Track semiconductors, computing infrastructure and the technology cycle.
In the first quarter of fiscal 2027, Sandisk revenue rose 23% quarter over quarter, with data center business revenue up 61% but consumer business revenue down 29%. The company’s guidance for the next quarter also remained above market consensus.
Flex reported better-than-expected revenue and earnings for the quarter ended in September and raised its fiscal 2027 guidance. JPMorgan expects growth and margin improvement in the CPI business to continue into the next fiscal year, although separation costs are affecting cash flow conversion.
Revenue rose 9.7% year over year in the third quarter of 2026, but gross margin fell to 18.2%. Morgan Stanley believes rising depreciation and foundry costs, SiC substitution, and the timing of revenue from new products will constrain earnings recovery.
Third-quarter revenue rose 31% year over year but missed expectations because of component shortages and inventory write-downs; BofA cut its earnings forecasts for the next three years and maintained its Buy rating.
Capital spending by the major cloud and neocloud providers tracked by BofA is expected to rise 54% year over year in 2027, up from 37% before earnings season; demand for computing capacity and rental rates support expansion, while upfront investment continues to squeeze free cash flow.
Hon Hai’s collaboration with Nvidia is expanding from GPU servers to full racks, networking, power supply and cooling. Citi believes factory pre-integration and automation capabilities could expand its revenue opportunities from AI projects.
Enterprise SSD solutions drove revenue and margin growth in the third quarter of 2026. The company expects revenue to grow by more than 40% in 2027; Morgan Stanley sees an opportunity in boot drives and expects working capital to continue consuming cash.
Seagate’s nearline hard-drive shipment capacity rose just 2% sequentially in the September quarter, but its price per TB increased 16%. Morgan Stanley cut its earnings forecasts and price target but remains positive on tight supply and demand and the ramp-up of HAMR products.
Third-quarter data center results drove earnings above expectations, but weak PC demand and customer inventory reductions weakened the fourth-quarter outlook. Bernstein cut its earnings forecasts and valuation multiple, lowering its price target from $110 to $75.
HSBC reviews Tencent’s Global Digital Ecosystem Summit: WorkBuddy is connecting office tools with WeCom, Hunyuan Hy4 is set to launch, and Tencent Cloud’s overseas customer base doubled over the past year.
Foxconn Industrial Internet’s cloud computing business maintained strong growth in the third quarter. Net profit exceeded the Bloomberg consensus and the expectations of buy-side investors contacted by Citi, but gross margin and net profit fell short of Citi’s own forecasts. Citi lowered its 2026 earnings forecast and sharply reduced the valuation multiple for the AI business.
Citi believes slowing process advances and HBM's use of wafer capacity will keep advanced memory supply tight; Micron also expects DRAM supply and demand to be tighter in 2027–2028 than in 2026.
Citi expects Lumentum’s OCS business to drive near-term results above expectations, while lowering its CPO revenue forecasts and maintaining its overall earnings forecasts and price target.
Third-quarter revenue and net profit fell short of Citi’s expectations, while operating profit was broadly in line. Management says orders cover the full year of 2027, but Citi has lowered its forecasts for that year following adjustments to the expected ramp-up of next-generation products.
Revenue fell short of Goldman Sachs’ expectations, but the product mix, tariff refunds and cost control supported operating profit; fair-value losses on an investment weighed on net profit.
Unitree Robotics’ revenue rose 70% year over year in the third quarter of 2026, but net profit fell 17%. BofA cut its earnings forecasts and believes the current valuation already reflects substantial expectations for future growth.
Oracle expects to raise 20 billion dollars in new financing over the next three years, below the market estimate of approximately 50 billion dollars. Bank of America also raised its revenue forecast but expects capital expenditure and cash flow pressure to remain substantial before fiscal 2028.
Stronger third-quarter orders and operating profit in 2026 and advanced packaging equipment support long-term growth, but intensifying competition and shifts in the timing of HBM demand led BofA to cut its earnings forecasts and valuation multiple.
The company’s third-quarter gross margin beat J.P. Morgan’s and market expectations, but revenue and net profit fell short of market consensus. J.P. Morgan expects TPU-related shipments to drive further revenue growth in the fourth quarter, while new projects put short-term pressure on gross margin.
Both companies’ third-quarter capital spending fell short of expectations, but their full-year plans still point to higher fourth-quarter spending. JPMorgan is optimistic about the server supply chain while wary of pressure from PC demand and inventories.
