$AXTI This daily candlestick closed as a -21.56% big bearish candle, hitting a low of 70.11—just one step away from the whole-number level. Trading value was 55.8M, expanding on the decline. This kind of volume isn’t from retail investors smashing it; it’s institutions rebalancing.
The underlying logic of the semiconductor materials sector hasn’t changed—the only thing that has changed is capital preference. The market currently only recognizes AI compute-and-power chips. Companies like $AXTI , which are upstream materials suppliers, are categorized as "traditional semiconductors," so capital directly gives up on them. But look at its price-to-book ratio—at this level, it’s already near the upper edge of the historical bottom range. Going lower from here would mean it becomes truly cheap.
The key is that the semiconductor sector’s inventory cycle has already bottomed out. The wafer fab utilization rate is picking back up. This selloff is a sentiment-driven massacre, not a deterioration in fundamentals. If it can’t hold around 72, the next support to watch is 68, but I don’t think it will get there. These blood-stained shares are actually the price zone that left-side (early) investors should pay attention to.
#Semiconductors
The underlying logic of the semiconductor materials sector hasn’t changed—the only thing that has changed is capital preference. The market currently only recognizes AI compute-and-power chips. Companies like $AXTI , which are upstream materials suppliers, are categorized as "traditional semiconductors," so capital directly gives up on them. But look at its price-to-book ratio—at this level, it’s already near the upper edge of the historical bottom range. Going lower from here would mean it becomes truly cheap.
The key is that the semiconductor sector’s inventory cycle has already bottomed out. The wafer fab utilization rate is picking back up. This selloff is a sentiment-driven massacre, not a deterioration in fundamentals. If it can’t hold around 72, the next support to watch is 68, but I don’t think it will get there. These blood-stained shares are actually the price zone that left-side (early) investors should pay attention to.
#Semiconductors