11 Best Semiconductor Equipment Stocks to Buy According to Analysts

3. Entegris, Inc. (NASDAQ:ENTG)

Average Upside Potential: ~86.4%

Number of Hedge Fund Holders: 47

Entegris, Inc. (NASDAQ:ENTG) offers advanced materials and process solutions for the semiconductor and other high-tech industries. Fitch Ratings believes that the company remains well-placed to maintain a key role in the broader semiconductor market with the increased complexity of architectures. Entegris, Inc. (NASDAQ:ENTG)’s customer relationships and collaboration offer expansion opportunities, with increased AI and machine learning requirements affecting the semiconductor market growth.

Elsewhere, Citi believes that the expected outperformance in 2025 can be fueled by node transitions in advanced logic and 3D NAND technologies, together with strong growth in advanced packaging. Entegris, Inc. (NASDAQ:ENTG) remains confident in the healthy long-term growth outlook of the broader semiconductor industry. The industry’s technology roadmaps remain opportunity-rich for the company as its customers drive for more complex device architectures and further miniaturization.  Therefore, the resulting process complexity continues to make Entegris, Inc. (NASDAQ:ENTG)’s expertise in materials science and materials purity increasingly valuable, placing it well for the upcoming technology node transitions.

The London Company, an investment management company, released a Q4 2024 investor letter. Here is what the fund said:

“Entegris, Inc. (NASDAQ:ENTG) – ENTG underperformed during 4Q due to a more sluggish market recovery, particularly in mainstream and 3D NAND areas, as well as providing a cautious outlook. That said, its solutions for advanced technology and incremental wafer content gains should propel a faster recovery next year. ENTG is one of the most diversified players in the semi-materials industry with its size and scale. We remain attracted to the industry’s high barriers to entry, limited competitors, and high switching costs.”