By Investing.com — Global semiconductor sales in July finished up by 18% compared to the same period last year, marking the eighth straight month of double-digit annualized growth for the industry, according to research from Bank of America Securities.
Semiconductor manufacturers have become a crucial focal point for investors, fueled in part by a recent boom in enthusiasm around artificial intelligence and the ongoing need for specialized chips in electric vehicles.
However, in a note to clients on Tuesday, the BofA analysts flagged that the chip industry had decreased by 6% on a year-to-date basis, due partially to “below seasonal trends” in memory processors.
They argued that the sector should see a recovery in the second half of 2024, although the analysts conceded that “uncertainty” around the timelines for a possible rebound in “auto/industrial and consumer demand.”
“Overall, we believe long-term secular growth trends around AI proliferation, increasing semi complexity, auto/industrial electrification remain intact,” the analysts said.
