Raymond James is doubling down on the AI chip boom. Top Analyst Simon Leopold rolled out new coverage on Nvidia (NVDA), Advanced Micro Devices (AMD), and Broadcom (AVGO), calling all three key players in the growing AI chip market. The 5-star analyst expects spending on AI computing to stay strong and believes these companies could benefit as the industry expands. Leopold rated all three stocks as Buys with price targets that suggest meaningful upside from current levels.
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Nvidia Still Leads the Pack
Leopold said Nvidia remains the front-runner in AI chips as companies build large AI-focused computing systems. The analyst set a $272 price target for NVDA, which implies roughly 50% upside from current levels. He noted Nvidia has a massive installed base and strong ties with governments and major tech firms.
He also believes demand for the new Blackwell chips could be stronger than what the market expects today. While he noted that pullbacks can happen, he said AI spending remains healthy and Nvidia shares still look appealing.
AMD Is Winning Big New Deals
Leopold said AMD is gaining momentum and winning meaningful new deals in both servers and PCs. The analyst set a $337 price target, which signals about 82% upside from current levels. He pointed to new agreements with OpenAI and Humain, which he believes could bring in up to $15 billion in revenue in 2026, with more growth in 2027 as projects scale.
He said AMD is now being seen as a strong alternative to Nvidia, especially as more customers want a second supplier for AI chips. With new demand building, Leopold sees room for further growth in the stock.
Broadcom Plays the Infrastructure Game
Leopold is also positive on Broadcom and said the company plays a key role in the AI build-out through networking and custom silicon. He assigned a $420 price target, which implies about 21% upside from current levels. Instead of selling the main AI chips like Nvidia and AMD, Broadcom supplies the technology that connects and supports those chips inside large data centers.
He believes this gives Broadcom a steadier business model because data centers need fast and stable networking as AI use increases. With demand rising for quicker data flow and stronger support systems, Leopold believes Broadcom is in a good spot to benefit as AI continues to expand.
Which Chip Stock Is the Best Buy Right Now?
Turning to Wall Street, out of the three stocks mentioned above, Nvidia offers the highest upside at about 42% and carries a Strong Buy rating from analysts. AMD follows with about 38% upside and a Moderate Buy consensus.
Meanwhile, Broadcom also holds a Strong Buy rating but shows the lowest upside in the group at around 15%. However, it scores highest on the Smart Score, suggesting strong support from analysts, hedge fund activity, and market signals.
