Citi ranks KLA Corp, Lam Research on top of its chip equipment coverage

Universal Display

25/09/2020 13:05

** Citi Research names KLA Corp  KLAC.O  on top of its list
of semiconductor equipment and specialty semiconductors
companies, followed by Lam Research  LRCX.O  
    ** Brokerage expects 5G related semis demand to remain
relatively resilient and KLA has the most 5G sales exposure
among front-end peers or ~12% of overall sales
    ** Sees slow recovery in consumer-led OLED TV demand in the
next 12 months and views stock valuation as rich
    ** Universal Display Corp  OLED.O , Amkor Technology Inc
 AMKR.O  receive bottom rankings
    ** The recent tech-led pullback has pushed the Philadelphia
SE semiconductor index  .SOX  about 9.4% below its record high
from early Sept; still the index is up about 16% YTD
  
 Ranking  Company                   Price Target    Rating
 1.       KLA Corp                  $236            Buy
 2.       Lam Research              $389            Buy
 3.       Marvell Technology        $43             Buy
 4.       Nvidia Corp               $540            Buy
 5.       Teradyne Inc              $90             Buy
 6.       Silicon Laboratories      $120            Buy
 7.       Rambus Inc                $17             Buy
 8.       MagnaChip Semiconductor   $14             Neutral
 9.       Qorvo Inc                 $119            Neutral
 10.      Skyworks Solutions Inc    $126            Neutral
 11.      Universal Display Corp    $187            Neutral
 12.      Amkor Technology          $10             Sell
 
 (Reporting by Medha Singh in Bengaluru)
 ((medha.singh@thomsonreuters.com))