TLDR
- Piper Sandler initiated coverage of five chip stocks with Overweight ratings: Nvidia, Broadcom, AMD, Marvell, and Arm Holdings
- Analyst David O’Connor sees the AI compute market hitting $2.2 trillion by 2030
- Nvidia received a $300 price target, cited as holding 80% market share in AI compute
- AMD got the highest price target at $600, with earnings forecast to grow at a 65% compound annual rate through 2030
- Marvell’s $120 billion Google agreement was called “transformative” by the analyst
Piper Sandler launched coverage of the AI chip sector on Thursday, picking five semiconductor stocks it expects to benefit from rising demand for AI computing power.
Piper Sandler initiated $NVDA, $AVGO, $AMD, $MRVL and $ARM at Overweight, arguing that rising AI-compute demand positions all five chipmakers for growth despite supply constraints.https://t.co/afTCU9lB0W pic.twitter.com/yI7b0K7WwN
— Investing.com News (@newsinvesting) September 10, 2026
Analyst David O’Connor started all five stocks at Overweight. He projects the AI compute market will reach $2.2 trillion by 2030.
Nvidia and Broadcom Lead the AI Accelerator Pack
Nvidia received a price target of $300, implying about 34% upside from current levels. O’Connor called it the “outright leader in AI compute” with 80% market share. He said supply is likely to stay tight for the next two to three years.
The rise of agentic AI workloads this year has pushed demand higher. O’Connor described Nvidia as “among the cheapest in the AI universe” at around 14 times fiscal 2028 earnings estimates.
Broadcom was initiated at $460, about 26% upside. The firm estimates demand is currently about twice the available supply for Broadcom’s custom ASIC chips. O’Connor said the company holds roughly 75% of the ASIC market for AI inference.
He noted Broadcom has visibility into 12 gigawatts of demand in fiscal 2027. He also called it the “cheapest in our AI universe.”
AMD, Arm, and Marvell Round Out the List
Advanced Micro Devices got the highest price target of the group at $600, around 15% upside. O’Connor called it an “Agentic AI Sweetspot,” pointing to share gains in server CPUs and a ramp in its Helios GPUs.
Key clients include OpenAI, Meta, and Anthropic. The firm expects AMD revenue to grow at a 50% compound annual rate through fiscal 2030, with earnings per share growing at 65%.
Arm Holdings was started at $320, about 21% upside. O’Connor highlighted Arm’s dominance in CPU intellectual property. He said moving into accelerator IP could be a major earnings driver.
The analyst estimated that capturing just 10% of the ASIC market could double Arm’s current earnings. Arm currently holds about 50% share of its target CPU IP markets.
Marvell Technology was initiated at $270, roughly 15% upside. The firm pointed to its data center business and a $120 billion agreement with Google as central to the case.
O’Connor called that deal “validation of the strategy and transformative for the company.” He flagged an October 6 analyst day as a potential near-term catalyst.
Piper Sandler also initiated coverage of Intel and Qualcomm, but assigned both Neutral ratings. Intel received a $110 price target and Qualcomm a $190 target.
The firm said Intel’s stock already reflects expected foundry market share gains. For Qualcomm, O’Connor said new design wins appear already priced in.
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