Shares of chipmakers are heading northwards in premarket trading on Tuesday, led by Nvidia Corp. (NASDAQ:NVDA) and Advanced Micro Devices, Inc. (NASDAQ:AMD).
KeyBanc Capital Markets analyst John Vinh raised the price targets for several companies in the space, citing strong AI data center demand.
That said, the firm’s second-quarter supply chain findings were generally more negative, as China demand continued to be weak and consumer-facing end markets such as PCs, smartphones and other consumer electronics products showed softness. On the other hand, the automotive end market was strong and industrials remained resilient, Vinh said.
Here are KeyBanc’s price target adjustments:
- AMD: Overweight, price target raised from $150 to $160
- Nvidia: Overweight, price target raised from $500 to $550
- Monolithic Power Systems, Inc. (NASDAQ:MPWR): Overweight rating, price target lifted from $510 to $600
- Marvell Technology, Inc. (NASDAQ:MRVL): Overweight rating, price target nudged up from $70 to $80
- ON Semiconductor Corporation (NASDAQ:ON): Overweight rating, price target adjusted up from $100 to $110
- Texas Instruments, Inc. (NASDAQ:TXN): Overweight, price target maintained unchanged at $200
Price Action: According to Benzinga Pro data, Nvidia shares rose 0.81% to $425.21 in premarket trading and AMD gained 0.67% to $114.34, while the iShares Semiconductor ETFÂ (NASDAQ:SOXX) gained 0.57% to $507.52.
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