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Investing.com -- Mizuho has lifted price targets for several AI server-related stocks, citing rising demand and momentum across the supply chain.
The brokerage raised its target for AMD (NASDAQ:AMD) to $135 from $117, for Dell Technologies (NYSE:DELL) to $145 from $140, and for Super Micro Computer (NASDAQ:SMCI) to $40 from $32, while maintaining an Outperform or Neutral rating across the group.
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Ahead of upcoming earnings from Nvidia (NASDAQ:NVDA), Broadcom (NASDAQ:AVGO), Credo Technology Group Holding Ltd (NASDAQ:CRDO), and Dell, Mizuho held its quarterly AI Server Call with analysts Dale Gai in Japan and Kevin Wang in Hong Kong. In a Friday note to clients, Mizuho highlighted several takeaways from the call.
Specifically, the broker believes that Broadcom stands to benefit from “strong ramps for Custom Silicon ASICs” into 2026, supported by Google’s MTIA2 and anticipated deployments from OpenAI and Apple (NASDAQ:AAPL).
The analysts see “potential for upside to AVGO CoWoS demand into 2026E,” even as capacity could exceed 100,000 wafers. Despite no price target change for Broadcom, the firm reiterated its Outperform rating and $250 price target.
Meanwhile, analysts note that Nvidia’s near-term earnings may be mixed due to the H20 phase-out and slower Blackwell ramp, but they remain optimistic about the second half of the year, when the “GB200 NVL72 ramps up along with GB200/300 HGX shipments.”
The analysts maintained their $168 price target and Outperform rating on Nvidia.
Tailwinds from President Trump’s Middle East visit were also flagged. Mizuho highlighted SMCI’s $20 billion partnership with DataVolt, AMD’s $10 billion collaboration with HUMAIN, and Nvidia’s expected benefit from a 500,000 GPU annual allocation to the UAE.
“We see incremental benefit with President Trump’s ME ‘Sheikh-UP,’” the report stated.
For AMD, the firm also pointed to the upcoming MI355X GPU ramp in the second half of 2025 as a potential offset to headwinds from the MI308 shipment ban into China.
For Dell, the price target hike was mainly driven by a strong AI server pipeline and expected PC refresh cycle.
SMCI, meanwhile, saw its price target hiked thanks to its leadership in AI server deployments, but analysts cautioned on “increasing competition and weak AI server margins.”
Mizuho also reiterated its Outperform rating on Credo, keeping its target at $70, citing strong hyperscaler engagement and growth potential in data center interconnect solutions.
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