KeyBanc's Outlook for Earnings Season: Intel and AMD Receive Support, Analog Chip Cycle Continues to Improve

Zhitong
2026.07.21 06:46

KeyBanc released a research report optimistic about the analog chip sector, believing that demand from AI and data centers will drive the continuation of the industry's positive cycle. It is expected that Intel's server CPU shipments will increase by 25%-30% in 2026, while AMD will see an increase of 15%-20%; both companies are expected to exceed 50% growth in 2027. In addition, Monolithic Power and Intel's mobile business also received positive outlooks, but Apple's inventory reduction may suppress short-term performance for Qorvo

According to the Zhitong Finance APP, KeyBanc Capital Markets released a research report on the eve of the earnings season, indicating that the analog chip sector is expected to deliver strong results, primarily due to the continuation of the positive cycle in the industry. The team led by analyst John Vinh stated that AI demand remains robust, with traditional data centers experiencing a surge in demand driven by agentic workloads, while the supply side is also improving.

The Vinh team pointed out: "The performance of the analog chip industry is worth looking forward to, as the positive cycle trend remains unchanged, benefiting from improved order visibility, extended delivery cycles, stable demand from industrial and data centers, and widespread price increases."

Regarding Intel (INTC.US) and Advanced Micro Devices (AMD.US), analysts emphasized that the spillover demand for server CPUs and supply improvements will support Intel's shipment volume to achieve a year-on-year growth of 25% to 30% by 2026, while AMD is expected to grow by 15% to 20%; both companies are expected to see their server CPU shipment growth exceed 50% in 2027.

Intel is scheduled to release its second-quarter earnings report on July 23, while AMD will announce its second-quarter results for the 2026 fiscal year on August 4.

Regarding Monolithic Power Systems, the Vinh team stated: "Pricing advantages, enterprise-level data center business, and early volume ramp-up of the Vera Rubin platform (expected market share of 60%-70%) are likely to bring recent outperformance."

For Intel (referring to its mobile business), analysts noted that despite the ongoing deterioration of the smartphone market, the early pull-in of application processors (AP) for Chinese smartphones and the unexpected share of the iPhone 18 modem (actual 50%, previously guided at only 20%) may support its performance above market pessimistic expectations.

Regarding Qorvo (QRVO.US), Skyworks Solutions (SWKS.US), and Cirrus Logic (CRUS.US), the Vinh team stated: "Apple's inventory reduction may suppress short-term performance outlook; however, the market expectations have already reflected the below-seasonal demand levels for CRUS/QRVO/SWKS."

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