Zhi Tong Cai Jing·2025-09-23 13:16Group 1: Market Forecast Adjustments - Morgan Stanley revised the 2026 global Wafer Fab Equipment (WFE) market size forecast from $122 billion (5% YoY growth) to $128 billion (10% YoY growth), primarily driven by the storage equipment sector [2] - The forecast for DRAM-related WFE was increased to $34.9 billion, nearing the optimistic expectation of $35 billion, while NAND flash-related WFE was raised to $13.8 billion, slightly below the $15 billion optimistic forecast [2] Group 2: Company Ratings and Predictions - Applied Materials' rating was upgraded to "Overweight" with a target price increase from $172 to $209, reflecting a significant valuation discount compared to Lam Research [3] - Lam Research's rating was raised to "Equal-weight" with a target price increase from $92 to $125, acknowledging a recovery in the storage market and an increase in 2026 EPS forecast from $5.12 to $5.43 [4] - KLA's rating was maintained at "Equal-weight," with a target price increase, but concerns were raised about its high valuation compared to peers, despite an increase in 2026 EPS forecast from $37.11 to $39.03 [5]