Nomura Research has cut its global chip projections for 2022.
In a note on Monday (Aug 29), the research house said that in recent weeks, clear signs of an inventory correction in semiconductors have emerged.
Earlier this week Nomura’s combined Japan/Asia semiconductor team reduced its global semiconductor sales projections (cutting chip projections) while its semiconductor memory team reduced its expectations for the global memory chip market (more severe memory hard landing expected).
“For semiconductors, we now expect a growth of 8.3% in 2022F (previously: 9.9% growth) and a decline of 6% in 2023F (previously 0.5% decline).
“Year-on-year (y-o-y) growth of monthly global chip sales numbers, as reported by the Semiconductor Industry Associate/WSTS, has decelerated sharply in recent months, from the recent peak of 33% in December 2021, to 9% in June 2022.
“Our projections assume a continuing drop in y-o-y growth into negative territory by August 2022 and y-o-y declines in the high-teens percent range in 1Q23,” it said.
Source : theedgemarket.com