US chip firms' annual forecasts to be a 'wildcard' amid tariffs, TD Cowen says

Credo Technology Holding

09/04/2025 14:52

Updates

** TD Cowen expects US semiconductor companies' quarterly earnings to be 'fine on paper' and annual outlook from cos to be a 'wild card' given potential pressure on margins and revenue from tariffs

** Nvidia NVDA.O remains brokerage's top pick; it also prefers AMD AMD.O, Broadcom AVGO.O  and Credo CRDO.O

** NVDA, AMD and AVGO up between 3% and 3.5%

** CRDO up ~5%

** Trump's "reciprocal" tariffs on dozens of countries took effect on Wednesday, including a 104% duty on Chinese goods

** "Tariffs throw a significant wrench into what was already likely a volatile set of earnings" - TD Cowen

** NVDA and AMD set to report quarterly results on May 28 and May 6 respectively

** The Philadelphia Semiconductor index .SOX has dropped 17% since 31 March, taking losses so far this year to 28.5%

** Brokerage cuts PTs of following semiconductor stocks:

RIC
New PT
Prior
AIP
$8
$13
AVGO
$200
$265
CRDO
$50
$85
LSCC
$50
$75
MPWR
$600
$750
MRVL
$60
$95
NVDA
$140
$175
QCOM
$160
$195

 (Reporting by Rashika Singh in Bengaluru)

 ((Rashika.Singh@thomsonreuters.com;))