35 Chip Stocks Powering AI Boom

31. MaxLinear, Inc. (NASDAQ:MXL)

Number of Hedge Fund Holders: 17 

MaxLinear, Inc. (NASDAQ:MXL) provides systems-on-chips solutions. The firm is exposed to the AI industry mainly through data infrastructure products, which support AI-driven applications. The company produces semiconductors used in wireless networks, optical datacenters, and broadband systems, all crucial for enabling AI technologies. The revenue in Q1 2024 for the firm was $95 million, with an annual revenue of $448 million over the last twelve months. The AI-related products of the firm play a key role in markets such as enterprise Ethernet, storage accelerators, and high-speed connectivity, which are essential for handling the data-intensive demands of AI systems​.

MaxLinear, Inc. (NASDAQ:MXL) is viewed with caution on Wall Street. Loop Capital recently lowered the price target on the stock to $12 from $21 and kept a Hold rating, noting the company’s Q2 earnings miss and below-consensus guidance reported last month, but highlighting that while MaxLinear still had the PAM4 DSP catalyst a tad ahead of it, broadband inventory in the channel remained elevated and Telecom was also soft, with added pressure coming from US-China tensions as well as regulatory compliance requirements.