Amkor Technology (AMKR) Hits 25-Year High on Rosy Prospects

We recently published 10 Stocks With Easy Double-Digit Gains. Amkor Technology Inc. (NASDAQ:AMKR) was one of the top performers on Monday.

Amkor Technology rallied to a 25-year high on Monday, as investors took heart from Needham & Company’s more bullish stance for its stock, having upgraded its price target by 35 percent.

At intra-day trading, the stock jumped to its highest price of $48.41 before trimming a few cents to finish the day just up by 12.14 percent at $48.13 apiece. The last time it touched the said level was in the year 2000.

The jump followed Needham’s price target bump for Amkor Technology Inc.’s (NASDAQ:AMKR) stock to $50 from $37 previously, while maintaining its “buy” recommendation, saying that Amkor Technology Inc. (NASDAQ:AMKR) is set to become one of the largest Chip on Wafer on Substrate (CoWoS) leaders in next few years amid the growing demand for CoWoS.

In particular, the investment firm expects that the booming demand for chips from the AI sector, as well as an expected transition to Chip on Polymer on Substrate (CoPoS), could push Taiwan Semiconductor Manufacturing Co Ltd. to outsource its excess CoWoS demand to Amkor Technology Inc. (NASDAQ:AMKR) and ASE Technology Holding Co Ltd.

Taiwan Semiconductor is one of the largest chipmakers globally and produces semiconductors for some of the largest technology giants in Silicon Valley.

While we acknowledge the potential of AMKR as an investment, our conviction lies in the belief that some AI stocks hold greater promise for delivering higher returns and have limited downside risk. If you are looking for an extremely cheap AI stock that is also a major beneficiary of Trump tariffs and onshoring, see our free report on the best short-term AI stock.

READ NEXT: 30 Stocks That Should Double in 3 Years and 11 Hidden AI Stocks to Buy Right Now.

Disclosure: None. This article is originally published at Insider Monkey.