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Zhitong Finance APP learned that research firm TD Cowen said that the theme of generative artificial intelligence (GenAI) has been dominated by several giants, especially Nvidia (NVDA.US), but this team seems to be expanding.

“Nvidia continues to dominate in terms of deals, narratives, and fundamentals, even as GenAI spending by others such as AMD (AMD.US), Broadcom (AVGO.US), and Marvell (MRVL.US) begins to expand,” the firm’s analysts wrote in an investor note.

The analysts added that there are "no signs" of AI demand abating in the short term, noting that Broadcom recently raised its full-year AI targets. In addition, large software companies are still launching AI-based products, and demand is likely to continue to strengthen as large customers try to achieve the convergence of general artificial intelligence.

The firm raised its price targets for AMD, Credo Technology, Cirrus Logic, Monolithic Power Systems, MACOM Technology Solutions (MTSI.US) and Nvidia.

Drilling down further, the analysts expect the MI300X accelerator program (and its successors) to help AMD generate $4.75 billion in sales in 2024 and $9.5 billion in 2025. Broadcom, meanwhile, is considered "very well-positioned to benefit from the ongoing transition to Ethernet backend networking in addition to its custom silicon."

Marvell will benefit as attachment rates for optoelectronics products rise and its custom silicon business continues to grow.

In addition, Monolithic Power (MPWR.US) will also benefit from high attach rates and content growth from Nvidia, AMD and its tensor processing unit (TPU) power management business (especially Broadcom customer Google).

Credo Technology (CRDO.US) and Qualcomm (QCOM.US) are also expected beneficiaries in the small- and mid-cap space, with the firm saying these companies “will benefit from the expansion of AI spending in data centers to client devices such as smartphones and PCs.”