Analysts have shared their insights on Super Micro Computer’s earnings, and they have also highlighted AMD as a leading choice.

This is CNBC Pro’s live coverage of Wednesday’s analyst calls and Wall Street discussions. Refresh every 20-30 minutes for the latest updates.

Two stocks linked to the artificial intelligence sector were highlighted by analysts on Wednesday. Analysts reviewed Super Micro Computer’s recent quarterly results, while Piper Sandler reaffirmed Advanced Micro Devices (AMD) as a top pick due to its market share gains. Below are the latest calls and discussions. All times are in Eastern Time (ET).

7:52 a.m.: Bank of America Predicts General Dynamics Rebound
Bank of America anticipates a recovery for General Dynamics, a defense and aerospace company, which should boost its stock in the coming months. The stock has been trading lower since a post-earnings sell-off on July 23. Analyst Ronald Epstein maintained a buy rating, suggesting the sell-off was excessive given the company’s strong business fundamentals. Epstein noted that geopolitical tensions in the Pacific, Europe, and other regions could drive growth in General Dynamics’ defense business. Additionally, the new Gulfstream jet could positively impact the company. Bank of America raised its price target for General Dynamics to $330 per share from $315, which is over 15% higher than Tuesday’s closing price. — Jesse Pound

7:42 a.m.: Wells Fargo Upgrades Globus Medical
Wells Fargo upgraded Globus Medical to overweight from equal weight, raising its price target to $78 from $60, indicating a 13% upside from Tuesday’s close. The upgrade follows better-than-expected integration of Nuvasive, a medical device company acquired by Globus Medical in 2023. Analyst Vik Chopra highlighted that Globus Medical has exceeded earnings expectations for the past three quarters and is investing in sales teams and new product launches. Shares have risen nearly 30% year to date. — Michelle Fox

7:40 a.m.: Goldman Sachs Upgrades Lumen Technologies
Goldman Sachs upgraded Lumen Technologies to neutral from sell, citing a new business opportunity that provides a long-term stream of cash flows. Analyst James Schneider increased the price target to $4 from $1 per share, implying a 20% downside from Tuesday’s close. Lumen’s shares have surged 173% since the start of 2024, driven by a $5 billion new business announcement amid rising AI demand. The company also reported strong second-quarter revenues. Schneider noted that Lumen’s new contracts for long-haul fiber connectivity between data centers present a significant growth opportunity. — Samantha Subin

7:39 a.m.: Bank of America Downgrades Super Micro Computer
Bank of America downgraded Super Micro Computer to neutral from buy due to near-term margin pressures. Analyst Ruplu Bhattacharya cited challenges such as competitive pricing, delayed shipments of Blackwell GPU systems, and ongoing component availability issues. The downgrade follows a 13% drop in Super Micro’s stock after mixed fiscal fourth-quarter results, including a year-over-year decline in gross margins. Bhattacharya expects gross margins to gradually return to normal by the end of 2025 and lowered the price target to $700 from $1,090 per share, reflecting a 13% upside from Tuesday’s close. — Samantha Subin

6:49 a.m.: Bank of America Reaffirms Support for Rivian
Bank of America reiterated its buy rating on Rivian Automotive, citing the company’s viability among start-up EV automakers, attractive products, solid long-term strategy, and sufficient funding through 2025. Despite a 7% drop in premarket trading, Rivian posted a smaller-than-expected loss and reaffirmed its 2024 production guidance. Analyst John Murphy adjusted the price target to $20 from $21 per share, indicating a 35% upside from Tuesday’s close. Rivian’s stock is down about 37% year to date. — Samantha Subin

6:30 a.m.: B. Riley Downgrades TripAdvisor
B. Riley downgraded TripAdvisor to neutral from buy due to deteriorating revenue growth and margins. Analyst Naved Khan noted that a slowdown in travel and high competition are impacting top-line growth, while planned investments will hurt margins in the near term. TripAdvisor’s stock fell more than 15% in premarket trading after missing second-quarter revenue expectations. The stock is down 24% year to date. Khan lowered the price target to $19 from $26, reflecting a 16% upside from Tuesday’s close. — Samantha Subin

6:08 a.m.: BTIG Upgrades TrueCar
BTIG upgraded TrueCar to buy following a recent sell-off, calling it a “compelling entry point.” Analyst Marvin Fong highlighted the company’s improving dealer environment and the TrueCar+ program, a fully digital transaction engine. Fong set a price target of $3.75, implying a 38% upside from Tuesday’s close. TrueCar’s stock dropped 14% during Tuesday’s session after mixed second-quarter results and is down 26% since the start of August. — Samantha Subin

5:54 a.m.: Analysts Weigh in on Super Micro Computer’s Margins
Despite concerns over Super Micro Computer’s gross margins, some analysts remain optimistic. Barclays analyst Tim Long noted that the recent stock correction makes the valuation more reasonable. JPMorgan analyst Samik Chatterjee reiterated an outperform rating and a $950 price target, expecting gross margins to improve by 2025. However, Goldman Sachs analyst Michael Ng maintained a neutral rating, citing uncertainty about long-term margins. Wells Fargo’s Aaron Rakers also expressed caution due to increased competition in the AI server market. — Samantha Subin

5:54 a.m.: Piper Sandler Reiterates AMD as a Top Pick
Piper Sandler reiterated AMD as a top pick, with analyst Harsh Kumar maintaining an overweight rating and a $175 price target, implying a 34% upside. Kumar highlighted AMD’s expected 20% market share in the $400 billion accelerator market by 2028 and significant gains in the traditional server market. Despite losing more than 11% this year, AMD is poised to benefit from the industry’s pullback and lackluster execution from competitors like Intel. — Fred Imbert