Artificial intelligence (AI) stocks are surging in value again this year. Many of them are giants of the tech world, led by none other than Nvidia (NASDAQ: NVDA). The chipmaker has seen its stock price soar by 186% since the year began.

But there are smaller potential opportunities in this niche to consider, too. Among them is voice recognition specialist SoundHound AI (NASDAQ: SOUN), which focuses on an area that should see substantial growth — and so it’s not too late for investors.

In fact, these growth stories are likely just getting started.

Anyone investing in the AI space right now has to begin with Nvidia. Its market capitalization is up 186% this year, with about 40 percentage points of the gain occurring after its 10-for-1 stock split on June 7.

There’s a reason why everyone is talking about Nvidia as the best-performing AI stock even though it doesn’t necessarily peddle AI software itself. The company is a key supplier to the AI industry. But it’s not just selling basic parts and services.

Without Nvidia, the AI industry as a whole couldn’t exist in the way it does today. That’s because the company’s graphics processing units (GPUs) — specialized chips that are critical to simultaneously processing the large amounts of data necessary in training and running complex AI models — are superior to what the competition offers.

If you need proof of Nvidia’s superior technology, just know that various estimates peg Nvidia with a 70% to 95% market share for AI chips. Plus, its gross margins of 75% suggest clear pricing power versus competitors like Advanced Micro Devices and Intel, which boast gross margins of around 40% to 50%.

AI spending growth has just begun. Data compiled by Statista suggests that industrywide spending should increase by an average of 30% per year for perhaps the next decade. Competition in the AI chip space will emerge, and it’s unlikely that Nvidia will retain its dominant market share in perpetuity.

But if you want to bet on AI, there are few better ways to do so than with Nvidia stock. Just know that you’ll pay a premium for the privilege, with the stock trading at an astounding 35 times sales. If you want to bet on an AI stock before it explodes in value, the next company on this list may be a better fit.

If you’re looking to add the most growth potential to your portfolio possible by buying high-upside AI stocks, look no further than SoundHound AI. There are some clear risks to this investment, but if the company reaches its potential, the upside should be significant.

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