Top US Chip Stocks to Watch, According to Bank of America

Bank of America released a list of top U.S. semiconductor picks with price targets that price in continued AI-driven demand for compute, networking and custom chips. The note assigns NVDA a $300 target (28x CY27E) citing leadership in AI compute and networking, while Broadcom, Marvell and AMD received $450, $125 and $280 targets respectively based on forward PE multiples and AI exposure. Credo was also highlighted with a $160 target and an announced DustPhotonics acquisition. Analysts point to upside from secular AI adoption and profitability/FCF strength, but flag sector risks including cyclical semiconductor demand, competitive pressure, China restrictions and execution/ M&A risks. Overall the report is a bullish institutional outlook for large-cap chip names, though it stresses company-specific downside scenarios.