Jefferies released a research report maintaining a Buy rating on NVIDIA and raising its price target to $300. However, the report also pointed out that Kyber, the company's AI server backplane PCB technology, is likely to be delayed to 2028 or even canceled. This change has led to a downward revision of the PCB and copper-clad laminate (CCL) market size estimates for 2027-2028.
The delay is expected to disrupt NVIDIA's current supply chain. Mid-stream PCB manufacturers will face pressure on their earnings, while upstream suppliers of fiberglass fabric, CCL, and copper cables benefit from structural advantages. The supply chain is accelerating toward high-value and bottleneck segments. According to MarsBit, the real winners in the PCB chain are concentrated among a few upstream players.
Despite the near-term adjustment from the Kyber delay, Jefferies remains confident in NVIDIA's long-term prospects, as reflected in the upgraded price target, signaling sustained confidence in AI server demand.