# Wall Street upgrades pile up for chip gear makers as AI spending boom continues

_AI-generated trading idea · LONG · ASML, LRCX, MU_

> Canonical page: https://commonquant.ai/research/for-you/wall-street-upgrades-pile-up-for-chip-gear-makers-as-ai-spen--2f7bd77e-3e5b-4a57-9a95-7d0fce705c1a

Major banks are aggressively raising their price targets for Lam Research, citing a massive, multi-year boom in chip factory spending. With memory chip makers like Micron also seeing huge demand, the companies that actually manufacture the equipment to make these chips are in the perfect position to profit.

## Idea

Both BofA and Citi drastically raised their price targets for Lam Research, pointing to a $250 billion wave of chip manufacturing investment. Separately, Yahoo Finance notes that Micron is seeing Nvidia-level demand for memory chips. Connecting the dots, the massive demand for AI memory chips directly translates to a multi-year boom for the equipment makers like Lam Research who supply the necessary machinery. This creates a strong fundamental backdrop to buy the equipment makers.

## Key details

- Symbols: ASML, LRCX, MU
- Timeframes: D1
- Tags: \#ai\_hardware, \#semiconductors, \#analyst\_upgrades

## Community

- Upvotes: 3
- Views: 0
- Copies: 0
- Cosigns: 0

## News sources

- [Is Micron Stock the New Nvidia?](https://finance.yahoo.com/markets/stocks/articles/micron-stock-nvidia-223000302.html) — Yahoo Finance
- [Lam Research (LRCX): BofA Raises Its Target by $150 as Chip Equipment Spending Heads Toward $250 Billion](https://finance.yahoo.com/technology/articles/lam-research-lrcx-bofa-raises-115832923.html) — Yahoo Finance
- [Lam Research (LRCX): Citi Raises Target by $135 on a Multi-Year Chip Manufacturing Investment Boom](https://finance.yahoo.com/technology/articles/lam-research-lrcx-citi-raises-102212911.html) — Yahoo Finance

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