CITIC Securities: Continues to be optimistic about the investment opportunities in the US stock semiconductor & hardware zone over the next 12 months

CITIC Securities' research report pointed out that due to the combined impact of market expectations for the Fed's interest rate cut, the US presidential election, and concerns about the sustainability of AI investment, the US stock semiconductor & hardware zone has recently experienced a significant adjustment. Based on the analysis of the underlying logic of this wave of AI technology, the willingness of technology giants to invest in the AI field, and the balance sheet support capabilities, it is judged that the continuous investment in the global AI Computing Power field can still be sustained in the next 2-3 years. In the long term, it is necessary to solve the commercial closed loop between AI upstream CAPEX investment and downstream application output. At the same time, the current global semiconductor industry has only experienced an upward cycle for 3-4 quarters, still in the first half of this cycle, and the upward extent and duration of the zone's stock price are far from reaching the historical average level of the cycle. It continues to be optimistic about the investment opportunities in the US stock semiconductor & hardware zone for the next 12 months, and recommends diluting the short-term market Fluctuation impact, and continuing to focus on the two core themes of high prosperity and bottom recovery.