Citi raises wafer fabrication equipment sales forecasts for 2026 and beyond, lifting sector shares to record levels.
Shares of major semiconductor equipment manufacturers, including ASML and Lam Research, reached all-time highs after Citi issued a bullish outlook on the sector. Analyst Atif Malik increased his bull-case estimates for wafer fabrication equipment sales through 2026 and raised price targets for key stocks, citing strong demand trends.
The rally follows a broader market uptick, with investors also reacting to easing geopolitical tensions between the U.S. and Iran. Prior to the upgrade, the sector had shown resilience amid fluctuating market conditions, supported by long-term growth projections in chip manufacturing.
The report did not detail immediate market reactions beyond the stock price movements, but the sector’s outperformance reflects renewed confidence in semiconductor capital expenditures.