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MaxLinear stock could surge up to 10x as AI data center demand drives chip shortages and revenue growth.

Market News
12 May 2026
24/7 Wall Street
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Bullish
pluang ai news

MaxLinear, a chip company specializing in communications for AI data centers, has seen its stock rise 442% in six months due to booming demand. Despite a high forward earnings multiple, the company is not overvalued compared to peers, with strong growth potential driven by increasing data center buildouts and potential chip shortages. Revenue is expected to reach $657 million by 2026, with the possibility of doubling in 2027 if supply constraints worsen. This could lead to a significant margin expansion and a stock price increase of 200-350%, or even 10x in the most bullish scenario as AI optical transceivers and PAM4 DSP chips see sustained demand.

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