Investing.com — Here are the biggest analyst moves in the artificial intelligence (AI) space this week.
InvestingPro subscribers always get first dibs on market-moving AI analyst commentary. Upgrade today!
Phillip Securities downgrades Nvidia stock
Phillip Securities cut their rating on NVIDIA Corporation (NASDAQ: ) on Friday from Buy to Accumulate, citing the latest price movement in the manufacturer’s stock. The company raised its price target for Nvidia slightly, raising it to $160 from $155.
“We are lowering the standard [from] BUY TO COLLECT due to recent price movements, with a higher price target of US$160,” noted analyst Yik Ban Chong.
Phillip Securities highlights that Nvidia’s financial results for Q3 2025 were in line with the company’s expectations, with revenue exceeding Nvidia’s guidance by 8%. Profit after tax and minor interests (PATMI) grew by an impressive 109% year-on-year.
In its letter, the investment firm emphasized that almost half of Nvidia’s data center sales come from hyperscalers, with the rest driven by businesses and private customers. Production of the company’s Blackwell chips is expected to begin in Q4 2025, with projected revenues exceeding initial forecasts of “billions of dollars.”
Nvidia expects Blackwell’s first releases to deliver gross margins in the low 70% range, eventually improving to the mid-70% range as production ramps up.
While the downgrade reflects short-term price movement, Phillip Securities maintained its FY2025 earnings and PATMI estimates. The company also raised its revenue forecasts for fiscal year 2026 and PATMI by 5% and 7%, respectively.
The changes represent a stronger-than-expected increase in Nvidia’s data acceleration platforms, including Hopper and Blackwell, and a reduced corporate tax rate.
The company also adjusted its margin forecast for fiscal year 2026, in line with Nvidia’s guidance for lower margins due to the Blackwell product launch, while keeping its weighted average cost of capital (WACC) and growth rate projections unchanged.
Bernstein sees Apple hitting $290 in a bull-case scenario
Bernstein analysts suggest that shares of Apple (NASDAQ: ) could reach $290 in their bull case scenario.
The company considers Apple “a quality combination, with mid-digit revenue growth, improving margins, direct cash return, and double-digit earnings per share (EPS) growth.”
“Given the negative currency exchange cycle, the stock is less expensive than it appears. “Investors have done well by keeping AAPL as a core asset, and adding to pullback positions,” added analysts led by Toni Sacconaghi.
Apple’s market position is highlighted by its ecosystem of more than 2.3 billion devices and nearly 1 billion users of “unique, attractive demographics.” Bernstein also points to Apple as a key beneficiary of AI advancements in two key ways.
First, the company is expecting an accelerated cycle for replacing Apple products, which may begin in the 2026 fiscal year. Second, they see the integration of AI driving the flow of new revenue for Apple, especially through the distribution of large language models (LLMs) and third-party applications.
“Encouragingly, given its position as a channel/platform, Apple’s capex remains low. The key question is whether AI can change the iPhone replacement cycle,” analysts noted.
They also noted Apple’s seasonal trading patterns are different, warning that while the iPhone 16 cycle may not work well, any drop in the stock’s price to $200 or less—especially between February and April—will represent a buying opportunity.
Bernstein’s bull case assumes that Apple will earn $9 in EPS in fiscal year 2026, which would value the stock at $290.
Nvidia has a solid lead over TSMC, says BofA
Nvidia’s strong third-quarter performance bolsters positive sentiment for Taiwan Semiconductor Manufacturing (NYSE: ), according to analysts at Bank of America.
“The results underscore the strong demand for AI, with limited turnaround times as adoption accelerates,” said analysts led by Brad Lin.
They highlighted Nvidia’s stable one-year run of data center GPU development, which proved beneficial to TSMC by driving average price (ASP) growth.
“The continued standardization of Al models reinforces the need for TSMC’s best-in-class facilities and industry leadership. Additionally, we are pleased to read NVIDIA’s strong GPM outlook for CY2025, which reflects the strong value TSMC provides to clients, compared to rising ASP,” the analysts added.
Demand for AI continues to outstrip supply, with Nvidia’s Hopper and Blackwell GPUs facing ongoing bottlenecks. Bank of America notes that demand for Blackwell is expected to remain above supply through 2026, fueled by significant investment in AI—an encouraging signal for TSMC’s prospects.
Meanwhile, TSMC continues to make efforts to address its Chip-on-Wafer-on-Substrate (CoWoS) issues by ramping up production. The company plans to increase its CoWoS capacity from 35-40,000 units per month in Q4 2024 to over 80,000 units by the end of 2025.
“As AI models grow in complexity and require greater computing power, we believe TSMC is well positioned to meet these needs,” Lin and his team concluded.
SMCI is too important an AI to leave off the list: Lynx
Shares of Super Micro Computer Inc (NASDAQ: ) rose sharply this week after the AI server maker unexpectedly launched an independent auditing firm and submitted a compliance plan to NASDAQ. The move is intended to prevent the company from going public, although formal approval from NASDAQ and an extension to its 10-K filing are still pending.
A Lynx Equity Strategies analyst, however, considers the NASDAQ approval “legitimate.”
In a recent note, Lynx analyst KC Rajkumar highlighted the importance of SMCI in the AI data center market, saying “it is very important for a player in the AI data center space to be allowed to take off and sleep.” He stressed that the delisting, which would block access to money, is a very small thing, despite the uncertainty of the rules.
The analyst also issued a major discount on the stock, setting a price target (PT) of $45. After SMCI’s 8-K filing, which significantly downplays the risk of the issue, Rajkumar now predicts a “brutal squeeze” that could follow, with shares likely to reach their price soon.
“SMCI has a leadership position in the fast-growing GPU-cooled data center market, a position it is unlikely to relinquish anytime soon,” said Rajkumar.
Raymond James upgrades HPE to Strong Buy
Earlier in the week, Raymond James was upgraded Hewlett Packard Enterprise Co (NYSE:) at Strong Buy, citing optimism about the company’s refined business model. The change, which now clearly separates AI platforms from traditional servers, has led the investment bank to raise its sales estimates for the 2025 financial year.
HPE is expected to deliver online financial results when it reports on December 6, though the corporate sector could pose a risk. Despite this, Raymond (NS:) James predicts rapid growth in the 2025 financial year.
The firm’s analysts also expect the acquisition of Juniper Networks (NYSE: ) to close as planned, a move that could boost many HPE stock prices.
Raymond James projects strong growth in HPE’s AI server sales, rising from $4.1 billion in fiscal year 2024 to $5.9 billion in FY25 and reaching $7.4 billion in FY26.
“AI sales often appear in AI model training programs, and HPE has cited partnerships with private networks,” noted analysts led by Simon Leopold.
They highlight that business customers, currently in the testing phase, account for between twelve percent of the backlog.
“As business adoption increases, we expect continued strong AI sales with margin improvement. We are placing HPE within the context of the AI network basket,” the analysts added.
