Citi released a research report stating that US semiconductor stocks have recently been heavily sold off, which is believed to be due to macroeconomic factors, as well as high market expectations for sector earnings. However, the second quarter performance seems to be relatively weak, which disappoints investors. The stocks of Intel, Gexin, Microchip Technology, and NXP Semiconductors were dragged down as the analog semiconductor inventory replenishment speed was slower than expected, and the automotive terminal market, which accounts for 14% of semiconductor demand, may face a downside risk. However, Citi remains bullish on the development prospects of AI and semiconductor industries, and looks forward to a sustainable push in prices due to the reduction of DRAM capacity, believing that now is a good opportunity for investors to enter the market and increase their holdings. Citi's top pick is Micron Technology, and it also rated AMD, Broadcom, Analog Devices, Microchip Technology, NVIDIA, and KLA Corporation as “buy”.