1 Small Semiconductor Stock You Need to Know About Right Now
The semiconductor industry is in the midst of a downturn in 2023, driven lower by sluggish PC, smartphone, and data center server (of the non-artificial intelligence variety) sales. This has had a deep impact on wafer fab equipment -- the big and expensive machines chip manufacturers need to make chips. 2023 revenue for the industry is expected to take a mid-teens-percentage tumble from its last high point in 2022.
But dozens of new semiconductor fabs are currently under construction and will need to be filled with fab equipment. The next run higher for the fab equipment space is already getting underway. One small name that just indicated as much is Onto Innovation (NYSE: ONTO). Here's what you need to know.
On the surface, Onto's second-quarter 2023 revenue didn't look so impressive. Sales were $191 million, missing management's mark of $203 million it told investors to expect three months ago. However, the miss was due to one specific customer asking for "enhancement packages" on three machines, with the delivery of those three units getting pushed into the third quarter (more on that in a moment).
Source Fool.com
