{"date":"2026-01-21T00:00","headerImageUrl":"https://structuredproducts-ch.leonteq.com/product-news/product-homepage-banner/vatgroup_jan2026_leonteq-structured-products_product+homepage+banner.jpg","subTitle":"The Quiet Winner of the Chip Boom","windowTitle":"VAT Group","category":"underlying-in-focus","title":"VAT Group","body":"<p>The global semiconductor market is sending a clear signal at the turn of the year: the next investment wave is rolling in. And this one is likely to be larger, longer, and more complex than previous cycles. Key drivers of this momentum are companies such as the world\u2019s leading contract manufacturer TSMC, which has just announced a 2026 investment budget of USD 52 to 56 billion. This corresponds to an increase of up to 37% compared to the previous year, significantly exceeding market expectations. Industry analysts now expect total chip investments to rise by around one fifth this year. A perfect environment for Switzerland\u2019s VAT Group, as the world market leader in high-performance vacuum valves supplies an indispensable key component in almost every semiconductor manufacturing step.<\/p>\n\n<div><generic-chart title=\"VAT Group: Shareprice (in CHF)\"> \n    <chart-line title=\"VAT Group\" path=\"Chart_VAT25.csv\" format=\"date, number\"><\/chart-line> \n    <x-axis type=\"datetime\"><\/x-axis> <\/generic-chart><\/div>\n<footer>Source: Refinitiv, as of January 20, 2026<br />Historical data is not a reliable indicator of future performance.<\/footer>\n\n<h3>Strong year-end results<\/h3>\n<p>How favorable the overall environment currently is for VAT is demonstrated by the recently published figures for the final quarter of 2025. Order intake jumped to CHF 305 million \u2013 an increase of 28% compared to the previous quarter and 14% year-on-year. VAT thus exceeded market forecasts by around one quarter. The corresponding book-to-bill ratio, i.e. the ratio of order intake to revenue, signals a clear upturn at 1.2. Part of this volume is attributable to pull-forward effects of an estimated CHF 30 to 35 million, triggered by price adjustments from January 2026 and anticipated capacity bottlenecks at customers. However, the decisive factor is the structural core of demand. Order intake was driven primarily by investments in advanced logic and memory technologies, as well as by capacity expansions in the wake of massive AI data center investments. Revenue in the fourth quarter amounted to CHF 257 million, on par with the previous quarter and 9% below the prior-year period, but still exceeded consensus estimates. Based on preliminary calculations, the company assumes that the EBITDA margin for the full year will be around 30%. That this figure is not higher is mainly due to negative currency effects. Free cash flow, however, proved extremely robust at more than CHF 225 million. The detailed full-year 2025 results will be published on March 3.<\/p>\n\n<div>\n<generic-chart title=\"Revenue (in CHF Mio.) und Ebitda-Marging (in %)\">\n  <x-axis categories=\"2020,2021,2022,2023,2024,2025\"/>\n      <chart-column title=\"Revenue (in CHF Mio.)\" data=\"692,901,1145,885,942,1073\" format=\"number\"/>\n      <chart-line title=\"Ebitda-Margin (in %)\" data=\"30.4,34.2,35,30.6,31.2,30\" format=\"number\" yAxisRight=\"true\"/>\n<\/generic-chart> \n<\/div>\n<footer>Source: Refinitiv, as of January 2026<br />Historical data is not a reliable indicator of future performance.<\/footer>\n\n<h3>Focus on March 3<\/h3>\n<p>Management has so far refrained from providing concrete guidance for this year and will also announce it in early March. According to analysts, short-term developments are likely to be rather volatile: currency effects and possible catch-up effects from the pre-orders of the last quarter could make the first half of the year turbulent. In the medium term, however, positive signals are increasing. According to company statements, HBM and DRAM capacities for 2026 are already largely fully booked, and investments by memory manufacturers in those vacuum applications relevant to VAT appear to have accelerated further toward the end of 2025. Analysts expect VAT to achieve order growth of around one fifth this year. Looking ahead, the industry is undergoing a structural transformation. AI, automation, and digitalization are likely to sustainably increase demand for computing power. At the same time, geopolitical diversification, government support programs, and technological complexity are creating higher barriers to entry \u2013 an advantage for specialized quality providers like VAT. For the company based in Haag, in the canton of St. Gallen, this means: in a cycle where complexity is paramount, precision components are often just as valuable as the spectacular machines or the ever-faster processors.<\/p>\n\n<h3>A base value, double-digit return potential<\/h3>\n<p>VAT\u2019s share price reacted with another jump following the latest figures and is now gradually targeting the all-time high of CHF 528 from June 2024. The new barrier reverse convertibles would not be affected by a pullback at this level. The product is designed to generate an attractive return even in stagnating markets. In addition, BRCs are traditionally equipped with conditional partial protection. With a maximum maturity of one year, the new barrier reverse convertible on VAT Group offers a coupon of 12.00% p.a. To achieve the maximum return, the Swiss mid-cap may even decline moderately. What matters is that the underlying does not touch the barrier at 59% of the initial level. A soft-callable option in the structure can ensure early redemption of the product.<\/p>\n\n<h3>Leveraged opportunities on both sides<\/h3>\n<p>The recent market reaction has shown that investors are currently \u201chot\u201d on chip stocks. If VAT continues to benefit from high investment levels in the industry, new stock market records could be within reach. Bold traders can position themselves with long products. Overall, a wide variety of leveraged products are available in Leonteq\u2019s range, converting upward price movements into disproportionately high gains. In addition, Warrants, Knock-Out Warrants, and Mini-Futures with a short orientation are also available. These would be suitable, among other things, if the VAT share were to enter a consolidation phase after its sprint \u2013 with a price gain of 27% already recorded this year alone.<\/p>\n\n<h3>Callable Barrier Reverse Convertibles<\/h3>\n<div>  \n    \n    <SavedSearch :allProducts=\"false\" :filter=\"{&quot;countrySpecificTitles&quot;:[],&quot;distanceToBarriers&quot;:[],&quot;underlyings&quot;:[],&quot;maturityRangeKey&quot;:[],&quot;marketVenues&quot;:[],&quot;productTypes&quot;:[],&quot;barrierTypes&quot;:[],&quot;issuers&quot;:[],&quot;omni&quot;:&quot;\\&quot;CH1505583349\\&quot;&quot;,&quot;strikeLevelRanges&quot;:[],&quot;productCategories&quot;:[],&quot;displayColumns&quot;:[&quot;coupon&quot;,&quot;underlying&quot;,&quot;barrierPercentage&quot;,&quot;currency&quot;,&quot;lastTradingDate&quot;,&quot;tenor&quot;,&quot;bidAsk&quot;,&quot;subscriptionEndDate&quot;,&quot;valor&quot;,&quot;documentLinks&quot;],&quot;partner&quot;:&quot;LEONTEQ&quot;,&quot;sortFields&quot;:[{&quot;fieldName&quot;:&quot;snapshot.product.investment.investment_currency&quot;,&quot;sortOrder&quot;:&quot;ASC&quot;}],&quot;productGroups&quot;:[],&quot;conditions&quot;:{&quot;&quot;:true,&quot;-_exists_:snapshot.product.in_subscription&quot;:false,&quot;+snapshot.product.attributes.extended_trading_hours:true&quot;:false,&quot;+snapshot.product.in_subscription:(\\&quot;LEONTEQ\\&quot;)&quot;:false,&quot;+snapshot.product.secondary_market:true&quot;:false},&quot;barrierLevelRanges&quot;:[],&quot;assetClasses&quot;:[],&quot;currencies&quot;:[]}\">\n                <\/SavedSearch>\n  <\/div>\n\n<h3>Leveraged Products on VAT Group<\/h3>\n\n    <div>  \n        \n                                                                                                                                                                                                                                                                            \n            <leverage-saved-search :columns=\"[ 'engine.isin', 'engine.valor', 'Type', 'Direction', 'engine.underlying', 'engine.currency-abbr', 'Strike', 'Leverage', 'Ratio', 'engine.maturity', 'Bid', 'Ask']\" :filter=\"{&quot;leverage&quot;:{&quot;min&quot;:4.295,&quot;max&quot;:25.035},&quot;underlyings&quot;:[&quot;103142035&quot;],&quot;marketVenues&quot;:[&quot;SIX&quot;],&quot;strikeLevelDistance&quot;:{&quot;min&quot;:0.0545,&quot;max&quot;:0.1982},&quot;productTypes&quot;:[&quot;PT_WARRANT&quot;],&quot;conditions&quot;:{&quot;-identification.status:EXPIRED&quot;:true,&quot;+_exists_:price.ask +price.state:(\\&quot;OPEN\\&quot;, \\&quot;CLOSED\\&quot;)&quot;:false,&quot;+_exists_:levels.stopLossLevelAbs&quot;:false,&quot;+priceIndication.extendedTradingHours:true&quot;:false,&quot;+calendar.issueDateTime:[* TO now]&quot;:true},&quot;finalFixingDateMonths&quot;:[&quot;2026-06&quot;]}\" />\n  <\/div>\n    \n<ltq-button color=\"primary\" url=\"https://structuredproducts-ch.leonteq.com/leverage/WvP?language_id=1\" label=\"Discover our leveraged products!\"><\/ltq-button>\n<div>      <p>We look forward to answering all of your questions about our products and how they are traded. Please don't hesitate to get in touch! Phone: <a href=\"tel:+41588001111\">058 800 11 11<\/a>, email <a href=\"mailto:info@leonteq.com\">info@leonteq.com<\/a> or <a href=\"/contact\" title=\"Contact\">contact us here<\/a>.\n<\/p>\n  <\/div>","url":"underlying-vat25","investmentThemeVerticalImageUrl":"https://structuredproducts-ch.leonteq.com/product-news/sidenav-banner/vatgroup_jan2026_leonteq-structured-products_sidenav+banner.jpg","thumbnailUrl":"https://structuredproducts-ch.leonteq.com/product-news/thumbnail/vatgroup_jan2026_leonteq-structured-products_thumbnail.jpg"}