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Photonics bottlenecks: Why I'm betting on both Aixtron and Riber.

Photonics is usually reduced to lasers, transceivers or optical networks. However, the actual value creation begins much earlier. Before light can transmit data, highly highly specialized semiconductor layers have to be produced in the first place. be produced in the first place. This is precisely where companies such as Aixtron and Riber come into play.


$AIXA (-1,98 %) (Aixtron, Germany) develops MOCVD systems for Metal-Organic Chemical Vapor Deposition (MOCVD). In simple terms, this involves the material layers which are later used in lasers, optical components, power semiconductors or other optoelectronic components, for example.


The focus is on industrial scaling. When new technologies make the step from the laboratory to mass production, it is often precisely these kinds of production tools that are needed.


$ALRIB (-7,5 %) (Riber, France) takes a different approach. The company builds systems for molecular beam epitaxy (Molecular Beam Epitaxy, MBE). This process is slower and much more specialized, but allows for exceptionally precise control of individual material layers.


Such systems are used, for example, for advanced laser structures, quantum dots or other sophisticated photonics applications.


From an investor's perspective, the two stocks differ significantly:


  • Aixtron looks more like the industrial scaling machine of the topic. Larger, more broadly positioned and with several sales markets. (That's why it's also in my wikifolio TechLimits which focuses on acute bottlenecks).


  • Riber is closer to the technological frontier. Smaller, more volatile and more dependent on individual projects. On the other hand, technological breakthroughs can have a much greater impact. (I may add Riber as a more speculative stock to my wikifolio soon NextLimits which addresses future bottlenecks).


The interesting point is that the bottleneck is often not in the finished product, but one level below. If you only look at lasers and networks, you may overlook the companies that have the technological prerequisites for this in the first place.

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#dibs
#wikifolio
#scalelimits

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3 Commentaires

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$ALRIB I also find it very exciting. I have also traded it before. I almost got out at the high. Missed getting back in after the correction. But there will certainly be more to come.
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@Multibagger That's exactly the trap I used to fall into. Get in, get out, wait for the setback. Which didn't come, haha 😅 Today I tend to ask myself whether the bottleneck thesis still applies. If so, that's more important to me than the next high or low. But I take partial profits when 300%, 600% and 900% are reached. Completely rule-based.
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@ScaleLimits the setback came in the case of $ALRIB. So the exit was right. But when it corrected, I had so many other stocks that I thought were even more promising.
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