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AMD (NASDAQ:AMD), Qualcomm (NASDAQ:QCOM) and Seagate Technology (NASDAQ:STX) spiked in early trading on Monday as Barclays upgraded the trio, citing a more positive view on the semiconductor and semiconductor devices sectors.
“It would be nice if analyst Blayne Curtis wrote in a note to clients in a note to clients.
In addition to the upgrade, Curtis increased the company’s price target on Nvidia (NVDA).
AMD (AMD) increased by nearly 7%, while Qualcomm (QCOM) added 4.9% and Seagate (STX) increased by 4.5%. Nvidia (NVDA) rose 3.7% in early trading.
Digging deeper, Curtis noted that the outlook for cloud capital spending may be weak in the first half of the year, but there could be an acceleration in the second half of the year in both the US and China, partly due to wisdom. artificial AI, thus benefiting AMD (AMD) and Seagate (STX).
Curtis also notes that Marvell (MRVL), Micron (MU) and Nvidia (NVDA) can also benefit from generalized AI.
Despite the upgrades, Curtis said the semiconductor industry still has many weaknesses. He added: Analog is unlikely to appreciate due to weakness in the industrial and automotive sectors, while the semiconductor capital equipment industry has the biggest disconnect with the view that fab wafer spending. will decrease by 2024.
Earlier this month, investment firm Mizuho Securities listed Qualcomm (QCOM) among its top picks in the semiconductor space for 2023.
Analysts are mostly optimistic about AMD (AMD). It has one BUYING reviews from the authors Search Alphawhile Wall Street analysts rate it as a BUYING. In contrast, Seeking Alpha’s quantification system, which consistently beats the market, rates AMD as HOLD.
