Morgan Stanley Research Report Analysis: Broadcom AI Revenue Could Reach $212B in Q4, Ambarella's Automotive Growth Continues, Skyworks Secures Full Share of Pixel Supply

According to Chaoshine Research, Morgan Stanley's August 31 semiconductor weekly report indicated that Broadcom's AI revenue momentum remains strong, with July quarter AI revenue estimated at approximately $16 billion (QoQ +48%), rising further to $21.2 billion in the October quarter (QoQ +32%). AI revenue is expected to reach approximately $120 billion by 2027; however, aggressive market expectations have already surpassed $150 billion, making overly high expectations the primary risk. Morgan Stanley maintains an Overweight rating on Broadcom, projecting it will retain roughly 80% of its long-term TPU share. For Ambarella, Morgan Stanley forecasts QoQ revenue growth of 7.9% in the July quarter, followed by a further 12% increase in the October quarter. Driven by fleet telematics and AI video applications, its automotive business is expected to achieve full-year revenue growth of approximately 20%. Morgan Stanley maintains an Overweight rating on Ambarella, citing its strong positioning in the edge AI sector. Skyworks secured the entire RF front-end share in the re-bid for Google Pixel, with the agreement extended through 2030 and cumulative revenue projected to exceed $1 billion. Morgan Stanley maintains a Neutral rating, noting that while long-term opportunities exist across the broader market, short-term operational pressures remain.