By Nauman Khan
Publication Date: 2026-10-01 15:35:00
This article first appeared on GuruFocus.
Bank of America sees Nvidia (NASDAQ:NVDA), Intel (NASDAQ:INTC), Marvell Technology (NASDAQ:MRVL), Micron Technology (NASDAQ:MRVL) and Lam Research as its semiconductor selections for the fourth quarter, citing spending trends and company-specific catalysts.
The bank lifted its estimate for the AI data-center market to $2.2 trillion by 2030 from $1.8 trillion. It expects adoption of AI agents, competition among AI developers and tight chip supplies to support infrastructure investment.
BofA also expects capital spending by major U.S. and Chinese cloud companies to reach about $1 trillion in 2026 and $1.4 trillion in 2027, before rising to $2 trillion to $3 trillion by 2030.
Among the five stocks, BofA pointed to buybacks and industry events for Nvidia, potential foundry wins and CPU demand for Intel, a planned buyback for Micron, an Oct. 6 analyst event for Marvell and possible share gains across memory and logic markets for Lam Research.
The firm said the Philadelphia Semiconductor Index was trading at 21 times forward earnings, about 12% below its median since ChatGPT’s launch.
