Nvidia and Broadcom will do well this year, says Melius Research’s Ben Reitzes

Watch on YouTube ↗  |  January 07, 2026 at 16:01  |  4:26  |  CNBC
Speakers
Ben Reitzes — Analyst, Melius Research

Summary

Ben Reitzes, head of technology research at Melius Research, says he is very bullish on semiconductors into 2026 and believes the AI cycle is still early. He favors Nvidia and Broadcom as top picks, sees a near-term squeeze in memory and semiconductor capital equipment, and views Intel as a speculative catch-up story. He also flags power and data-center constraints as persistent themes.

  • Ben Reitzes says he remains very bullish on chip stocks and thinks the AI cycle is still early.
  • He calls Nvidia and Broadcom large-cap top picks for the year.
  • Nvidia is seen as safer due to secured supply, with Vera Rubin expected to improve token economics.
  • He sees near-term strength in memory stocks and semiconductor capital equipment.
  • Intel is framed as a more speculative volatile name with foundry, packaging, and 14A catalysts.
  • Marvell is mentioned as another possible catch-up name but with limited detail.
  • Power, data-center delays, workers, and grid constraints are highlighted as ongoing bottlenecks.
Ideas
Ben Reitzes Analyst, Melius Research 0:15
Very bullish on semiconductors; cycle still early.
Reitzes is very bullish on semiconductor stocks entering 2026, saying the cycle is still early, AI will chart its own path rather than simply repeat the internet, and the buildout should be bigger than many naysayers expect.
SMH HIGH
Ben Reitzes Analyst, Melius Research 0:18
Memory and semicap equipment seeing buying rush.
Near term, some memory stocks and semiconductor capital equipment are seeing a squeeze and a rush to buy; he later notes memory names are surging, though they may take a break today.
Memory stocks SOXX MED
Ben Reitzes Analyst, Melius Research 0:29
Nvidia top pick on Vera Rubin economics.
Nvidia remains a top pick and should do well. Reitzes says it is safer than more speculative names because it has secured the supply needed to crush numbers, and he expects Vera Rubin to cut cost to one-tenth of Blackwell and improve tokens per dollar per watt, which is key as power is the constraint and inference demand from background AI agents is bigger than expected.
NVDA HIGH
Ben Reitzes Analyst, Melius Research 0:29
Broadcom remains large-cap semiconductor top pick.
Broadcom remains a top pick among large-cap chip stocks and should do very well this year as part of continued semiconductor strength.
AVGO MED
Ben Reitzes Analyst, Melius Research 0:36
Intel speculative catch-up on foundry progress.
Intel is a more speculative, volatile name that could play catch-up after a good year, and Reitzes thinks that continues. He cites support from Nvidia as a shareholder and the Trump administration, underappreciated packaging assets, future foundry prospects, and a 14A node in 2028-2029 that could attract customers like Nvidia and Apple and help book value creep up.
INTC MED
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This CNBC video, published January 07, 2026, features Ben Reitzes discussing SMH, Memory stocks, SOXX, NVDA, AVGO, INTC. 5 trade ideas extracted by AI with direction and confidence scoring.

Speakers: Ben Reitzes  · Tickers: SMH, Memory stocks, SOXX, NVDA, AVGO, INTC