AI stocks rise as Anthropic nears Wall Street debut amid investor caution

Meta Platforms (META) plans to raise about $95B for AI expansion, with Nvidia (NVDA), AMD (AMD), and Broadcom (AVGO) considering investing up to $5B collectively. Meta will issue $35B in offerings, including $22.5B in common stock, and another $60B in 2027. Meta's Q3 revenue rose 26% to $64.6B, but it reported negative free cash flow of $2.12B due to high infrastructure spending.

Micron (MU) shares rose 2% after Bank of America's Vivek Arya reiterated a Buy rating and $1,550 price target, citing longer-term customer deals. SK hynix (SKHY) also gained 3% on potential cash returns. Analysts expect Micron's revenue to grow through fiscal 2028, with long-term deals covering over a third of sales.

UBS raised its price target on Amazon (AMZN) to $348 from $318, citing expectations of higher AWS margins. The firm forecasts a 2027 AWS operating margin of 46%, above consensus. Amazon shares gained 0.92% in premarket trading.

SWI Group, listed on Euronext Amsterdam, launched SWI Compute, an AI infrastructure provider. It secured a $1 billion NVIDIA order and plans a UK AI factory with 30 MW capacity, expanding to 530 MW by 2029. SWI Group has 3.6 GW of power capacity across 24 sites. NVIDIA's VP highlighted the partnership's role in Europe's AI ecosystem.

Micron Technology (MU) received a Buy rating from Bank of America after meetings with management. The company reported supply agreements extending to 2031, aiming for 50% of revenues to be covered by these deals by 2030. Micron also outlined advancements in high-bandwidth memory, DRAM, and NAND technology, with plans for increased share repurchases.

US stocks rose on October 26, 2026, with the Dow Jones up 0.4% and the S&P 500 and Nasdaq up 0.3%, as semiconductor stocks gained following Anthropic's IPO filing. Anthropic reported $16.29 billion in revenue for the first half of 2026, a 1,304% increase. Nvidia, Micron, Broadcom, and AMD shares advanced, while neocloud companies fell. Investors await the Federal Reserve's interest rate decision, with a 90% chance of rates staying at 3.75-4%.