5 Best Data Center Stocks to Buy and Hold for the Next Decade

3. Power Integrations, Inc. (NASDAQ:POWI)

On June 24, 2026, Stifel raised the firm’s price target on Power Integrations, Inc. (NASDAQ:POWI) to $95 from $82 and kept a Buy rating on the shares. Stifel said its earlier view that analog players were poised for a potential breakout in calendar year 2026 “has now been firmly validated,” citing beat-and-raise quarters from Astera Labs (ALAB), Credo Technology (CRDO), and Marvell (MRVL) in calendar Q1. Stifel also said it continues to view episodic weakness in AI-levered names as “a buying opportunity” for long-term investors focused on clear technological innovators.

On June 10, Needham initiated coverage of Power Integrations with a Buy rating and $90 price target. Needham cited the combination of a leading high-power GaN portfolio and the new management team’s strategic priorities to accelerate product development and open new high-growth markets as potential tailwinds for long-term, sustainable growth.

A month earlier, Susquehanna raised the firm’s price target on Power Integrations to $85 from $70 and kept a Positive rating on the shares. Susquehanna updated its model following positive Q1 results and said it looks forward to seeing Power Integrations execute on its growing AI DC opportunity.

Power Integrations, Inc. (NASDAQ:POWI) designs, develops, manufactures, and markets analog and mixed-signal integrated circuits, and other electronic components and circuitry used in high-voltage power conversion.