The semiconductor shortage has been a significant concern for governments and several industries across the globe. However, according to the recent International Data Corporation (IDC) report, front-end manufacturing is starting to meet demand in the third quarter of 2021, supported by substantial federal and private investments. Moreover, IDC predicts the semiconductor market to reach $600 billion by 2025, growing at a CAGR of 5.3%, higher than the typical 3-4% growth seen historically. Therefore, semiconductor stocks AEHR and INTT are expected to benefit.
AEHR has gained 576.1% over the past six months, while INTT has returned 25% over this period. Also, AEHR’s 525.3% gains year-to-date compares with INTT’s 94% returns. In terms of the past year’s performance, AEHR is the winner with 1,006.3% gains versus INTT’s 177.9%.