AI Demand Drives Major Moves in Tech Stocks Last Week
Last week, artificial intelligence remained the focal point for investors, with major developments from Micron Technology (MU), Hewlett Packard Enterprise (HPE), Amazon (AMZN), and Meta Platforms (META) shaping market attention. Micron posted record fiscal fourth-quarter results, with revenue hitting $54.2 billion and NAND sales surging 526% year over year, driven by strong AI data-center demand. Analysts like Deutsche Bank maintained a 'Buy' rating with a $1,550 price target, citing robust AI-driven memory demand despite margin pressures.
Hewlett Packard Enterprise saw its stock rise over 10% after raising its fiscal 2027 Networking revenue growth forecast to the high-teens to low-20s range, up from its earlier 5%-7% projection. Daiwa upgraded HPE to 'Outperform,' highlighting strong demand for its networking, storage, and server products.
Amazon is reportedly considering an $8 billion deal for Nvidia AI chips, which could shift some infrastructure assets off its balance sheet. The company also secured a 20-year deal for nuclear power from Constellation Energy, investing over $3 billion to add 190 megawatts of emissions-free power by 2032. Additionally, Amazon signed a multiyear agreement with Synopsys worth over $1 billion to support its custom-chip efforts.
Meta Platforms introduced its lightest AI glasses yet, the Ray-Ban Meta Audio, and announced Muse, a personal AI assistant. Muse has quickly gained traction, with over 3 million weekly users sending at least one prompt. Meanwhile, Elon Musk revealed plans to rename SpaceX's AI unit from SpaceXAI to SpaceXSI, aligning with recent government terminology shifts. SpaceX stock rose over 6% during the week.