FRANKFURT (dpa-AFX) - The shares of semiconductor equipment supplier Süss Microtec continue to be in demand on the stock market. After a small dip at the end of May, the share price rally of the Upper Bavarian company recently picked up speed again. This Monday, the shares, which are listed in the small cap index SDax, rose to up to 62.40 euros. The share thus surpassed the old record high from the times of the tech boom at the turn of the millennium.

In the afternoon, the shares were still up 1.15 percent at EUR 61.70 - in an overall weak market following the European elections. Süss now has a market capitalization of almost 1.2 billion euros.

Investors continue to focus on the tech company's business prospects in the field of artificial intelligence (AI). In addition, the company completed the sale of its weakening microlens and optics division in January. The chip supplier aims to become more profitable as a result.

Hauck Aufhäuser Investment Banking raised its price target for Süss Microtec from 58 to 63 euros on Friday and maintained its "Buy" rating. The strength and length of the AI boom are still underestimated, wrote analyst Tim Wunderlich in a study. The expert also raised his operating earnings estimates by up to 9 percent until 2026.

Last week, the private bank Berenberg left its rating for Süss Microtec at "Buy" with a target price of 71 euros. The investment bank's analysts declared the shares of the equipment manufacturer for the chip industry to be one of their favorites among the mid-cap boron stocks in 2024. The company is the market leader in a niche, wrote analyst Nicole Winkler in the study. There are various growth drivers and profitability is likely to improve.

The still very strong business performance of the US chip company Nvidia also appears to be having a positive impact on the rest of the industry and pulling German chip stocks upwards.

Nvidia continues to be the measure of all things in the field of AI and recently impressed investors once again with its quarterly figures and outlook. Thanks to the sustained surge on the stock market, the semiconductor manufacturer's market capitalization reached the USD 3 trillion mark last week - only the third US company after Apple and Microsoft to do so. If the price trend continues, it would only be a matter of time before Nvidia overtakes the other two heavyweights on the stock market.

In the long term, Süss Microtec's growth in value is similarly rapid to that of the US giant. Compared to five years ago, the semiconductor supplier has increased its Borsen value more than sixfold.

Since the interim low in October 2023 alone, the share price has risen by around 300%. In 2024, the share price gains amounted to around 120 percent. During this period, this means the top position in the small cap index SDax./lfi/mis/men