Markets, AI and Utilities Shape This Week’s Moves

Texas Instruments shares climbed about 20% over the last 30 days, finishing near $226 and approaching their $231 52‑week high. The move followed investors’ rotation back into large semiconductor names and a strategic acquisition announcement. TI agreed to acquire Silicon Labs for $231 per share in cash, adding around 1,200 embedded wireless connectivity products.

Management expects the Silicon Labs transaction to close in the first half of 2027, funded with cash on hand and roughly $7 billion in new debt while still returning 100% of free cash flow to shareholders. The company projects more than $450 million in annual manufacturing and operational synergies within three years after closing.

Beyond M&A, consensus forecasts see revenue rebounding from $17.68 billion in 2025 to $19.58 billion in 2026 as industrial and embedded markets recover. A valuation model cited revenue growth of 10.8% a year, operating margins around 39.2%, and an exit P/E of 30x, implying a target price of about $324 and 43% upside from current levels under those assumptions.

Intuitive Surgical shares fell roughly 14% over the past month to about $486 amid post‑earnings multiple compression, insider selling and pressure on high‑growth valuations. The decline came despite 19% revenue growth in the latest quarter to $2.87 billion, 18% procedure growth and pro‑forma EPS of $2.53. Recurring revenue made up 81% of Q4 sales.

Management guided 2026 procedure growth of 13%–15% and gross margin of 67%–68%, including a tariff impact. A valuation model assuming 13.8% revenue CAGR, 38.7% operating margins and a 48.5x exit P/E produced a target price near $705, about 45% above the recent quote, describing the stock as undervalued if those projections are met.

Orthopedics and devices group Stryker also attracted analysis. Its shares trade around $366 after mid‑single‑digit growth in revenue and net income. A discounted cash flow estimate put fair value at roughly $323.50, suggesting Stryker may be about 13% overvalued under that particular framework, with free cash flow expected to rise from $3.5 billion in 2024 to $5.0 billion in 2027.

American Electric Power drew a cluster of target price increases following its latest earnings. Barclays raised its target from $121 to $128 with an “equal weight” rating, while several other banks cited stronger outlooks and nudged targets into the $130–$141 range. AEP recently traded near $130, close to its 52‑week high, on a market value of about $69.4 billion.

In the most recent quarter AEP reported EPS of $1.19, slightly above the $1.15 consensus, on $5.32 billion of revenue, up 13.2% year on year. Net margin stood at 16.37% with return on equity of 10.65%. The company issued 2026 EPS guidance of $6.15–$6.45 and is expected to post $5.87 in EPS for the current year.

Sempra Energy also saw a sharp drop in short interest, down 26.7% to about 8.7 million shares, or 1.3% of its float. Its stock recently traded near $94.79, close to a 52‑week high of $95.74. Analysts at several firms reiterated “buy” or “outperform” views with price objectives around $95–$100, while Sempra maintained a relatively conservative balance sheet with debt‑to‑equity of 0.76.

AI‑linked infrastructure company CoreWeave remained in the spotlight after Citizens reiterated its Market Outperform rating and a $180 target, citing its role as a GPU‑as‑a‑Service provider with a revenue backlog topping $56 billion. At the same time, a securities class action was filed alleging the firm overstated its capacity and did not disclose data‑center construction delays, following stock declines.

Cloudflare was highlighted after what one analyst called its “best quarter of 2025.” KeyBanc reiterated an Overweight rating and a $300 target, noting a revenue beat of more than $24 million and continued top‑line acceleration. Company guidance implies roughly 29% growth in 2026, with the broker expecting Cloudflare to reach or exceed 30% growth as net‑new annual contract value expanded nearly 50% in Q4 2025.

In cybersecurity, HSBC upgraded CrowdStrike from Hold to Buy with a $446 target, pointing to expected non‑GAAP EPS compound growth of 38.3% over FY26–29 alongside revenue CAGR of 27.5% and margin expansion. The firm cited CrowdStrike’s leadership in AI‑driven endpoint and cloud workload protection and suggested its 2026 operating margin remains below peers, leaving room for improvement.

Marvell Technology gained support from Stifel after closing its acquisition of XConn Technologies, a PCIe and CXL switching specialist. Stifel kept a Buy rating and a $114 target, forecasting UALink‑related upside over time. The acquisition is modeled to contribute about $50 million in annualized revenue by Marvell’s fiscal Q4 2027, with some near‑term EPS dilution from added operating expenses and cash outlay.

Several other large caps drew fresh valuation work. Corning announced a long‑term $6 billion fiber‑optic supply agreement with Meta tied to AI data‑center build‑outs. A Simply Wall St review suggested Corning’s shares trade about 11% above an intrinsic valuation estimate, and roughly 16% above the consensus analyst target, after modest recent gains.

Booking Holdings, by contrast, was flagged as materially undervalued on a discounted cash flow basis. An intrinsic value estimate around $8,330 per share compared with a recent price near $4,141, implying a 50% discount in that model, although the company’s P/E multiple of 26.5x already exceeds the broader hospitality sector average.

Cleveland-Cliffs was also described as potentially mispriced, with one DCF model implying a value near $28.53 against a market price around $10.38 following steep share declines. Narratives built around the stock span bullish and cautious cases depending on assumptions for tariffs, demand, and capital requirements in the steel industry.