/biz/ - Business & Finance

>>50257893
The semi industry is cyclical, and the equipment suppliers are dependent on it. the last downturn was 2018, and since then we had 3 years of uninterrupted growth. The covid crash actually played out in our favor since the fabs were slowing, we could bring more tools in without disturbing the production too much. Since then it was hot as hell and all the tooling companies were overbooked.
Earlier this year our CFO pulled a chart showing we were at the peaking since already 6 months, but he couldn't tell accurately when we start going down. At that time we still got tons of order from China (which is the main purchaser across all boards) but now China is silent. Unfortunately I don't have the screenshot of our pipeline order and trends, but I could get it once I'm at work.
The semi industry is itself divided in subcategories which has its own cycles. for ex. in 2015 China killed the LED market by doing overproduction. that's why it's not trivial to pick any chip manufacturer stock, as they all have their specialties.