Analytical firm TD Cowen stated on Tuesday that it sees growth potential in the valuations of semiconductor manufacturers for computing and network solutions, but it is taking a neutral stance ahead of the release of Nvidia’s and Broadcom’s financial reports. According to experts, the key issues that concern investors will not be resolved this quarter. Analyst Joshua Buchalter noted that the company sees potential for growth in its performance metrics but is taking a neutral stance ahead of the earnings release, as key discussions are unlikely to be resolved following the publication of the results. At the same time, TD Cowen has a positive outlook on the prospects for Credo and Marvell.

The company noted that market sentiment has changed compared to the pessimism of July. Capital expenditures and fundamental indicators point to a strong 2027, and concerns about overproduction appear less relevant against the backdrop of what analysts call unabated demand. TD Cowen also noted that the largest cloud providers and companies building infrastructure outside of the cloud have confirmed or raised their forecasts for capital expenditures. Open‑source AI models are now seen as an additional driver of demand for computing power, rather than a сдерживающий factor.

Regarding Nvidia, the brokerage firm expects typical forecast overruns, with upward guidance and visibility extending through 2027. However, analysts pointed out that the reports, which were supposed to be a positive catalyst for stocks, have not been such in recent quarters, and they do not expect this dynamic to change.

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The material has been prepared solely for informational purposes and does not constitute financial advice or recommendation.