Keysight partners with NVIDIA on quantum-AI computing architecture
Investing.com - Jefferies has assumed coverage on Keysight Technologies (NYSE:KEYS) with a Hold rating and a price target of $180.00. Currently trading at $169.47, the stock sits between analysts’ targets ranging from $157 to $200, with InvestingPro data showing the stock is trading above its Fair Value.
The research firm described Keysight as a "high-quality industrial company" that provides electronic design and test solutions to various industries.
Jefferies noted that Keysight will benefit from continued research and development investment across commercial communications, aerospace and defense, and electronics sectors.
The firm expressed positive sentiment regarding Keysight’s potential for mid-single-digit organic growth prospects and "impressive margin potential" going forward.
Despite these positive factors, Jefferies indicated that the current valuation already reflects these growth prospects, leading to the Hold rating rather than a more bullish stance.
In other recent news, Keysight Technologies has completed the acquisition of the Optical Solutions Group from Synopsys and PowerArtist from Ansys, thereby expanding its design engineering software portfolio. The acquisitions bring advanced optical design and power analysis capabilities to Keysight’s offerings. However, Morgan Stanley has downgraded Keysight Technologies from Overweight to Equalweight, citing concerns related to these acquisitions, while maintaining a price target of $180.00. Additionally, Keysight has launched the AE6980T nGBASE-AU Optical Automotive Ethernet Transmitter Test Solution, which aligns with the IEEE 802.3cz standard for high-speed in-vehicle networking. This development addresses the increasing demand for advanced networking in software-defined vehicles and driver-assistance systems. Furthermore, Keysight introduced the UALink 1.0 transmitter test solution for AI data centers, which significantly reduces testing time for high-speed interconnects. In other developments, SK hynix has achieved its first Open Compute Project S.A.F.E. recognition for a solid-state drive solution, amid rising cybersecurity challenges in hyperscale data centers.
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