Surprising Purchase Intentions: Aixtron, Infineon, Siltronic Entertainment Possible Resurgence in Acquisitions
The chip industry, which had been hoped to experience a revival, has yet to fully materialize. However, the past few months have seen a gradual pickup in business, with high inventory levels among chipmakers and their customers slowly decreasing.
Among the top performers in this sector is Aixtron (WKN: A0WMPJ), a structural winner in the field of compound semiconductors. The analysis house mwb research recently reaffirmed a buy recommendation for Aixtron, setting a target price of 20 euros for the company's shares. This recommendation was given after the High-Tech Engineering Conference, where Aixtron was described as well-positioned for growth driven by AI-related demand starting from the end of 2026.
The institution's optimism for Aixtron is shared by the market, as the company's shares are currently among the top gainers on the stock market. Similarly, Infineon (WKN: 623100), one of the top performers in the DAX, and wafer manufacturer Siltronic (WKN: WAF300) have also seen their shares rise significantly, with Siltronic experiencing the most growth in Germany.
The growing hope for a demand boost is fueling optimism for the domestic chip trio. If the upcoming numbers and outlooks of the CEOs confirm this assessment, all three stocks could be trading higher than their current prices by the end of the year.
The stocks of Aixtron, Infineon, and Siltronic belong to the technology sector, which is among the leaders in Europe. The Stoxx Europe 600 Technology sector index has been performing well, indicating a positive outlook for the sector as a whole.
Investors are also hoping for an increasingly accommodative monetary policy, as evidenced by the US Federal Reserve's recent lowering of its key interest rate by 0.25 percentage points. This move, the first US interest rate cut this year, is benefiting the stocks of Aixtron, Infineon, and Siltronic.
Looking ahead, all three companies are likely to benefit from the anticipated growth in AI demand. Optimism for long-term growth is particularly strong for Siltronic, with investors betting on the company's investments in new technologies. The expected transition year of 2026 is expected to be a moderate growth period for Aixtron, followed by a stronger upswing from 2027.
Despite the persistent weak overall economic dynamics, high inventories still outweigh end demand in the chip industry. However, with the optimism surrounding AI-related demand and the accommodative monetary policy, the outlook for the chip industry and the domestic chip trio of Aixtron, Infineon, and Siltronic remains positive.
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