Stifel looks ahead to 2025 as a “beneficiary” of analog connectivity and processor stocks and praises Nvidia as still the “most beautiful boy” in the field of AI and accelerated computing

The Zhitong Finance App learned that Stifel said that Nvidia (NVDA.US) is still the “best idea” for artificial intelligence and accelerated computing in 2025, while highlighting the top ten trends in analog connections and processors as well as applications and emerging technologies.

Analysts led by Tore Svanberg looked at analog, connectivity, and processor stocks. Analysts said that the main AI infrastructure beneficiaries include Astera Labs (ALAB.US), Credo Technology Group (CRDO.US), Monolithic Power Systems (MPWR.US), and Marvell Technology (MRVL.US).

According to analysts, companies that have recovered a lot but have experienced strong long-term growth include Silicon Laboratories (SLAB.US) and SiTime (SITM), while companies with strong fundamentals include Analog Devices (ADI.US), Microchip Technology (MCHP.US), and MACOM Technology Solutions (MTSI.US).

Regarding the outlook for applications and emerging technologies, Svanberg and his team said Nvidia remains their “best idea” for artificial intelligence/accelerated computing because they believe the company is likely to maintain a strong leadership position in the AI infrastructure market with the official launch of the Blackwell architecture in 2025.

In addition to Nvidia, analysts say they continue to believe that optical systems and component companies will also benefit from the rapid growth in the size of AI clusters and the increasing complexity of network topologies. In this field, analysts prefer Ciena (CIEN.US), Coherent (COHR.US), and Lumentum (LITE.US). A network topology is a physical arrangement of nodes and connections in a computer network.

Svanberg and his team also noted that Viavi Solutions (VIAV.US) will also benefit as the testing and diagnostic needs of these networks continue to evolve.

Stifel predicts the top ten trends for 2025: cyclical recovery, connectivity technology, incremental bandwidth growth, geopolitical risks, power and data centers, electronics manufacturing services and hyperscale opportunities, the emergence of consumer-grade artificial intelligence, professional artificial intelligence clouds, mergers and acquisitions, and automobile production expectations.