Secular Growth Opportunity for Applied Materials in Semiconductor Market

Thursday, 28 March 2024, 08:50

The semiconductor industry is showing signs of a strong revival in 2024, driven by the increasing demand for AI chips and the growth in key markets like PCs and smartphones. This growth is expected to lead to a surge in semiconductor manufacturing equipment spending, benefiting companies like Applied Materials (NASDAQ: AMAT). With the predicted rise in revenue for the semiconductor industry and the ongoing investments from major players, Applied Materials is poised for significant growth and upside potential in the coming years.
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Secular Growth Opportunity for Applied Materials in Semiconductor Market

Semiconductor Industry Revival in 2024

The semiconductor industry is forecasted to experience a turnaround in 2024, fueled by the demand for AI chips and growth in PC and smartphone markets. Deloitte predicts a 13% increase in industry revenue to $588 billion, driven by a 4% rise in PC and smartphone sales.

Increasing Demand for Semiconductor Equipment

The surge in demand for semiconductor equipment is expected to benefit companies like Applied Materials, as businesses and governments invest in boosting production capacities to address the chip shortage.

Secular Growth Opportunity for Applied Materials

Applied Materials is well-positioned to capitalize on the growing demand for chips, with major customers like Samsung, Taiwan Semiconductor Manufacturing, and Intel boosting its revenue. The company's strong financial outlook and potential for double-digit growth make it a lucrative investment option in the semiconductor market.


This article was prepared using information from open sources in accordance with the principles of Ethical Policy. The editorial team is not responsible for absolute accuracy, as it relies on data from the sources referenced.


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