Serenity: XFAB Upgraded to "Buy," AI and Photonics Chips Could Unlock Long-Term Growth Opportunity

BlockBeats News, July 6th, Serenity retweeted Kelper's latest research report, stating that they have upgraded the rating of the semiconductor wafer foundry XFAB to "Buy." The report believes that the demand from Melexis is continuing to improve, and the demand for silicon carbide (SiC), gallium nitride (GaN), and photonics chips brought by AI is expected to offset the cyclical fluctuations in the automotive industry. Meanwhile, western scarce specialty wafer foundries are receiving a higher valuation premium. Data shows that XFAB's current 2027 EV/EBITDA is only 4.8 times, significantly lower than the median of peers at 14.5 times.

Serenity stated that this means XFAB's core fundamentals are improving, but they are more optimistic about the photonics chip's growth potential, which the market has not yet fully priced in. It pointed out that XFAB leads the EU's PhotonixFAB project, which aims to establish a European silicon photonics industry chain and promote the mass production of photonics chips. In the future, it is expected to benefit from the growth in data center optical communication demand driven by AI giants such as NVIDIA. However, as related commercial orders have not yet been substantially finalized, traditional valuation models still struggle to reflect this long-term growth logic.