Key insights
- Corning's deal to supply AI-related infrastructure to Amazon's data centers is a positive signal for the AI supply chain, boosting Corning's stock and highlighting legacy companies benefiting from AI growth. Marvell's inclusion in the S&P 500, following Nvidia's positive commentary, suggests increasing investor confidence and potential for index-driven buying, impacting the broader tech sector.
Yahoo Finance's Julie Hyman takes a look at some of Monday's trending tickers and stories, including Corning's (GLW) and Amazon's (AMZN) artificial intelligence (AI) deal, Marvell's (MRVL) upcoming inclusion in the S&P 500 (^GSPC), and Cerebras (CBRS) stock surging after various Wall Street analysts initiated coverage on the company.
we are watching Corning and Amazon, Marvel and Cerebras.
First up, Corning and Amazon. Now, Corning, the fiber and glass maker, the company is going to be supplying some of that stuff, optical fiber, cable, connectivity to Amazon. That's a new agreement between the two companies. Um data center infrastructure, Amazon's data center infrastructure are going to be um purchasing some of these elements from Corning here. Um according to the statement, it's going to create a uh 1,000 new jobs at the Corning factory in North Carolina. So, those shares are surging about 7 and a half percent. Um Corning, you know, is one of these legacy companies that has gotten a renewed boost from the AI market. Um if you look at the stock, it's not just up today, it's more than doubled this year.
Next up, also on that front is Marvell. Marvell Technology, remember, had that 30% surge in one day after Jensen Wong of Nvidia suggested it could be a trillion dollar company. Now comes the news that it is going to be joining the S&P 500.
Of course, Dow Jones uh S&P indices, S&P Dow Jones indices, excuse me, they uh make these periodic rebalancing, so quarterly, and they announced that both Marvel and Flex, um which is a contract electronics maker, are going to be going into the index on the next date here. Coming out will be Pool Corporation and Campbells. Um and those shares are trading a little bit lower today. A lot of money is indexed, of course, to these various indices, and so you you have buying and selling um as these changes are set to go into effect.
And then finally Cerebras, the chipmaker, um those shares are up 15% after an IPO, you tend to have sort of a blackout period where a number of investment banks don't rate a stock. The sell side operations don't rate a stock, in some cases because they were consulting on an IPO. Well, today is initiation day for uh Cerebras and just to name a few of them here that we've gotten. City Group rating it a buy with a price target of 340, TD Cowen at a buy 275. Um you get the idea here. There is some bullishness on this name. Remember, 185 was the IPO price. The first trade that day was 350, and then it closed on the first day at 311. So it's come down a little bit from that IPO, which was last month. Um but it is gaining once again today and it seems like there is indeed a lot of uh enthusiasm around this.
Uh Barkley's, for example, which is also in an overweight with a price target of 280, is saying the company's deal with Open AI offers quote visibility and security for investors. Remember, Cerebras makes larger wafers than some of its competitors.