By Francisco Velasquez
Publication Date: 2026-04-08 16:48:00
The AI gold rush is accelerating so quickly that even bullish analysts are struggling to keep up with their forecasts.
In a new note to clients, Bank of America analyst Vivek Arya issued a massive upgrade to the firm’s global semiconductor outlook. He hiked its 2026 revenue target to $1.3 trillion — a $300 billion leap from the estimate the bank provided just four months ago. Nvidia (NVDA) and Broadcom (AVGO) continue to power those AI ambitions, per Arya.
“We continue to view AI/data center to drive the majority of gains (via compute, networking, memory), with industrial contributing to growths on inventory replenishment and robotics ramp,” Arya said.
The bank expects the total semiconductor market to hit the $2 trillion milestone by 2030. This implies a 20% compound annual growth rate (CAGR) through the end of the decade, more than double the 9% growth rate the industry averaged over the past 10 years.
To reach that finish line, Arya argued that the industry is entering a period of “leading logic intensity,” where the complexity of chip designs requires a ramp-up in specialized tools.
For investors looking to ride this momentum, BofA is doubling down on “AI compute” leaders, including Marvell Technology (MRVL) and Advanced Micro Devices (AMD). Beyond the chips themselves, the firm is flagging opportunities in chipmaking equipment through names like Applied Materials (AMAT) and Lam Research (LRCX).
Arya also pointed to a looming rebound for…
