Artificial intelligence (AI) hype has supercharged Nvidia stock in the past year; the company's chips have witnessed massive demand thanks to their ability to train large and complex AI models.

The robust demand for Nvidia's chips explains why the company's revenue is set to more than double in its current fiscal year, which will end this month. The market has handsomely rewarded Nvidia for its eye-popping growth, with its shares rising 222% in the past year. The good part is that Nvidia seems capable of sustaining its impressive rally thanks to the growing demand for AI chips deployed in servers and other applications.

This explains why KeyBanc Capital Markets analyst John Vinh recently raised his Nvidia price target to $740 from $650. The upgraded price target points toward a 30% upside from current levels. However, Nvidia wasn't the only chip stock to receive a price target bump from KeyBanc. The firm expects two more chipmakers, Advanced Micro Devices (NASDAQ: AMD) and Micron Technology (NASDAQ: MU) to benefit from AI adoption.

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Source Fool.com