CS expects Swiss semi suppliers to benefit from sector recovery
18/01/2023 09:17
** Credit Suisse says Swiss semiconductor suppliers should
benefit as global semiconductor equipment companies look poised
for a recovery in 2024
** The broker says according to a report by global industry
association SEMI, the sector is expected to recover in 2024
driven by both the front-end and back-end segments
** The association said emerging applications in various
markets have raised expectations for significant growth in the
semiconductor industry this decade, which would require further
investment to expand production capacity
** CS ups VAT Group VACN.S to "outperform" from "neutral",
saying it is a good proxy for the semiconductor market, with
signs of a potential and significant upswing in wafer
fabrication equipment (WFE) investments in 2024 increasingly
turning positive
** The broker upgrades Inficon IFCN.S to "neutral" from
"underperform", as it expects the company to weather the storm
of declining semiconductor orders and recessionary environment
in the broader industrial markets
** It reiterates "outperform" on Comet Holding COTNE.S ,
citing potential boost from expected recovery in the memory
business in 2024 and success in RF (radio frequency) generators
** Shares in VAT Group, Inficon and Comet are up 0.5-2.3%
(Reporting by Bartosz Dabrowski in Gdansk)
((bartosz.dabrowski@thomsonreuters.com; +48 58 7696560;))