Semiconductor boom continues to conduct wafer foundry revenue guidance for the fourth quarter is good

SMM: today, Tuoyi Industrial Research Institute said that the demand for foundry market in the fourth quarter is still strong, and the production capacity of various industries continues to be fully loaded. The tight capacity makes the overall revenue driven up by the price increase effect. It is estimated that the revenue of the top ten foundry foundry industrialists in the fourth quarter of 2020 will exceed 21.7 billion US dollars, an increase of 18% over the same period last year.

It is worth noting that the excellent performance of the global semiconductor equipment industry in the third quarter further verified the high prosperity of the wafer foundry link.

According to the "Global Semiconductor equipment Market Statistics" released today by the International Semiconductor Industry Association ((SEMI)), global sales of semiconductor manufacturing equipment reached US $19.4 billion in the third quarter, up 30% from the same period last year and 16% from the previous month. Shipments in this quarter reached the highest level ever recorded.

Great Wall Securities said that in the context of the wafer expansion equipment first, the global wafer foundry production capacity expansion next year has a high degree of certainty.

As a result, institutions have raised their expectations for contract manufacturers. Citic Construction Investment expects the domestic wafer foundry price to rise by 10%, 15% in the fourth quarter, and 20% in 21 years, and the shortage will continue into the first half of next year. According to SEMI, the expansion of wafer production will continue in the next four years, and the monthly wafer production will increase by 35% by 2024.

And who can fully enjoy this wave of tight dividend on chip production capacity? The characteristics of oligopoly in the wafer foundry market are obvious, and the leading foundry may be the biggest winner.

In the above report, the TUO Industrial Research Institute is optimistic about the top 10 wafer foundry manufacturers in the world in the fourth quarter, among which the top three are TSMC, Samsung and United Power.

Prior to this, there were industry media reports that global wafer production capacity was in short supply, and TSMC, UMC, World Advanced, LSMC and other large companies were fully loaded with orders in the fourth quarter.

Guoyuan Securities believes that the shortage of 8-inch production capacity has led to the determination of the trend of contract manufacturing and product price increases, and the domestic 8-inch contract manufacturing leading enterprises have directly benefited. It is recommended to pay attention to China Resources Micro, as well as compound semiconductor contract manufacturing leader San'an Optoelectronics. Pacific Securities advises investors to pay attention to the three major closed test leaders in China, such as Changdian, Tonfu and other companies that may continue to exceed expectations.

In addition to the above stocks, the domestic wafer foundry leader SMIC and Huahong Semiconductor are also generally favored by the organization.