$AEIS

Simply Wall St links easing inflation expectations to investor focus on AI infrastructure growth stocks. It highlights Applied Materials (Semiconductor Systems revenue about $20.9b; services $6.8b; market cap $434b), Advanced Energy Industries (about $2.0b revenue; Q2 2026 revenue $574.1m; raised FY growth to low-mid 30% range; market cap $13.7b), and Silicon Motion Technology (about $1.3b revenue; market cap $9.1b).

US stock indices rose to record highs as investors weighed strong Q2 tech earnings expectations. Bloomberg Intelligence projects Q2 earnings up about 23% for S&P 500, with 86% of 322 reporters beating estimates. Markets priced a 59% chance of a 25 bp Fed hike and 85% for an ECB hike. SOX and AI chip stocks led; oil fell and energy stocks lagged.

Several small-cap stocks received analyst upgrades and higher price targets. e.l.f. Beauty was upgraded to outperform by Bernstein with a $113 target from $60, implying about 29% upside. Advanced Energy Industries, Kratos, Versigent, Coupang, and Bitdeer Technologies also saw rating changes and target updates, including Bitdeer’s $18 target and a nearly $5 billion AI/HPC services deal.

Advanced Energy (AEIS) reported Q2 CY2026 revenue of $574.1 million, up 30% year on year and 5.6% above Wall Street estimates, according to the company. Non-GAAP EPS was $2.74, 23.8% above consensus. Next-quarter revenue guidance is $640 million midpoint, and the stock rose 10.2% to $327.05.

Advanced Energy (NASDAQ: AEIS) is set to report Q2 earnings Monday. The company previously reported $511 million revenue, up 26.3% year on year, and provided next-quarter EPS and revenue guidance above analysts’ expectations. Consensus expects Q2 revenue growth of 23.1% y/y. AEIS shares are down 7.1% over the past month; average analyst price target is $428.73 vs $289.44.

A roundup of Wall Street analyst actions on Wednesday includes Stifel upgrading DigitalOcean to buy, Truist upgrading CoreWeave to buy, and multiple initiations: Philip Morris at buy, Affirm at outperform, Nebius at outperform ($250 target), Digital Turbine at buy ($15), CoreWeave at outperform ($100), and DigitalOcean at outperform ($165). Wells Fargo raised Sandisk to equal weight with a $1,620 target; JPMorgan reiterated Shopify overweight. Other calls cover Disney, Fluence Energy, Vornado, a

Tokyo stocks rebounded after the Marine Day holiday. The Nikkei 225 rose 3.26% to 66,232.19 and TOPIX gained 2.44% to 4,014.95 following a 6.4% weekly drop. Kioxia jumped 17.18% after a prior plunge, with Ibiden up 11.03% and Socionext up 9.11%, as investors bought AI and semiconductor-linked shares.

Asian tech and semiconductor shares fell after a U.S. AI and chip sell-off. SoftBank dropped 9.2%, Tokyo Electron fell 9%, Advantest slid 9.4%, and Kioxia plunged over 14% after a Texas jury ordered $229 million in damages. TSMC fell 3.64% despite raising capex to $60-64B.

Wells Fargo’s Mason Mendez said investors should stay invested despite volatility, citing a constructive equity view and a 2026 year-end S&P 500 target of 7,800 to 8,000, while noting high Q2 earnings expectations and leverage risks. The article highlights two Wells Fargo stock picks: Advanced Energy Industries (AEIS) and Viridian Therapeutics (VRDN), both with Strong Buy consensus ratings and double-digit upside potential.

Advanced Energy Industries (NASDAQ:AEIS) announced its ADH series of 800 V DC to 50 V DC DC-DC converters for AI data centers. The units target 98.2% peak efficiency, up to 8 kW peak and 6 kW full-load in a half-brick package, with peak power density above 2,700 W/in³. The company says they support liquid-cooled baseplates and modular parallel scaling.