AI Stocks Lead These 5 Names Near Buy Points

Artificial intelligence stocks including chipmaker Marvell Technology (MRVL), Arista Networks (ANET) and Synopsys (SNPS), which has launched AI-based chip-design tools, lead this weekend’s watch list of five stocks near buy points. In addition to MRVL, ANET and SNPS stock, weight-loss drug leader Novo Nordisk (NVO) and Heico (HEI), a military and commercial aircraft contractor, round out the list.


ANET stock is part of the flagship IBD 50 list of leading growth stocks and also part of the current SwingTrader portfolio. SNPS is part of the IBD Long-Term Leaders list, which highlights firms with solid, reliable growth that may be worth buying on a pullback.

For now, the powerful AI-led stock market rally remains intact, but it just got a dose of earnings volatility, with Tesla (TSLA) and Taiwan Semiconductor (TSM) both slumping after their Q2 reports. The coming week could be pivotal, with the Federal Reserve expected to hike its key interest rate again and big earnings reports coming from Microsoft (MSFT), Google parent Alphabet (GOOGL) and Meta Platforms (META).

Be sure to read IBD’s The Big Picture every day to stay in sync with the market direction and what it means for your trading decisions.

MRVL Stock

Marvell makes chips used in wireless phone networks, automobiles, industrial systems, data storage devices and data centers.

MRVL expects its AI chip business to grow to $400 million in fiscal 2024, up from $200 million in fiscal 2023. Then it sees AI sales doubling again in fiscal 2025 to $800 million, reaching about 15% of sales. However, that strength will be partly offset by near-term softness in enterprise networking and data storage.

On July 11, KeyBanc raised its price target for MRVL stock to 80 from 70, highlighting design wins from Amazon and Google.

On Friday, MRVL stock rose 0.3% to 63.41. MRVL stock has a 67.99 buy point from an eight-week consolidation, according to a MarketSmith analysis. That consolidation followed an explosive 32% one-day rally as MRVL stock gapped up on Q1 earnings.

With a couple of more sessions, MRVL stock…


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