JPMorgan remains “constructive on Semis into 2Q earnings,” saying the recent 13% to 15% pullback has reset expectations ahead of the reporting season. The firm continues to favor companies with “the highest-quality AI exposure” and those that can benefit from a broad cyclical recovery. It expects semiconductor companies to report second-quarter results and third-quarter guidance “above consensus,” supported by healthy AI demand and an improving industry outlook.TipRanks Welcomes a New ETF – NYSE:RANK TipRanks has entered a new arena in the investing world, powering the index of an ETF based on its unique data now trading under the ticker RANK on the NYSE. RANK tracks the performance of the TipRanks US Momentum Analysts Index, a rules-based index of 50 large U.S. companies.
Here are three AI chip stocks that JPMorgan continues to favor.
1. Nvidia (NVDA)
JPMorgan continues to rate Nvidia Overweight (equivalent to Buy). The firm believes demand for AI chips remains strong as cloud providers and AI companies keep expanding data center spending. It also expects another round of positive earnings revisions as AI demand continues to grow.
Nvidia is expected to report its Q2 FY27 results on August 26. Wall Street expects earnings of $2.08 per share on revenue of about $91.73 billion.
