Nvidia’s latest quarterly results could show a boost to other stocks in the artificial intelligence field. The company reported revenue growth of 78% year-on-year for the fourth quarter of 2025. The current quarter guidance was ahead of analyst expectations. That’s a month after the emergence of Chinese AI startup DeepSeek plunged nearly 17% in fear that it could hinder spending on space and lead to more competition. “In yet another ‘Beat and Raise’ quarter, Nvidia’s latest results support our view that the AI computing industry should continue to grow strongly despite recent concerns about low-cost models such as Deepseek and recent noise on data centers,” UBS wrote in a memo on Thursday. “We recommend maintaining a positive view on AI semiconductors and major cloud platforms, and purchasing high-quality AI stock DIPs or leveraging short-term volatility through structured strategies.” According to Bank of America, Taiwan’s semiconductors could become key beneficiaries of this powerful AI demand. Following the results of Nvidia, the company believes it will double the year-on-year revenues in 2025, calling it the industry’s “good supplier” for all clients of graphics processing units (GPUs) and ASICs, known as application-specific integrated circuits. “Nvidia’s Jan-Q revenue calls strengthened TSMC’s positive outlook and reaffirmed the momentum of the robust AL industry,” the $265 price target means upside down by more than 36% since closing on Wednesday. “As Nvidia reports strong results and robust demand guidance, Blackwell’s rapid ramp-up and continued supply tightness (also reflected in Nvidia’s comments on gaming business) suggests a sustained high utilization rate at TSMC.” Our US stock has fallen by around 4% this year, but has risen more than 4% over the past three months. Most analysts are also bullish in names, covering strong purchase or purchase ratings per LSEG, with the exception of all but one of the 18 analysts. Earlier this week, the company announced plans to expand collaboration with Nvidia by integrating Cisco System’s Silicon One Technology with NVIDIA’s Spectrum-X Ethernet Networking Platform for Data Center platforms. Citi believes the partnership will support Cisco’s greater growth. On Thursday, Citi maintained its stock purchase rating, increasing its price target from $71 to $73. Nvidia’s comments believe they support Cisco’s recent partnership with Nvidia, and are likely to add to the Cisco AI order outlook offered on Cisco’s revenue calls. “CSCO remains a topcom equipment pick in 2025 given its growing opportunities for AI and its relatively unemphasized rating.” CSCO YTD Mountain CSCO, other names that could be beneficiaries of Nvidia’s AI demand are Vertiv Holdings and Amphenol, pointing out that Evercore ISI is a supplier of Nvidia’s Blackwell systems. These stocks fell below the broader market this year, falling more than 16% and more than 5% respectively. Evercore ISI also said Nvidia’s Hopper 200 growth in the fourth quarter was “positive” for both Dell Technologies and Hewlett Packard Enterprise.
Analysts see bullish read through of these stocks from Nvidia results
By NvidiaDaily
