Aixtron initiated with a Buy at Citi

Citi initiated coverage of Aixtron with a Buy rating and EUR 40 price target. The analyst says long-term growth in semiconductor demand and the simultaneous need for greater performance and efficiency is driving the industry to innovate in areas like compound semiconductors, engineered wafers and advanced packaging. The industry is complementing shrink and traditional scaling with such innovations, creating “strong double-digit growth outlooks,” the analyst tells investors in a research note. The firm likes Aixtron due to its “strong exposure to compound semiconductor investment.”