4 Big Risks for Aehr Test Systems Investors
One of the biggest winners this year has been Aehr Test Systems (NASDAQ: AEHR), which has seen its stock rise 92% on the year.
Aehr makes test and burn-in systems whereby chips can be tested at the wafer level under strenuous conditions to determine if they will last when put into a machine. Revenue has taken off on the prospect of high test and burn-in needs for silicon carbide chips (SiC) going forward.
SiC is a difficult material, but it can maintain high conductivity under high temperatures and is, therefore, an ideal material for electric vehicles. Given the long-term estimated growth of EVs, it's no wonder Aehr has surged this year.
Source Fool.com
