Small-cap stock Maxlinear (NASDAQ: $MXL) has posted massive gains over the past year as it benefits from the artificial intelligence (A.I.) boom.
Founded in 2003, the little-known California-based company makes electronic hardware. Specifically, it makes semiconductors for broadband communications.
Its processors enable people to watch television and stream videos on handheld mobile devices such as smartphones.
However, Maxlinear’s semiconductors also have applications in A.I. data centres, which has helped to propel MXL stock to stratospheric heights.
In the last 12 months, Maxlinear’s stock has risen 630%, including a 475% increase this year. The shares currently trade at $106.46 U.S.
The gains have not only made Maxlinear one of the best-performing small-cap stocks, but one of the top performers in the entire market.
MXL stock has risen almost as much as Micron Technology (NASDAQ: $MU) over the last 12 months. Micron currently has a market capitalization of $1.18 trillion U.S.
In comparison, Maxlinear’s market cap after its big rally sits at only $9.69 billion U.S.
The performance of MXL stock has been credited with helping to push the Russell 2000 index of small-cap stocks to its best first-half performance in 35 years.
With the A.I. infrastructure buildout continuing, Maxlinear’s stock likely has further upside.
However, investors should be aware that there is no dividend on offer and Maxlinear has not been consistently profitable, reporting a 12-month net loss of -$132 million U.S. in 2025.
That said, some analysts see consistent profits coming for Maxlinear as demand for its A.I. data centre chips accelerates.
