Team Trade Recommendations: Sector Credit Research | North America

Research evidence excerpt

Team Trade Recommendations: Sector Credit Research | North America

Idea

July 1, 2026 11:45 PM GMT

Morgan Stanley & Co. LLCMSector Credit Research | North America David M Hamburger

Credit Analyst

Team Trade Recommendations David.Hamburger@morganstanley.comJenna L Giannelli +1 212 761-1580

Credit analyst

Jenna.Giannelli@morganstanley.com +1 212 761-4340

This monthly summarizes current trade recommendations and Lindsay A Tyler

flags key developments, trade changes, and recent publications. CreditLindsay.Tyler@morganstanley.comAnalyst +1 212 761-2734

Juliana Gonzalez

IG Technology: Our single-name views – and much of the investor inbound – Credit Analyst

continue to be shaped by AI financing developments and second-order effects, Juliana.Gonzalez.Montalvo@morganstanley.com +1 212 761-0918

Roopi Bhangu

including financing structures, support frameworks, component inflation, and

potential supply crowding. Recent developments include: Roopi.Bhangu@morganstanley.com +1 212 761-1912

• AVGO disclosed not only a $35bn initial chip financing deal, but also a Table of Contents

broader 20GW+ AI XPV platform, shifting the debate to the risk of potential - Team Coverage Map

repeated backstops. We closed our recommendations, a few long-standing, - IG Technology Valuation Methodology and

to buy select AVGO bonds given the new overhang, albeit with meaningful Risks

mitigants, and given limited spread pickup to peers like NVDA. - IG/HY Communications/Media Valuation

• With this backdrop of recent chip-financing deals and pipeline visibility, we Methodology and Risks

consolidated our work on the emerging trend, highlighting SPV-based - HY Retail/Consumer Valuation Methodology

structures such as contract-backed term loans (ex. CRWV) and chip lease- and Risks

backed debt.