Jefferies upgrades Aixtron on AI data center growth prospects, raises PT to €27
#Aixtron SE #Jefferies #Stock Upgrade #Artificial Intelligence #Data Centers #Semiconductor Equipment #MOCVD #Gallium Nitride
📌 Key Takeaways
- Jefferies upgraded Aixtron from 'Hold' to 'Buy' with a new price target of €27 per share.
- The upgrade is driven by the rapid expansion of AI data centers requiring specialized power electronics.
- Aixtron’s MOCVD technology is essential for producing high-efficiency GaN and SiC semiconductors.
- The company is strategically positioned to benefit from both power management and optical data transmission needs in the tech sector.
📖 Full Retelling
Investment bank Jefferies officially upgraded its rating for the German semiconductor equipment manufacturer Aixtron SE on Tuesday, raising the stock from 'Hold' to 'Buy' and increasing the price target to €27. This strategic shift reflects a growing optimism among financial analysts regarding the company's critical role in the expanding artificial intelligence ecosystem. By positioning Aixtron as a beneficiary of the global surge in high-performance computing, Jefferies analysts highlighted the firm's essential technology used in manufacturing components for next-generation power electronics and optical data transmissions.
The rationale behind this upgrade centers on the escalating demand for advanced AI data centers, which require specialized hardware to handle massive workloads efficiently. Aixtron specializes in Metal-Organic Chemical Vapor Deposition (MOCVD) technology, which is fundamental in producing Gallium Nitride (GaN) and Silicon Carbide (SiC) semiconductors. These materials are significantly more efficient than traditional silicon, offering better thermal management and power density—qualities that are indispensable for the power-hungry infrastructure supporting modern generative AI applications.
Market observers point out that the increase in the price target to €27 signals a strong conviction in Aixtron's mid-to-long-term growth trajectory. Beyond just power efficiency, the company's technology is also vital for the laser components used in optical fiber communications, which facilitate the rapid data transfer necessary between AI servers. As major cloud providers and enterprise tech giants continue to invest billions into their digital infrastructure, equipment suppliers like Aixtron are increasingly viewed as foundational plays in the broader technology sector recovery.
🏷️ Themes
Finance, Technology, Semiconductors
📚 Related People & Topics
Artificial intelligence
Intelligence of machines
# Artificial Intelligence (AI) **Artificial Intelligence (AI)** is a specialized field of computer science dedicated to the development and study of computational systems capable of performing tasks typically associated with human intelligence. These tasks include learning, reasoning, problem-solvi...
Aixtron
German technology company
Aixtron SE is a German multinational technology company, which specialises in manufacturing metalorganic chemical vapour deposition (MOCVD) equipment, for clients in the semiconductor industry. The company's shares are listed on the Frankfurt Stock Exchange. AIXTRON is a constituent of the MDAX and ...
🔗 Entity Intersection Graph
Connections for Jefferies:
- 🌐 Dunelm (1 shared articles)
- 🌐 Gold as an investment (1 shared articles)
- 👤 Roger Bootle (1 shared articles)
- 🌐 SEC (1 shared articles)
📄 Original Source Content
try{ var _=i o; . if(!_||_&&typeof _==="object"&&_.expiry As Claude disrupts stock market, Anthropic researcher warns ’world is in peril’ Gold, silver prices rise amid U.S.-Iran tensions, blowout January payrolls data Dow halts three-day win streak as blowout jobs data curbs rate cut bets Citi pushes back Fed rate cuts to May after blowout January jobs report (South Africa Philippines Nigeria) Jefferies upgrades Aixtron on AI data center growth prospects, raises PT to €27 Author Navamya Acharya Stock Markets Published 02/10/2026, 12:41 AM Jefferies upgrades Aixtron on AI data center growth prospects, raises PT to €27 0 AIXGn -1.38% COHR -2.05% LITE 2.31% Investing.com -- Jefferies in a note dated Tuesday has upgraded Aixtron SE (ETR:AIXGn) to “buy” from “hold” ratting and increased its price target to €27 from €18.20, citing strengthening demand from hyperscalers and optical communications equipment makers that should benefit the German semiconductor equipment manufacturer’s optoelectronics business through 2026 and 2027. Get real-time market-moving headlines and analyst alerts on InvestingPro - up to 50% off The brokerage said increasing hyperscaler spending patterns into 2026 and recent commentary about accelerated capital expenditure from datacom and optical players strengthens Aixtron’s optoelectronics revenue outlook. The upgrade comes as Jefferies sees an attractive setup for a re-rating of the shares, combining near-term optical strength with medium-term growth from gallium nitride adoption in artificial intelligence data centers and a de-risked silicon carbide outlook. Aixtron closed at €20.32 on the prior trading day. The company provides deposition equipment to the compound semiconductor industry, primarily planetary MOCVD systems for applications including power electronics and optical data communications. Jefferies noted that both Coherent and Lumentum , which it estimates are Aixtron’s two largest optoelectronics customers for epitaxy tools, reported De...