** Jefferies upgrades Swiss semiconductor and lighting company ams-OSRAM AMS.S to "buy" from "hold", citing an upcycle ahead and potential revenues from AI photonics and augmented reality smart glass

** Shares rise more than 7%

** The broker says the automotive and industrial chip segments are at the early stages of a new upcycle, with order momentum to build through the second half of 2026 into 2027

** ams-OSRAM is well-positioned to provide microLED arrays for AI data centre connectivity, it says

** It sees partnership with a AI data centre infrastructure players leading to commercialisation by 2029 and deliver triple-digit million-euro revenues

** Jefferies believes ams-OSRAM is engaged with Meta META.O on providing microLED arrays and other components for smart glass, with revenues of over 300 mln euros expected from 2027-2028

** According to LSEG data, of 11 analysts who cover the company, two rate the stock "buy" or "strong buy", five rate it "hold" and four rate it "sell" or "strong sell"