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Shares of Super Micro Computer (NASDAQ: SMCI) are up an eye-popping 999% over the last 12 months. Given that incredible return, and the general sense of mania surrounding Artificial Intelligence (AI) stocks, some investors might think Super Micro Computer shares are in a bubble about to burst.

However, I think the stock has staying power. Here's why.

AI is here to stay

First things first: Super Micro Computer is an AI stock. The company makes high-performance servers and storage systems -- the hardware needed to physically store, cool, and maintain cutting-edge Graphics Processing Units (GPUs) like Nvidia's H100.

Some industry insiders now expect the GPU market to grow 10x to a total size of $400 billion (or higher) by 2032.

In other words, demand for GPUs is exploding, which means demand for Super Micro Computer's server hardware is also exploding. Accordingly, the company's revenue has skyrocketed from $6.6 billion to $9.2 billion in just a year.

Moreover, Wall Street's sales estimates for the company are soaring. Analysts now expect the company to generate $20.2 billion in 2025. To put that in context, that would be more revenue than business giants such as Adobe, Aflac, or Colgate-Palmolive generated in the last year.

Is it a Buy Now?

Granted, much of this great news is already baked into the price -- there's a reason this stock is up more than 1,000%.

That said, Super Micro Computer is a hypergrowth stock whose revenue is expected to more than double within two years. Depending on how the AI market grows over the next few years, there is still room for massive upside (and downside if its growth is slower than expected).

To sum up, Super Micro Computer is not a stock for everyone. I'm looking at you, value investors. However, it may be an option for growth-oriented investors willing to buy and hold through volatility.

Should you invest $1,000 in Super Micro Computer right now?

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Jake Lerch has positions in Adobe and Nvidia. The Motley Fool has positions in and recommends Adobe and Nvidia. The Motley Fool recommends Aflac. The Motley Fool has a disclosure policy.

The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.