The surge in the semiconductor market seems to make industry research analysts more confident. Recently, in a WeChat group of 500 people in the semiconductor industry, the global core shortage continues. The industry is communicating on the localization of “photoresist” consumables that are in short supply in the domestic semiconductor field. , Chen Hang, chief electronics analyst at Founder Securities, and Yang Xiaosong, head of SMIC’s photoresist, had a disagreement. As a result, he angered Yang Xiaosong as “you count as the old man”, which surprised the industry for a while.
Broker China reporter noted that the global chip supply shortage continues, major fabs around the world are actively expanding production capacity, and the demand for upstream semiconductor consumables, photoresist and other materials is huge. At the same time, the localization of semiconductors in China is actively speeding up and striving for practical technological breakthroughs.
In the secondary market, the semiconductor industry sector has performed well in the capital market this year, especially since July has seen a sharp rise. Take Nanda Optoelectronics, which has a domestic photoresist production line, as an example. The stock price has effectively doubled since July.
The chief of brokerage electronics angered “How old are you”
Recently, another hot dialogue in the securities industry has aroused attention to the hot semiconductor industry.
In a WeChat group of 500 people named “Semiconductor Industry Exchange”, the industry is conducting exchanges on the topic of photoresist in the semiconductor field.
It is reported that photoresist is also called photoresist. When semiconductor materials are processed on the surface, if an appropriate selective photoresist is used, the desired image can be obtained on the surface. Photoresist is used in the field of chip manufacturing. Is widely used, therefore, photoresist belongs to the upstream semiconductor material subdivision field. Prior to this, due to the cut-off of photoresist supply in Japan and the United States, the replacement of domestic photoresist was imminent.
Regarding the current technology of localized photoresist, Yang Xiaosong, known as the “President of SMIC Photoresist”, said directly in the group, “Don’t talk about ArF, no one can see it, everyone dare not come to see me.”
In response to such a statement, Chen Hang, the chief of Founder Securities Electronics in the group, directly said “How old are you”, and Chen Hang remarked in the group as an electronic analyst at Southwest Securities.
In the chat group, Geng Zheng, an electronic semiconductor analyst at GF Securities, said, “Brother Yang Xiaosong is a real expert.”
Later, the two continued to “exchange fire.” Chen Hang continued to use the previous research report to say that “After SMIC entered the list of entities, it was based entirely on 7nm of American equipment, and its practical significance was far less than the mature technology based on domestic equipment. Wafer foundries were not the bottom-level technology of semiconductors. It’s just an integrator of chip equipment, materials, and processes. The main contradiction of China’s semiconductors has shifted from a lack of advanced process training to a lack of domestic semiconductor equipment and materials.”
Later, Chen Hang sent and shared an article on “How to Recognize SMIC” WeChat official account.
In this regard, Yang Xiaosong continued to tease Chen Hang, saying “you know too little”, and sent a WeChat “smirk” emoticon in the group.
After that, the person in the group remarked as “Huatai Securities E-Ji Panfeng” said that “Hangsho (Chen Hang) is invited out first. Recently, the market is good and he is too excited”, and then Chen Hang is invited to the group chat. A group of friends replied, “People in the capital market are a bit overconfident.”
Later, Yang Xiaosong continued to quote Chen Hang’s “How old are you” and replied, “You can ask all the lithography workers in China, I dare not say that.”
Brokerage China reporters noticed that although the group noted that Chen Hang was an analyst at Southwest Electronics, according to the information from the China Securities Association, Chen Hang graduated from Peking University with a master’s degree in computer science and joined Southwest Securities in June 2017 until June 23, 2019. The analyst is qualified to become an electronic analyst at Southwest Securities. In November 2019, Chen Hang moved to Founder Securities Research Institute as the chief analyst of technology and electronics. This means that Chen Hang has served as an analyst for more than 2 years.
“Maybe analysts are still too young and energetic, and they are too easy to be agitated by words, so we must do a good job of emotional management.” A source from the Securities Research Institute said.
Regarding the above situation, reporters from the brokerage firm interviewed related persons from Founder Securities and SMIC, but had not received any response as of press time.
Photoresist seeks a breakthrough, and the semiconductor industry is hot
In recent years, photoresist, which is the core consumable of semiconductors, is a typical domestic product with a strong domestic demand. Domestic companies, including Nanda Optoelectronics, are actively making breakthroughs, and the related semiconductor sector has increased significantly.
According to data, the photoresist industry has extremely high industry barriers, and therefore presents an oligopoly situation, which has been monopolized by professional companies in Japan and the United States for many years. At present, the top five manufacturers account for more than 80% of the global photoresist market, and the industry is highly concentrated.
To make matters worse, due to the earthquake in Fukushima, Japan this year, the photoresist leader Shin-Etsu Chemical stopped supplying photoresist from some fabs. While capacity is limited, global fabs have increased their new capacity and demand for photoresist. Soaring, the supply of photoresist continues to be tight.
In addition, high-end photoresist is monopolized by foreign giants, and the short shelf life (6-9 months) of photoresist makes it easy to become a “stuck neck” material.
Caixin Securities analyst Zhou Ce said that the world’s major fabs are also actively expanding their production capacity, which is undoubtedly a huge benefit for the upstream semiconductor materials industry. As the capacity of new fabs continues to land, it will drive upstream semiconductors. Huge demand for materials.
At the same time, the substitution progress of my country’s semiconductor localization is accelerating, and domestic semiconductor materials are constantly achieving technological breakthroughs. Many products including domestic photoresists, electronic special gases and wet electronic chemicals have now entered the relevant supply chain. my country’s semiconductor materials will usher in a period of rapid development.
For example, on July 29 this year, Nanda Optoelectronics announced that the national 02 special ArF photoresist project undertaken by the company passed the acceptance of the expert group. This photoresist can be used in the integrated circuit manufacturing process of 90nm-14nm or even 7nm technology nodes. An industrial base with an annual output of 25 tons has been built.
However, Nanda Optoelectronics also reminded the risk that ArF photoresist products have not yet achieved large-scale mass production. The complexity of ArF photoresist determines that there are still many risks in the process of stable mass production. There are still many uncertainties whether it can obtain large-scale orders from downstream customers and whether it can enter the market on a large scale.
In addition to Nanda Optoelectronics, according to Beijing Capital Securities Research Report, Suzhou Ruihong, a subsidiary of Jingrui Co., Ltd., has a photoresist factory that has reached the international advanced level. It is one of the earliest large-scale photoresist companies in China and undertakes the national 02 special project. The products have been supplied to SMIC, Yangjie Technology and other companies. At present, we have 100 tons of i-line photoresist per year, and KrF photoresist has entered the pilot stage.
In addition, on June 30, Shanghai Xinyang announced that the company’s independently developed KrF (248nm) thick film photoresist product has recently passed customer certification and successfully obtained the first order. Shanghai Xinyang expects to achieve mass production of KrF thick film photoresist in 2022, and to further develop ArF photoresist.
The data shows that the semiconductor sector has seen a significant increase recently. The Shenwan Semiconductor Index (801081) has risen by 54.2% this year; it has risen by 13% since July.
In terms of individual stocks, take Nanda Optoelectronics as an example, it has risen by 109.89% in July this year, and its current market value is 33.5 billion yuan, with a PE of 248; Jingrui shares have risen 69.49% since July, with a market value of 20.5 billion yuan, PE132; Shanghai Xinyang since July Increased by 14.7%, with a market value of 19.4 billion yuan, PE155.
Source of this article: Brokerage China, the original title “Weekend Screening! More hot than the market, too excited to discuss semiconductors? Analyst “angry” SMIC Technology Master: How old are you? 》