FRANKFURT (dpa-AFX) - A positive analyst comment from Oddo BHF drove Aixtron shares to a high since 2001 on Tuesday. At its peak, the share price rose to 39.16 euros. Most recently, the shares were in second place in the MDax, up 6.5 percent to 38.41 euros. According to Oddo-BHF analyst Martin Marandon-Carlhian, many investors underestimate the growth potential of the mechanical engineering company for the semiconductor industry.

This applies in particular to the business with systems for the production of wafers made of gallium nitride (GaN), an important material for power electronics, the expert wrote. Chip companies are increasingly relying on GaN technology. The semiconductor material GaN - similar to silicon carbide (SiC) - allows energy savings and significantly faster charging compared to pure silicon chips. Compared to SiC, however, GaN is even more efficient. GaN will therefore replace electronic components made of silicon and even SiC in many areas of power electronics. This development is currently accelerating in smartphones. This is likely to be the case for cars from 2025.

Against this backdrop, the Oddo analyst raised the price target from EUR 45 to EUR 50 and confirmed his "outperform" rating. Only analyst Olivia Honychurch from investment house Jefferies is currently more optimistic. Just last week, she called Aixtron a "top pick in the European semiconductor sector for 2024". Her price target is 52 euros. Unlike some pessimists, she expects the SiC business to grow by 20 percent in 2024 thanks to many orders from new customers. Honychurch also considers the GaN segment to be underestimated.

With the current price gains, Aixtron shares have extended their annual increase to 42 percent. This marks the fifth consecutive year of profits. At the end of 2018, the shares were still trading at 8.4 euros.

Tech shares were more in demand across Europe on Tuesday. The Stoxx Europe 600 Technology was the second-best index in the sector tableau with a gain of half a percent. Shares in chip industry equipment supplier ASML rose by 1.2 per cent to top the EuroStoxx 50, the leading index in the eurozone, while shares in chip company Infineon gained 0.9 per cent./mis/edh/stk