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Top 5 Gainers of This Week Last Week's Review>>

1. Heating-Up Industries & Logic

Institutional insights on the popular sectors of the listed stocks. Data source from professional institutional reports.

Sorted by "Ind Group Rank"

Telecom Equipment (Top RS+EPS Stocks): Viavi Solutions Inc(VIAV.US) , Ciena Corporation(CIEN.US) , Lumentum Holdings, Inc.(LITE.US) , Gilat Satellite Networks Ltd.(GILT.US) , ADTRAN Holdings, Inc.(ADTN.US) 

Sorted by "Rank Upgraded"

Chemicals-Basic (Top RS+EPS Stocks): E. I. du Pont de Nemours and Company(DD.US) , Compass Minerals International, Inc.(CMP.US) , Ecovyst Inc(ECVT.US) , Hawkins, Inc.(HWKN.US) , BASF SE(BASFY.US) 

2. Top Stock Picks This Week

Our Stock Selection Criteria & Indicator Guide: Click for Details >>

Analysis of Market Sectors

1. Computer-Hardware/Perip

• Core Logic: AI infrastructure investment is broadening from core chips to IT hardware and networking equipment. Strong capex from hyperscalers directly drives demand for servers, storage, and network switches. Hardware companies can offset sector headwinds through IT spending recovery and AI-related investments, offering company-specific opportunities. The market is heavily focused on AI compute hardware (semiconductors), but rotation is expected to extend to other hardware segments.
• Market Dynamics:
  • Divergent Performance, Weaker Guidance: While Q1 earnings generally exceeded expectations, forward guidance weakened. The market is beginning to "punish future uncertainty." For example, Texas Instruments Incorporated(TXN.US)  beat Q1 estimates and raised guidance, reaffirmed as a top pick analog semiconductor stock.
  • Rotation Within the Sector: J.P. Morgan, in its April 16 report, noted that valuation premiums are highly concentrated in optics, test & measurement, and HDDs, recommending a more selective approach. It downgraded Corning Inc(GLW.US) , Fabrinet(FN.US) , QUALCOMM Incorporated(QCOM.US) , and NetApp, Inc.(NTAP.US) , while placing CDW Corporation(CDW.US)  and Seagate Technology Holdings PLC(STX.US)  on a positive catalyst watch.
• Stock Ratings/Views (U.S. Stocks):
  • VERTIV HOLDINGS LLC(VRT.US) : Sourced from the daily research summary dated April 23, which stated "strong order backlog indicates earnings momentum will continue." It is viewed as a core beneficiary of data center infrastructure buildout.
  • Intel Corporation(INTC.US) : Q1 results significantly beat expectations (revenue, CCG, and DCAI all above guidance). Goldman Sachs raised its price target to $94.2. BofA noted revenue was 9.9% above consensus.
  • Western Digital Corporation(WDC.US)  / Seagate Technology Holdings PLC(STX.US) : Morgan Stanley, in its April 20 report, raised STX's target to $582 (bull case $796) and WDC's target to $380 (bull case $519), citing tight HDD supply-demand, strong pricing power, and visibility extending into 2027-2028.

2. Elec-Semiconductor Mfg

• Core Logic: The semiconductor manufacturing industry is experiencing sustained growth driven by three structural forces: AI, the memory super-cycle, and advanced packaging. Wafer Fab Equipment (WFE) spending remains robust, driven by advanced nodes (TSMC N2/N3) and memory expansion (HBM/DRAM). CoWoS and advanced packaging are the most direct beneficiaries of AI capex. However, valuations are at extremely high levels, facing tactical top risks in the near term.
• Market Dynamics:
  • Extreme Sector Performance: The SOX index recorded an extreme 18-day winning streak, gaining 37.2% in April. However, Macro Charts noted that "half of SOX components show failed breakouts or high-level reversals," suggesting a potential top is forming. A breakdown in SMH could trigger a shift to bearish positioning.
  • AI Narrative Dominates: Large-scale deals are being signed, with Anthropic locking in a ~$100 billion AWS investment and OpenAI placing a $20 billion three-year purchase order with Cerebras. Compute orders are becoming "hyperscale contracts."
  • CoWoS Capacity Expansion: Goldman Sachs (April 24) raised its CoWoS capacity forecasts for TSMC: 1.3M wafers in 2026, 2.0M in 2027, and a further 27% increase in 2028, representing three-year YoY expansions of 89%/95%/27%.
  • Cycle Continuation: The memory super-cycle extends into 2027 with continued DRAM and NAND price increases. TrendForce significantly raised its Q1 2026 DRAM ASP forecast to a YoY increase of 110%-115%.
  • Highly Concentrated Earnings Revisions: Earnings revisions are highly concentrated in the IT and Energy sectors. Citi's model predicts the tech sector will have the highest beat ratio at 90%.
• Stock Ratings/Views (U.S. Stocks):
  • NVIDIA Corporation(NVDA.US) : Citi's model predicts a positive earnings surprise for Q1 2026. The stock hit a new high of $5.2 trillion market cap during this period. Morgan Stanley maintains an Overweight rating.
  • Texas Instruments Incorporated(TXN.US) : Beat Q1 estimates and raised guidance, with data center revenue growing ~90% YoY. Viewed favorably by multiple institutions as a top pick analog semiconductor stock.
  • Amkor Technology, Inc.(AMKR.US) : Goldman Sachs maintains Buy with a $65 PT. **Morgan Stanley** also raised its PT to $69. Its 2.5D test business grew QoQ, and its Arizona K11 plant received $407 million in CHIPS funding.
  • Taiwan Semiconductor Manufacturing Co., Ltd. Sponsored ADR(TSM.US) : Nomura maintains Buy with a target of NT$2,820. Its 3nm monthly capacity was raised from 150k to 180k wafers, which are still sold out. Goldman Sachs raised its CoWoS capacity forecast.
  • Sandisk Corporation(SNDK.US) : Morgan Stanley raised its price target to $1,100 (April 25 report), citing upward NAND contract price trends and the third upward revision to estimates.
  • Intel Corporation(INTC.US) : Q1 results substantially beat expectations. Goldman Sachs raised its price target to $94.2. Citi upgraded its rating to Neutral (from Sell).

Screening Philosophy: based on ratings of financial data, stock relative price strength, and industry sector effects to screen for and capture opportunities in the currently hottest market sectors and strongest individual stocks;
Filters Applied: Comp Rating ≥85; RS Rating ≥85; Ind Group RS: A; SMR Rating: A,B; Price ≥$20; Vol. ≥1000k; Market Cap. ≥3B; Sorted by Ind Group Rank;
Stock Selection Period: as of Friday;

About 'The Trend Catcher' Column:

Finding the strongest stocks inside the strongest sectors—so you can ride the market’s clearest trends.
We combine quantitative relative strength screens with real-time thematic analysis to highlight capital’s favorite directions.
All views are sourced from public market data and institutional research, for informational purposes only and not personalized investment advice.
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Disclaimer: The content is provided as general information only and should not be taken as investment advice. All the contents shall not be taken as a recommendation to buy or sell any security or financial instruments. Any action you take resulting from information, analysis, or commentary on this article is your responsibility. Please consult your investment advisor before making any investments.