Citi: The Latest Earnings Season for the Semiconductor Sector Is Expected to Be Mixed

Glonghui, April 7 | Citigroup expects that the semiconductor sector will experience a mixed earnings season, favoring data center chip manufacturers that benefit from AI and general server demand. Next in line are analog semiconductor companies, as they operate under low inventory levels and profit margin pressure. The bank is most cautious about smartphone chip suppliers, as rising memory costs are expected to put pressure on demand for low-end products. The bank has included AMD and Analog Devices on its watch list for upward catalysts, and maintains Broadcom, NVIDIA, Texas Instruments, and Monolithic Power Systems as its overall top stock picks.