Citi names Broadcom, Texas Instruments, and Applied Materials top chip picks - Investing.com India

Citibank's latest investment analysis has ranked Broadcom, Texas Instruments, and Applied Materials as top semiconductor investment picks. This rating reflects the current market performance and inves... Read original →

Citi’s endorsement of Broadcom, Texas Instruments, and Applied Materials reflects a strategic bet on a 'resilience triangle' across the semiconductor value chain. Technically, Broadcom leverages its SerDes and co-packaged optics dominance amid AI-driven bandwidth surges; TI fortifies its position in automotive power management via high-voltage BCD processes; Applied Materials capitalizes on selective deposition and etch tools critical for advanced packaging as chiplet adoption accelerates. Geopolitically, all three mitigate supply chain risk through diversified footprints in Taiwan, China, Hong Kong, China, and Southeast Asia—but U.S. CHIPS Act subsidy strings will inflate long-term operational costs. Rivals like NVIDIA may vertically integrate networking ASICs to bypass Broadcom, while ASML could partner with Tokyo Electron to counter Applied Materials’ film deposition hegemony. Over the next 18 months, as AI server capex plateaus, analog and equipment segments will serve as cash flow anchors, making this portfolio a defensive offensive play.