TECH - Morgan Stanley's Semiconductor Picks: Why It's Bullish On Qorvo Sidelined On Qualcomm LAM | Benzinga
Morgan Stanley raised its industry view on semiconductors from In-Line to Attractive on Friday, saying it expects to see the market turn more positive on the device side as an inventory correction runs its course in the first half of 2024.
“The seeds for the current cycle view were planted during the shortages of 2021-22. As normally happens, that led to severe inventory excess,” said analyst Joseph Moore.
That doesn’t mean there won’t be a recovery, he explained — as enthusiasm for systems such as artificial intelligence (AI) in all its forms will continue to drive demand for processing power.
Preferring the devices side over semi-cap — which are the companies that produce equipment used in the manufacture of semiconductors — Morgan Stanley said computing is its top industry, given the AI boom. ...