1 Small Semiconductor Stock Up 50% in 2024 Alone -- Is It Too Late to Buy?
2024 has gotten off to quite the start. As investors warm up to the idea that a new bull market has begun, interest has flooded into the semiconductor industry, with names like Nvidia and Advanced Micro Devices and their artificial intelligence (AI) system assembler partner Super Micro Computer skyrocketing.
Small-cap stock ACM Research (NASDAQ: ACMR) has gone wild, too, up 50% so far in 2024 alone and up some 270% since the beginning of 2023 (as of March 6, 2024). The chip manufacturing equipment company has picked up steam on a better-than-expected growth and profit outlook. But can the run continue?
The U.S. has been tightening export controls to China on the most advanced semiconductors used in AI systems, as well as the most advanced equipment used to manufacture said semiconductors. Besides these AI chips, though, there's a world of other types of semiconductors needed for things like electric vehicles and industrial machinery. China has been building its own chip manufacturing industry in support of these more "mature" types of not quite cutting-edge chips.
Source Fool.com
