Latest news with #Lipacis
Business Insider
7 days ago
- Business
- Business Insider
‘Buy the Dip Now,' Says Five-Star Analyst after ASML Stock Sinks
Shares of ASML Holding (ASML) are plunging in today's trading after the semiconductor company released its second-quarter results and gave a cautious outlook. However, Evercore ISI, led by five-star analyst Mark Lipacis, sees this as a buying opportunity. Despite the short-term weakness, Evercore kept its Outperform rating and €803 price target on the firm's European ticker (NL:ASML). Lipacis pointed out that ASML's valuation has already dropped significantly, as its price-to-earnings ratio has compressed by about 35-40% over the past nine months. Elevate Your Investing Strategy: Take advantage of TipRanks Premium at 50% off! Unlock powerful investing tools, advanced data, and expert analyst insights to help you invest with confidence. Make smarter investment decisions with TipRanks' Smart Investor Picks, delivered to your inbox every week. As a result, he believes that this decline already reflects negative news, therefore making the current dip a good entry point. He also noted that demand for AI-related chips continues to grow, especially in foundry logic and DRAM, which should help support ASML's long-term growth story. While ASML beat both revenue and earnings expectations for Q2, its forecast for the next quarter came in below what analysts were expecting. Indeed, the company projected Q3 revenue between €7.4 billion and €7.9 billion, which missed market estimates of €8.3 billion. It is also worth noting that Lipacis admitted that ASML's gross margins could decline in the second half of 2025. This is due to how revenue is recognized from its High Numerical Aperture (High NA) technology, as well as a lower mix of high-margin upgrade sales. Still, Evercore believes ASML is on track to hit its 2025 goals and is confident in its long-term potential. Is ASML Stock a Good Buy? Turning to Wall Street, analysts have a Moderate Buy consensus rating on ASML stock based on two Buys, five Holds, and zero Sells assigned in the past three months, as indicated by the graphic below. Furthermore, the average ASML price target of $877.75 per share implies 17.3% upside potential.
Yahoo
18-06-2025
- Business
- Yahoo
Marvell Stock Jumps After Unveiling Multi-Billion AI Chip Deals
June 18 - Marvell Technology (NASDAQ:MRVL) rose about 6% on Wednesday morning after Wall Street analysts responded positively to the company's recent custom AI event, citing major design wins and an expanded market outlook. Warning! GuruFocus has detected 4 Warning Signs with MRVL. The chipmaker revealed two new compute-focused XPU projects from hyperscale clients, with additional attach design wins bringing the total to 13, including one with Meta (NASDAQ:META). Evercore ISI's Mark Lipacis called these multi-billion-dollar lifetime revenue opportunities, potentially ramping up between 2026 and 2027. Lipacis maintained an Outperform rating with a $133 price target, noting each XPU attach win could generate several hundred million dollars in long-term revenue per socket. Morgan Stanley's Joseph Moore described the updates as ambitious, but acknowledged the opportunity looked credible. He highlighted Marvell's push to capture 20% of a newly sized $94 billion data center market, with over half of that driven by custom ASICs. Moore kept an Equal-Weight rating with a $73 price target. Bank of America's Vivek Arya was more bullish, raising his price target to $90 from $80. He said the company's increased 2028 earnings outlook points to potential EPS of $8, roughly 60% above consensus forecasts. Analysts said Marvell's expanding AI chip pipeline, including ongoing work with Microsoft (NASDAQ:MSFT) on its Maia processor and integration with Amazon's (NASDAQ:AMZN) Trainium3, reinforces its position in the competitive AI infrastructure space. This article first appeared on GuruFocus. Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
Business Insider
03-05-2025
- Business
- Business Insider
Qualcomm (QCOM) Receives a Rating Update from a Top Analyst
Evercore ISI analyst Mark Lipacis maintained a Hold rating on Qualcomm (QCOM – Research Report) yesterday and set a price target of $157.00. The company's shares closed yesterday at $139.81. Protect Your Portfolio Against Market Uncertainty Discover companies with rock-solid fundamentals in TipRanks' Smart Value Newsletter. Receive undervalued stocks, resilient to market uncertainty, delivered straight to your inbox. Lipacis covers the Technology sector, focusing on stocks such as Nvidia, Advanced Micro Devices, and Intel. According to TipRanks, Lipacis has an average return of 20.4% and a 58.14% success rate on recommended stocks. In addition to Evercore ISI, Qualcomm also received a Hold from KeyBanc's John Vinh in a report issued on May 1. However, on the same day, Mizuho Securities maintained a Buy rating on Qualcomm (NASDAQ: QCOM).
Yahoo
25-02-2025
- Business
- Yahoo
Nvidia stock drops ahead of earnings as investors weigh potential Trump export rules, Blackwell delays
Nvidia (NVDA) stock continued its recent slide on Tuesday as investors weighed potential delays in the ramp-up of its AI Blackwell chips and a report of possible new export rules from the Trump administration. The stock dropped over 2% early Tuesday after Bloomberg News reported late Monday night that the Trump administration is looking to further tighten US export rules on the chip sector in an effort to restrict China's advancement in the AI space. Trump is looking to sanction specific Chinese companies and further restrict international companies from maintaining semiconductor gear in the country, Bloomberg reported. The news comes more than a month after Chinese firm DeepSeek introduced new, cost-efficient AI models that rocked US markets. Over the last five trading days, Nvidia stock has lost over 9%, a decline that comes ahead of the chipmaker's fourth quarter earnings report scheduled for Wednesday after the bell. Nvidia stock dropped 4% Friday and an additional 3% Monday as macroeconomic uncertainty surrounding Trump's trade policies stoked fears of inflation and drove down major stock indexes. Another challenge for Nvidia investors ahead of the report came in a note to investors on Monday from Evercore ISI analyst Mark Lipacis, who suggested Nvidia's ramp-up of its latest Blackwell AI chips could be delayed. 'Our checks suggested Blackwell ramp [was] pushed to mid 2025 from 1H25 [the first half of 2025]," he wrote. Lipacis added, 'We believe some hyperscalers will likely push some purchases from NVDA, however many noted demand for NVDA GPUs [graphics processing units, or AI chips] still outstrips supply, and absent B100 [Blackwell] availability, NVDA's current solution, H100 would be purchased instead.' Lipacis maintained his Buy rating on the stock. Nvidia did not immediately respond to Yahoo Finance's request for comment. Nvidia's Blackwell chips have faced overheating issues and glitches. The Information reported in December that some of Nvidia's top customers — Microsoft (MSFT), Amazon (AMZN), Google (GOOG), and Meta (META) — had cut orders of its Blackwell products due to those issues. Those four customers alone purchased an estimated $44 billion worth of Nvidia GPUs in the 2024 calendar year, according to a DA Davidson analysis. Still, Wall Street analysts maintained their bullish outlooks on the stock ahead of its fourth quarter earnings call Wednesday, despite concerns related to export controls, DeepSeek, and delays of its Blackwell chips. DA Davidson analyst Gil Luria said commentary on Blackwell delays should be taken 'with a grain of salt.' 'Since there is so much excess demand for Blackwell, NVIDIA is rationing orders which may seem like a delay in production even if it is not,' he told Yahoo Finance in an email. Luria holds a Neutral rating and $135 price target on Nvidia stock. Truist Securities' William Stein also addressed the Blackwell concerns in a note to investors late Monday: 'Since NVDA announced Blackwell at its 2024 GTC event, our contacts have been talking about volume shipments as if they were always right around the corner, waiting for a yield improvement or a design challenge to be addressed.' Stein added: 'NVDA is still the AI leader and the one to own.' For Nvidia's fourth quarter, analysts expect the chipmaker to report adjusted earnings per share rising roughly 64% from the prior year to $0.84 and revenue jumping 73% to $38.2 billion. Laura Bratton is a reporter for Yahoo Finance. Follow her on Bluesky @ Email her at
Yahoo
18-02-2025
- Business
- Yahoo
Why Intel could be worth more than $200 billion if it breaks up
The rumor mill is spinning overtime on struggling Intel (INTC) as the tech icon looks at ways to create shareholder value. Chip rivals Taiwan Semiconductor (TSM) and Broadcom (AVGO) are each eying deals with Intel that could break up the company, the WSJ reported over the weekend. Broadcom is reportedly looking to gain control of Intel's lucrative chip design and marketing business. Taiwan Semiconductor is reportedly studying controlling some or all of Intel's chipmaking plants. A spokesperson for Intel didn't immediately return Yahoo Finance's request for comment. A breakup could extract a good bit of value for long suffering Intel shareholders, estimates Evercore analyst Mark Lipacis. In an analysis of Intel's business, Lipacis said Intel is conservatively worth $167 billion or $38.24 a share. Intel's stock currently trades at $24.66, down more than 47% over the past year. The stock has crashed 65% in the last five years to a market cap of $102 billion. Using more robust projections of financial performance for each business, Lipacis estimates Intel could be worth $237 billion or $54.18 a share. A path to a deal could be tough, says Lipacis. "Depending on how a deal is structured, it might require regulatory approval from countries around the world, including China. Also, Intel has historically designed its factories to make x86 CPUs, so it is not clear if Intel's factories would be able to make external chips efficiently with its current physical plant. Finally, Intel's foundry business reported a 76% operating loss in 2024, vs Taiwan Semiconductor's 45% operating margin," he explained. Wall Street analysts at Raymond James, Bank of America, and Bernstein echoed concerns over regulatory hurdles and antitrust issues, with Bank of America's Vivek Arya saying 'any potential INTC split could be time-consuming and complicated.' Plus, any deal involving TSMC and Intel's manufacturing business would face tight constraints given the rules of Intel's CHIPS Act funding, which requires Intel to retain ownership of more than 50% of its foundry, Arya wrote in a note to investors Tuesday morning. The Trump administration 'could be wary of a foreign entity completely taking over an iconic US-firm that has deep involvement with US Department of Defense customers,' Arya wrote. Raymond James analyst Srini Pajjuri said in a note that '[A] better outcome for [the] U.S. government would be to work with TSM separately to expand its U.S. manufacturing footprint.' Intel was awarded $3 billion in US government funding in September to manufacture chips for the military. Bernstein analyst Stacy Rasgon said Broadcom would be a good candidate to take over Intel's products business. "Hock [Tan] has shown the ability to take a hatchet to costs, ruthlessly, while still preserving innovation,' Rasgon wrote of Broadcom's CEO in a note Tuesday morning. Intel has endured a challenging few months. The tech icon parted ways with embattled CEO Pat Gelsinger on Dec. 1. Gelsinger led aggressive efforts to turn around the troubled US chipmaker for more than three years. He slashed thousands of jobs, improved costs, secured CHIPS Act funding, built chip foundries, and promised fast AI chips that could compete with Nvidia (NVDA) and AMD (AMD). Intel named CFO David Zinsner and former head of client computing Michelle Johnston Holthaus as the interim co-CEOs. Holthaus was also named Intel Products CEO. Intel will likely fill the CEO role by bringing in a top name from outside the company, Wall Street sources have told Yahoo Finance since Gelsinger's departure. Any permanent CEO will have to repair trust with investors after missing financial targets, and make a decision on the foundry business. It also requires immediately stabilizing the financials. That's in addition to likely exploring a breakup of the company to drive shareholder value. Intel's fourth quarter sales fell 7% year over year to $14.3 billion. Net earnings plunged 76%. The company forecasts it will only break even on the profit line this year. Whatever happens to Intel, it will be important for the US. "Well, it'd be great for the United States if their process, technology arm could be a credible alternative to Taiwan Semiconductor and Samsung. They're trying to do that, but that takes time and a lot of capital so that is a very, very hard thing," Microsoft (MSFT) co-founder Bill Gates told me on Yahoo Finance's Opening Bid podcast (video above; listen in below). This embedded content is not available in your region. Brian Sozzi is Yahoo Finance's Executive Editor. Follow Sozzi on X @BrianSozzi, Instagram, and LinkedIn. Tips on stories? Email
