Nomura Mid Cap Growth Fund on MACOM Technology Solutions Holdings Inc.
Thesis
MACOM is positioned as a hardware enabler of the AI infrastructure buildout. The fund highlights strong demand for the company's high-performance analog semiconductors used in data-center connectivity and 5G infrastructure. Management also pointed to accelerating design wins in AI networking applications, reinforcing the opportunity for sustained revenue growth. The investment fits the fund's preference for chips, networking equipment and other infrastructure-layer businesses that can benefit from multi-year AI investment cycles.
“benefiting from strong demand for its high-performance analog semiconductors used in data center connectivity and 5G infrastructure”
Key risks
- Dependence on continued AI infrastructure and networking investment
- Semiconductor demand cyclicality