Amphenol upgraded to Buy at BofA on AI-driven interconnect demand

As previously reported, BofA upgraded Amphenol (APH) to Buy from Neutral with a price target of $150, up from $120, as AI is driving interconnect demand even higher. The firm sees upside to calendar year 2026 estimates on higher-than-expected AI rack volume, upside to calendar 2027 estimates on incremental content of new architectures, and less risk to a calendar 2028 “cliff year” as the shift to co-packaged optics still will take time and the CCS acquisition gives Amphenol the opportunity to expand participation with fiber, the analyst tells investors. The firm’s estimates have moved 20% higher than consensus given upcoming M&A and upside from AI, the analyst added.