Nvidia (AMD) and Advanced Micro Devices (AMD) made several key announcements at CES 2026 in Las Vegas on Monday that drew positive reactions from Wall Street analysts.
Nvidia’s Founder and CEO Jensen Huang unveiled Alpamayo, a family of open models built for autonomous driving, and announced that Vera Rubin, the company’s next-generation computer platform and the successor to Grace Blackwell, has now entered full production.
AMD introduced a new chip called MI440X for use in smaller corporate data centers, while also unveiling the AMD Ryzen AI Embedded processors.
“We believe the robotics and autonomous technology market represents an incremental market opportunity that Nvidia can tap into which speaks to our view that this company will exceed $5 trillion market cap in the near-term and ultimately could be a $6 trillion market cap,” said analysts led by Dan Ives.
The analysts believe the new foundation model designed for Autonomous Vehicle, or AVs, are an incremental positive for Tesla (TSLA) as the company looks to accelerate its autonomous vehicle technology and capitalize on the AV industry over the next decade.
“We walked out of the event feeling even more bullish about Nvidia and the overall AI Revolution as the next stage of investments and technology are on the horizon that can facilitate a new age for the technology world with companies around the world are set to capitalize on $3 trillion to $4 trillion of AI Cap Ex hitting the market over the next 3 years,” said Ives and his team.
The analysts believe CES this year could be one of the most important moments from this global tech conference, as more key IT decision makers recognize this is a “once in a 40-year” tech spending paradigm shift that is still playing out.
Analysts at J.P. Morgan said they attended keynotes from Nvidia, AMD and Intel (INTC) at CES and came away with the sense that 2026 is lining up to be another strong year for AI compute demand growth, and a fairly solid year for traditional PC/server demand.
“NVDA and AMD both highlighted explosive growth in inference token generation as a major driver of compute demand, with many customers now compute constrained and clamoring for additional capacity. NVDA’s Vera Rubin and AMD’s Helios MI455X platforms were confirmed to be on track for customer ramps in C2H26. Both companies also highlighted physical AI as a significant, as-yet largely untapped opportunity (though in our view NVDA does appear to be favorably positioned to capture a larger share of the TAM relative to AMD),” said analysts led by Harlan Sur.
The analysts added that in the realm of edge AI, Intel unveiled its Intel Core Ultra 3 Series (Panther Lake), which delivers up to 180 TOPS, capable of handling a 70 billion parameter model. Given the performance, privacy, security, cost efficiency, and data controlconcerns around the cloud, there is a strong case for localized computing, the analysts added.
The analysts noted that Intel is using its scale and ecosystem to develop and enable AI processing across PC compute and into a wide range of AI edge devices.
Meanwhile, analysts at Morgan Stanley said that there were no major surprises, but confidence on Rubin should be positively received given competitive noise exiting 2025 around broader Tensor Processing Unit, or TPU, traction.
TPUs are developed by Alphabet’s Google (GOOG) (GOOGL).
“While the obvious pushback is that Rubin specs and timelines haven’t changed, the stock is still 10% below highs immediately following Jensen’s $500bn comments at GTC DC, numbers which have since moved higher post earnings and were reinforced in spirit today during the Q&A and fireside. With no hedging on supply or demand, we think enthusiasm can return as that plays out in numbers this year,” said analysts led by Joseph Moore.
On AMD, the analysts said they did not hear much that alters the debate around AMD’s stock. The analysts added that the company is maintaining their conviction in MI455 as a leadership product, and with OpenAI’s (OPENAI) support as the anchor customer they expect to see a strong ramp in the third quarter and fourth quarter of 2026.
“That being said we view AMD’s success as partially a function of still overwhelming demand for compute overall vs an emerging TCO advantage vs the competition, something that will have to change to see sustained success as Nvidia continues to push the envelope across the entire technology stack. CES does highlight leadership in CPUs vs Intel, but with that market bearing the brunt of headwinds from higher memory prices, our near-term enthusiasm is somewhat limited,” said Moore and his team.