From Nasdaq: 2024-11-11 09:22:00

DuPont has a rich history in creating specialty chemicals and materials, including cellophane, Teflon, and nylon. After merging with Dow Chemical in 2015 to form DowDuPont, the company split into three public companies: Dow Inc., Corteva Inc., and DuPont de Nemours Inc., focusing on materials sciences, agriculture, and technology-based materials, respectively.

DuPont plays a crucial role in the semiconductor industry by manufacturing key materials such as photomasks, dielectrics, and conductive materials. Their materials are essential for semiconductor manufacturing equipment makers like Lam Research Co. and ASML Holding N.V. The company’s revenue is directly impacted by the artificial intelligence revolution and the surge in GPUs, NAND flash, and ASICs.

The AI boom has directly benefited DuPont, leading to a second consecutive quarter of revenue growth after 10 quarters of decline. The company’s Semiconductor Technologies segment saw a 20% YoY jump in revenues due to rising demand for AI technologies and recovery in consumer electronics. DuPont raised its full-year 2024 revenue guidance to $12.50 billion.

DuPont plans to split into three separate companies once again: New DuPont, Electronics, and Water. New DuPont will focus on automotive, healthcare, safety, and protection products. The Electronics and Water divisions will become separate public companies in a tax-free separation in 2025. DD’s stock is showing a descending ascending triangle breakout pattern with a 13% upside potential according to analysts’ consensus price target.



Read more at Nasdaq:: DuPont Is the Unexpected Benefactor of the AI Boom