NXP downgraded by UBS as China and AI risks cloud growth Proactive uses images sourced from ShutterstockNXP Semiconductor NV (NASDAQ:NXPI) was downgraded by UBS as the investment bank warned that a potential automotive inventory correction in China and limited exposure to artificial intelligence data centres could constrain growth. NXP generated 17% of its revenue from China and 55% from the automotive market, leaving it particularly exposed, UBS said. NXP expected AI infrastructure revenue to exceed $500 million in 2026, equivalent to about 3% of group sales. UBS forecast NXP's earnings per share would grow at an annual rate of 18% between 2026 and 2029, against a peer average of 34%. UBS cut its earnings forecasts for 2026-2030 by between 5% and 9% to reflect the risk of a Chinese inventory correction.