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On Thursday, BofA analyst Wamsi Mohan raised the price target on Amphenol Corp. (NYSE:APH) to $90 from $85, while keeping a Neutral rating on the shares. T
his adjustment followed NVIDIA Corp.'s (NASDAQ:NVDA) announcement of NVLink Fusion at Computex 2025 earlier this week. NVLink Fusion is designed to provide NVLink to cloud service providers/CSPs, which enables them to connect Nvidia GPUs with ARM-based CPUs from QUALCOMM Inc. (NASDAQ:QCOM) and Fujitsu.
A team of technicians assembling a complex electrical connector in a factory environment.
Mohan believes this development could be a positive catalyst for Amphenol's estimates, although the analyst also suggested that CSPs may continue to favor traditional NVIDIA Grace Blackwell 200 and 300 series products. Amphenol reported strong financial results for Q1 2025, where the company reported record adjusted diluted EPS of $0.63, which was up 58% from $0.40 year-over-year. The acquisition of Andrew Corporation from Commscope Holding Company Inc. (NASDAQ:COMM) is also expected to add ~$0.09 to earnings for the full year 2025.
Amphenol anticipates elevated capital spending in Q2 2025 to support growth in the IT datacom market and acknowledged potential impacts from tariffs, which may require strategic management to mitigate costs. Amphenol Corp. (NYSE:APH) designs, manufactures, and markets electrical, electronic, and fiber optic connectors in the US, China, and internationally.
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