NVIDIA NASDAQ: NVDA is the most important stock on the market, but not the only one benefiting from AI or its advances. Edge businesses such as Micron Technology NASDAQ: Manchester United and collaborators such as Logitech International NASDAQ: LOGIA and Uber Technologies New York Stock Exchange: UBER are in a good position. They can benefit from demand in the first case and AI development in the other, and, more importantly, be able to benefit from it.
Why Micron’s HBM3E Technology Leads the Industry
Micron technologies today
Micron Technology
As of 4:00 pm ET
- 52 week range
- $79.15
▼
$157.54
- Dividend yield
- 0.46%
- P/E ratio
- 146.09
- Target price
- US$135.24
Micron’s HBM3E technology is the best and will be in high demand with or without NVIDIA. HBM3E enables you to run cutting-edge cloud applications with faster performance and lower power consumption than competitors. It just so happens that NVIDIA GPUs and CPUs play a central role in the development of artificial intelligence and are driving today’s demand. This, as well as normalization in legacy markets, will see Micron’s earnings grow at a rapid pace in 2025 and are projected to remain strong next year. Important details include margins, which are expanding due to the strength of next-generation high-yield end markets and higher revenues.
Consensus estimates for 2025 and 2026 rose at the end of 2024, but are likely low due to demand and capacity additions. The company is expanding its HBM footprint with a $7 billion facility expected to begin operations in early 2026, and other parts of the AI supply chain are doing the same. Taiwan Semiconductor is expanding capacity in multiple regions, improving its prospects while paving the way to localize production of NVIDIA’s most advanced technologies. In terms of price targets, analyst consensus reported by MarketBeat projects the stock to trade around $135, or with potential for a 35% upside from early January trading levels.
Uber and NVIDIA aim to disrupt the self-driving vehicle industry
Uber Technologies today
Uber Technologies
As of 3:58 pm ET
- 52 week range
- $54.84
▼
$87.00
- P/E ratio
- 32.82
- Target price
- $91.53
Uber and NVIDIA are collaborating on a program that leverages Uber’s data generation capabilities and NVIDIA’s artificial intelligence computing power to advance autonomous driving. While the move to autonomous driving is still a future event, it will open up new revenue opportunities for this company, allowing it to evolve with technology, and the outlook is bright.
Analysts forecast double-digit growth for Uber over the next few years with improving earnings quality. As seen in the 2024 report, the company has already significantly improved the quality of its earnings and, as a result, has embarked on an aggressive return of capital. Returns on equity are expected to continue and possibly strengthen, providing market support at critical times through buybacks while enhancing shareholder value.
Analysts love Uber. Not only is coverage rising, but sentiment is stable at a Moderate Buy level and the price target is trending higher. The activity is mixed; There have been some downgrades and price targets for 2024, but the positives outweigh the bad, pushing the consensus target up nearly 60% for the year and 40% above early January price action.
Logitech Expands Streaming Options: NVIDIA Expands AI Capabilities
Logitech International today
Logitech International
As of 4:00 pm ET
- 52 week range
- $74.72
▼
$102.59
- Dividend yield
- 0.61%
- P/E ratio
- 19.10
- Target price
- $92.88
Logitech, NVIDIA and Inworld AI have collaborated to develop an AI agent for streamers. The tool, powered by G’s Streamworld platform, is a 3D assistant that can perform co-hosting functions while automating production. While the assistant has a small impact on revenue, it is another feature that sets Logitech apart from its competitors. Logitech is a leading manufacturer of computer peripherals and services to support them; integrating AI agents into its ecosystem is a natural progression.
In terms of Logitech’s revenue and earnings forecasts, the company is expected to maintain growth in 2025 and accelerate over the next few years. Earnings are projected to grow more than 50% by 2030, making this stock 14x and highly valued.
Logitech’s dividends are part of its appeal. The stock isn’t a high-yield stock, but it’s competitive, with the S&P 500 hovering around 1.5% and solid. The company is paying out only 25% of projected earnings for the current year and has a solid track record of growth. The company has been growing its payout at a double-digit CAGR for more than a decade and should maintain long-term growth at that rate thanks to its balance sheet health, improving cash flow and earnings growth prospects.
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