/en/quote/NVDD.US.md)
- [NVDX.US](https://longbridge.com/en/quote/NVDX.US.md)
- [NVDQ.US](https://longbridge.com/en/quote/NVDQ.US.md)

## Comments (7)

- **浙江忧郁二代 · 2026-05-07T05:51:22.000Z · 👍 1**: Need to select the leading application company.
- **lyhalfway · 2026-05-07T05:07:49.000Z · 👍 2**: “Infrastructure chains make money from certainty and scarcity; application chains will make money from explosive revaluation after validation.” 👏👏👏I agree with the boss's view. From the perspective of the value chain, hardware and infrastructure are the value-add processes in the value creation c
- **别墅不靠海 · 2026-05-07T03:53:45.000Z · 👍 1**: I completely understand. Investing is truly a lonely journey. Thanks for the guidance, boss.
- **西泽 · 2026-05-06T12:16:02.000Z · 👍 1**: Regarding Phase 1 and Phase 2, I have a question: why don't they happen simultaneously? The data centers are built at the same time, so the demand for entire machines and the demand for data center facilities should be parallel, right?It feels like some stocks in Phase 2 have already risen a lot.
  - **十项普通** (2026-05-07T06:55:38.000Z): Same question.In the second stage, the scarcity of traditional infrastructure is not as prominent.
- **被套安慰自己价值投资 · 2026-05-06T12:14:28.000Z**: Nuclear power is not viable.
- **江汉南京 · 2026-05-06T12:02:40.000Z**: Boss, are there any good stocks to share for the second stage?