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JPMorgan’s Top 2 Chip Stock Picks Right Now

Tae Kim

The bank’s chip sector analyst Harlan Sur looked through his entire coverage universe and said (AVGO) (ticker: AVGO) and (LRCX) (LRCX) were the two companies he had the highest conviction in for solid returns this year. “Assuming no further deterioration in US/China trade negotiations, we believe that semiconductor stocks should continue to outperform the broader markets as there are already signs that weak demand trends in China industrial are bottoming, the cloud spending cycle should reaccelerate,” he wrote on Monday. The firm has a $325 price target for Broadcom stock, representing 17% upside to the current stock price.