Where to Deploy $5,000: Top Good Stocks to Invest in the AI Revolution

If you have $5,000 available for investing—money that won’t be needed for immediate expenses or emergency reserves—there are several compelling opportunities in the market right now. Four stocks stand out as particularly strong good stocks to invest in: they’re positioned at different layers of the artificial intelligence infrastructure buildout, each benefiting from the massive wave of AI spending projected to accelerate over the coming years.

The AI Infrastructure Boom Creates Multiple Investment Opportunities

The artificial intelligence revolution isn’t just creating winners at the application level; it’s generating exceptional opportunities across the entire supply chain. Companies manufacturing the chips, designing specialized computing units, and building the foundational infrastructure all represent good stocks to invest in because they benefit from the sustained, elevated AI spending expected through at least 2030. This multi-year spending cycle creates a rare alignment where competing companies can simultaneously succeed.

Nvidia and Broadcom: Different Approaches to AI Computing

Nvidia has solidified its position as the dominant force in AI accelerators, with its graphics processing units (GPUs) becoming the standard choice for training and running AI models globally. The company’s trajectory continues upward—Wall Street analysts project 52% growth for Nvidia in fiscal 2027. Despite concerns about potential AI market saturation, the company’s role as the primary infrastructure provider means it will thrive even if some AI applications fail to meet hype. This makes Nvidia stock a strong candidate among good stocks to invest in.

Meanwhile, Broadcom is pursuing an alternative strategy that shouldn’t be overlooked. Rather than competing directly with Nvidia’s GPUs, Broadcom is gaining traction with application-specific integrated circuits (ASICs). These specialized chips optimize performance for particular computing workloads, particularly those demanded by AI hyperscalers. The advantage lies not just in potential performance benefits but also in cost efficiency. Broadcom expects its AI semiconductor revenue to double year-over-year in the coming quarter—significantly outpacing Nvidia’s growth rate. While ASIC chips won’t completely displace GPUs, they’re carving out meaningful market share as enterprises seek to maximize efficiency in their AI infrastructure spending.

TSMC: The Indispensable Manufacturing Foundation

Taiwan Semiconductor Manufacturing (TSMC) occupies a unique position in the AI supply chain as the primary foundry capable of manufacturing advanced chips at scale. Without TSMC’s fabrication capabilities and technological prowess, companies like Nvidia and Broadcom would lack the manufacturing capacity to meet demand. This makes TSMC essential to the entire AI ecosystem—essentially a neutral play on the entire AI buildout. As long as companies continue investing heavily in AI infrastructure, TSMC’s foundry services remain in high demand.

Analysts anticipate 31% growth this year and 22% in the following year for TSMC, measured in New Taiwan dollars. Even accounting for currency fluctuations, these represent substantial growth rates, solidifying TSMC’s status among the best good stocks to invest in for exposure to AI infrastructure expansion.

Microsoft: Profiting from Both Sides of the AI Market

Microsoft operates across multiple dimensions of the AI opportunity. The company benefits from AI infrastructure demand while simultaneously generating revenue from enterprise AI applications through its cloud platform. Azure, Microsoft’s cloud computing division, demonstrated impressive momentum with 39% year-over-year revenue growth through December 2025. The company maintains a substantial $625 billion backlog in its cloud business, indicating years of continued growth ahead.

Recent market weakness provided an attractive entry point for Microsoft shares, with the stock trading at 25 times forward earnings—a valuation level not seen in considerable time. This pullback presents a genuine buying opportunity for investors seeking good stocks to invest in at reasonable valuations.

Building a Diversified AI-Era Portfolio

These four companies represent a comprehensive exposure to the AI investment cycle. Nvidia provides direct exposure to peak AI chip demand, Broadcom offers upside from emerging competing technologies, TSMC gives foundational infrastructure exposure, and Microsoft combines infrastructure benefits with profitable applications of AI technology. Collectively, they demonstrate why good stocks to invest in this cycle span the entire value chain rather than clustering in any single category.

With sustained AI spending projected across the next several years, these stocks offer compelling long-term investment potential for those positioning their portfolios around the technological transformation reshaping industries globally.