Gloom Hanging Over Chip Stocks Met by Growing Chorus of Optimism
- Philadelphia semiconductor index has jumped 26% from low
- Nvidia, Applied Materials encourage bulls that worst is past
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Things have gotten so bad for semiconductor companies this year that Wall Street is starting to think there’s nowhere else for their shares to go but up.
The selloff in Micron Technology Inc.’s shares this week after its outlook for 2023 prompted Citigroup Inc. and Wells Fargo to predict a bottom is near if not already here for the memory-chip maker. Meanwhile, Nvidia Corp.’s results boosted optimism that growth at the graphics-chip company is poised to re-accelerate. And Applied Materials Inc., the biggest producer of tools to make semiconductors, gave a better-than-feared forecast.