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Ki shares climbed to Openai last week announced a partnership With Oracle (Orcl) and soft bank, which can lead to half a trillion dollar investment in the AI infrastructure over the next four years.
The investment announced on Tuesday contributes to the enormous sums that Tech Giants will be spent on data centers and other AI infrastructure in the coming years. Microsoft (Msft. Competitor Alphabet (Google) () (Googl), Amazon (Amzn) and Meta platforms (META) Forecast forecast that investments are made in a similar level.
These expenses have heated up an enormous rally in the shares of companies that provide the metaphorical “picks and shovels” of artificial intelligence: the manufacturers of semiconductors, servers and networking devices as well as power generators.
In the following we look at the weekly performance of the most popular AI games of Wall Street and immerse yourself in some of the best AI shares of the week.
Shares of Ciena Corp. ((HUNDRED), which sold networking hardware, software and services to telecommunications and cloud computing customers, rose by 14%last week. It is expected that Ciena benefits from the widespread introduction of artificial intelligence applications that should increase the demand for its optical network technology.
“Since Cloud and AI drive the bandwidth question in the entire network, we are positioned for accelerated sales growth and market share expansion,” said CEO Gary Smith in the recent profit report of the company.
The Bank of America analyst Tal Liani predicted that Ciena would be an important genaid favorite this year. The company, he estimated, houses almost 30% optical market shares (without China) and almost 50% of the 800 -G -optical market. Liani expects 800g modules that offer the largest range of all available optical modules, “become more pronounced in 2025 and beyond to support Genai throughput and requirements for latency with low latency”.
Liani is one of eight analysts of the Wall Street, which was followed by visible alpha, evaluates the Ciena share a “purchase”. An analyst has assigned him a “hold” rating. The average price target of $ 91.56 is 5% below the closing course on Friday.
ARISTA networks (Aneta), a competitor of Ciena in the networking area, also increased by 7.7%last week.
Shares of monolithic power supply systems (MP) jumped 8.4% last week.
The company, which designs and sells the semiconductor for power management for a number of markets, has recorded the sales balloon of the data center with increasing AI demand. In the third quarter of 2024, monolithic recorded an increase in AI and the sales of Cloud mountains by 86%. This business accounted for around 30% of total sales, compared to 21% in the third quarter of 2023 and only 10% in 2021.
