“However, as the overall performance of the technology stocks under our coverage is only at an acceptable level, we remain ‘neutral’ on the sector but maintain selectively positive on the semiconductor supply chain beneficiaries,” says Seet.
The lack of chips and parts across the supply chain will continue supporting the outperformance of the semiconductor segment, says RHB Group Research analyst Jarick Seet.
In a note, Seet says the planned construction of about 29 new fabrication facilities in the next few years should ensure high demand for equipment.
