Morgan Stanley is bullish on these global stocks from a corner of the semiconductor sector

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BE Semiconductor Industries NV News

ASMPT Ltd,Micron Technology Inc,SK Hynix Inc

'We remain optimistic about the bonder market due to a combination of cyclical and secular tailwinds,' Morgan Stanley's analysts wrote.

The semiconductor sector has been under pressure, but Morgan Stanley sees opportunities in one corner: the bonder market. It's a market that involves the production of integrated circuits and microelectronic components and is driven in part by the demand for electronics such as smartphones and electric vehicles. "Overall cycle is recovering slowly and equipment vendors with higher advanced packaging exposure should outgrow peers in 2H24 ...

Morgan Stanley says this Hong Kong-listed player has "technology leadership" in the thermo compression bonder market. The bank says it expects 60% revenue CAGR from the TCB tool in the next three years. Shares in ASMPT also trade in the U.S. as an ADR . Morgan Stanley has a target price of 130 Hong Kong dollars on the stock, giving it nearly 50% upside potential.

 

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