Source: Zhitong Finance
Despite the artificial intelligence and PC market showing some advantages, the semiconductor industry will face widespread headwinds.
This week, as earnings season hits its peak, investment firm Susquehanna pointed out that despite the artificial intelligence and PC market showing some advantages, the semiconductor industry will still face widespread headwinds. The bank's analyst Christopher Rolland mentioned in his report to investors: “Overall, the semiconductor industry will still face widespread headwinds in the first quarter. This is because different markets and companies are in different stages of the downward cycle, and the situation is uneven.”
For the personal computer sector,$Intel (INTC.US)$und$Advanced Micro Devices (AMD.US)$As a major CPU manufacturer, the production and sales volume of laptops in the first quarter is likely to exceed expectations. Roland explained, “Currently, channels are being developed, and this will usually lead to on-demand delivery, especially after the 2022/2023 PC sales boom.”
Meanwhile, Roland is cautious about the mobile phone market. He observed that strong competition between Huawei, Vox, and Samsung and$Apple (AAPL.US)$Under the relative weakness, the mobile phone market performance will be mixed. In particular, he pointed out that Huawei's 5G phones, particularly the Pura 70 and Mate 70 models, will pose a major risk to a market with only a slight increase in sales (2.2% year-on-year increase).
As for the communications and 5G markets, although they have not yet bottomed out, Roland believes that from$Nokia Oyj (NOK.US)$und$LM Ericsson Telephone (ERIC.US)$Recent reviews suggest that the market is nearing the bottom.
The performance of the data center market was mixed, with strong performance in the field of artificial intelligence, but traditional server and data center spending was affected by weakening GPU spending.
Roland emphasized, “Although demand in the field of artificial intelligence remains strong,$NVIDIA (NVDA.US)$,$Advanced Micro Devices (AMD.US)$,$Broadcom (AVGO.US)$und$Marvell Technology (MRVL.US)$The company's artificial intelligence guidance may require further increases to push the stock price higher.”
In the analog and industrial fields, the company's performance is likely to continue to weaken due to continued shortening of delivery times. Notably,$Texas Instruments (TXN.US)$Its first-quarter results will be announced soon after the close of trading on Tuesday. The market generally expects the company's earnings per share to be $1.08 billion and revenue of $3.61 billion.