Tokyo Electron Adds $12 Billion in a Day on Strong China Demand
- AI tide is driving global investment in chipmaking gear
- Optimism is lifting shares in chip-related and AI firms
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Tokyo Electron Ltd.’s market capitalization surged by more than $12 billion on Tuesday, hitting a record high after the company hiked guidance for the year on the strength of sales to China.
The chipmaking gear producer rose 13% in Tokyo Tuesday, hitting a valuation of ¥15.9 trillion ($106 billion) with its highest close on record. It came after the company lifted its operating income forecast for the year to March by 11% to ¥445 billion. That beat analyst estimates and came on the back of a December quarter where China accounted for 46.9% of its sales.