Advanced Energy Industries stock price target raised by Stifel to $175

Investing.com - Stifel has raised its price target on Advanced Energy Industries (NASDAQ:AEIS) to $175.00 from $150.00 while maintaining a Buy rating on the stock. The company, currently valued at $6.39 billion, has demonstrated strong momentum with a 47% gain year-to-date and 56% over the past year. According to InvestingPro analysis, the stock appears to be trading above its Fair Value, with a P/E ratio of 75.7x.

The price target increase represents a 16.7% boost from the previous target of $150.00, reflecting Stifel’s growing confidence in Advanced Energy’s datacenter power business, which accounted for approximately one-third of the company’s second-quarter sales.

Stifel noted that Advanced Energy’s management sees artificial intelligence continuing to drive a doubling of power per datacenter rack both this year and next, creating significant growth opportunities for the company’s high-density power solutions.

The firm highlighted that Advanced Energy offers 33kW power shelves, each containing six power supply units, with multiple shelves comprising each rack, positioning the company to benefit from increasing power density requirements in datacenters.

Stifel currently models a 10% increase in Advanced Energy’s datacenter sales for calendar year 2026, but sees potential for the company to achieve growth rates at least twice that level, based on its existing relationships with four hyperscale customers and the possibility of adding more in the future if capacity warrants.

In other recent news, Advanced Energy Industries has seen several notable developments. The company has experienced a series of price target upgrades from investment firms. Needham raised its price target to $188, maintaining a Buy rating, citing significant growth in the company’s Data Center Computing business, which saw a 107% increase year-over-year through the first half of 2025. KeyBanc Capital Markets also increased its price target for Advanced Energy Industries, first to $180 and then to $195, following positive meetings with the company’s management.

In addition to these analyst actions, Advanced Energy Industries is set to showcase its next-generation fiber optic thermometer, the M-1200, at SEMICON West 2025. This new device boasts enhanced accuracy and a broader temperature measurement range, surpassing many existing contact temperature sensing devices. The company has also expanded its power converter lineup with the introduction of two new high-efficiency quarter brick modules, the Artesyn NDQ1300 and NDQ1600, which target high-end technology and industrial applications. These recent advancements highlight the company’s ongoing innovation and strategic positioning in the market.

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