"Western Digital Surges as Morgan Stanley Picks it Over Nvidia in Chip Market"

Morgan Stanley analyst Joseph Moore has shifted his top chip pick from Nvidia to Western Digital, citing the potential for over 25% upside in Western Digital's shares due to an upcoming separation of the company's memory- and hard-drive assets and improvements in NAND memory trends. While Moore still likes Nvidia, he sees headwinds for AI stocks in the future and believes that Nvidia has rallied less than other companies in the AI supply chain, retaining a premier position with material upside for the next couple of quarters.