U.S. equities have been solid so far in 2026, and according to JPMorgan’s global investment strategist, Kriti Gupta, the S&P 500 could climb as high as 9,000 by mid-2027.
That would mark a gain of about 20% from where the index sits now.
The bank’s analysts back that outlook with two specific picks for the latter half of 2026:
Broadcom (AVGO) and NetEase (NTES). Two stocks that look completely different on paper.
One is a $1.77 trillion chipmaker riding the artificial intelligence infrastructure boom. The other is a Chinese gaming company navigating a stock exchange overhaul.
However, JPMorgan thinks both still have meaningful room to climb.
Both stocks already carry Strong Buy consensus ratings from the broader Wall Street analyst community, even before JPMorgan’s latest notes landed.
Broadcom’s AI backlog swells past $150 billion
JPMorgan analyst Harlan Sur reiterated his Overweight rating on Broadcom and set a $580 price target.
That implies about 56% increase from the stock’s recent price near $372, TipRanks reported. His thesis rests on backlogs, which are orders that have been booked but not yet delivered.
Sur expects Broadcom’s backlog to top $150 billionin2027, up from $120 billion. This expectation is driven by bigger deals with Google, Meta, and Anthropic.
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Broadcom backed Sur’s optimism with record numbers.
According to Broadcom‘s release, Q2 revenue surged 48% to $22.19 billion, while cash from operations jumped 60% to approximately $10.5 billion, both compared to the same period last year.
Free cash flow for the same period also reached $10.26 billion. However, shares still fell more than 16% in June after management reaffirmed, rather than raised, its AI revenue outlook.
Furthermore, company insiders kept selling shares. Broadcom co-founder Henry Samuelisold more than $651 million in stock over the past three months. However, the stock still keeps its rating.
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NetEase bets on Sea of Remnants and a Hong Kong stock switch
According to TipRanks, JPMorgan analyst Daniel Chen rates NetEase Overweight with a $185 price target. That’s roughly 47% above the current price.
Chen says the stock is cheap. It trades at 12 times the expected 2026 earnings, while operating profit is projected to grow 19% in 2027.
According to PR Newswire, NetEase’s first-quarter revenue rose 6.1% from a year ago to $4.43 billion, beating analyst estimates. The company also extended its $5 billionstock buyback program till January 2029.
Chen is optimistic about Sea of Remnants, a new game launching in July or August. He expects it to lift game revenue growth from 8% in the second quarter to 11% in the third quarter and 16% in the fourth.
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NetEase also completed its switch to a dual primary listing on the Hong Kong Stock Exchange on June 30, 2026.
That move makes the stock eligible for Stock Connect, a system that lets mainland Chinese investors buy Hong Kong listed shares.
Goldman Sachs expects NetEase to be added to Stock Connect around September, Investing.com noted.
Comparing two very different Strong Buy stories
The two stocks make an odd pair. Broadcom already rallied hard on AI enthusiasm, so it now faces a tougher bar to clear.
On the other hand, NetEase trades much cheaper. Its story rests on a new game launch and a listing technicality, not AI hype.
What has to go right
- Broadcom needs its AI backlog to turn into shipped revenue with high margins. Booked orders alone won’t be enough.
- Google’s TPU deal, which runs through 2031, and Meta’s custom chip deal, which runs through 2029, need to ramp up on schedule.
- NetEase’s new game, Sea of Remnants, needs a strong launch to hit Chen’s growth targets for the third and fourth quarters.
- NetEase needs full Stock Connect inclusion, not just eligibility, to unlock demand from mainland Chinese investors.
Both stocks carry Strong Buy ratings. However, the broader market is more cautious than JPMorgan. Wall Street’s average price target is $513.58 for Broadcom and $155.33 for NetEase.
The gaps that could break JPMorgan’s calls
Valuation is the clearest concern for Broadcom. Broadcom’s stock is priced for perfection, and any stumble in execution could hit shares hard.
Recent insider selling by top executives doesn’t necessarily signal trouble, but it’s worth watching.
NetEase faces its own risks. Chinese regulators could delay approval for new games, pushing back release dates.
Also, the timing of its Stock Connect listing depends on exchange officials, not Goldman Sachs. Hence, it may not happen on schedule.
The bottom line for investors is: Don’t rely on these price targets alone.
Watch two things instead:
Does Broadcom’s AI chip production start catching up with demand? And does NetEase’s Stock Connect listing actually bring in trading volume from mainland investors?
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