One of my favorites to trade and the swings have always been good, up and down, but the whole sector is sick, except for one. They have always run together even when not justified as one company will do well but the whole group rises. It always amazed me when intc would raise capex 50 mil but the equip sector would go up 500 mil in market cap in 1 day. Lam is almost stand alone now on performance basis. Amat just bought another company so was yesterdays action due to a rumor of maybe it was going to be lam ? We shall see, but even though earnings were good, its up 20% since they announced
Long term still believe this company will face massive head winds due to minimal products and low diversification. I never saw AMAT as a suitor as they are developing their own product line to compete with LRCX. The rumor for some time was ASML was going to be AMAT's target. Interesting that AMAT is ramping up big today. The aquirer usually takes a hit due to the price bing paid, so much for logic in this group right now. IMO LRCX hasn't traded rationally in a year why would it start now. Hold no position here today but will play the up down cycle once the price settles in again at its new range.