AI, Chip Shares Enter New Growth Phase as High Bandwidth Memory Demand Lifts Valuations
Updated
Updated · bny.com · Jun 24
AI, Chip Shares Enter New Growth Phase as High Bandwidth Memory Demand Lifts Valuations
3 articles · Updated · bny.com · Jun 24
Summary
High bandwidth memory demand is driving a fresh leg up in AI and semiconductor stocks, with memory-linked names posting sharp gains as investors bet on the next phase of AI infrastructure spending.
That rally has pushed many chip shares strongly higher and left some valuations in rare territory, raising questions about how sustainable the advance will be.
Recent market weakness has already exposed the sector’s volatility, even as enthusiasm for AI investment keeps broadening across semiconductor-related stocks.
Walter Scott says returns will vary widely and is favoring durable, established chip businesses, arguing long-term value is more likely where commercially viable AI use cases are already emerging.