How the tides have changed in a matter of weeks: after a month of silence for tech in February, investors are flocking back to the sector amid falling yields and turmoil in the banking sector. Market watchers are weighing the possibility of a smaller rate hike or even a pause by the US Federal Reserve this week – which should be an impetus for growth sectors like technology. The Nasdaq Composite has gained about 4.8% since March 10, when the collapse of the Silicon Valley Bank reverberated throughout the market. This is larger than the S&P 500’s 2.3% gain over the same period. Tech investor Paul Meeks — a longtime tech bear who hasn’t faltered — is also starting to take an interest in the sector. “I’m getting back into the field after a long time advocating the underweight position in it,” he said in notes to CNBC on Friday. “I actually think in technology, there are some pretty interesting stories, very specific,” added a portfolio manager at Independent Solutions Wealth Management. One aspect of technology that he likes is semiconductors. While U.S. chipmakers such as Nvidia and Broadcom have become favorite targets for investors exposed to the artificial intelligence boom, Meeks prefers European semiconductor names with new products. industrial applications and exposure to car manufacturers. Dutch semiconductor manufacturer ASML is one of his top picks in this area. ASML is the only company in the world capable of making ultraviolet (EUV) machines — the extremely complex machines needed to manufacture the most advanced chips. “It’s the only producer [of EUV machines] basically on planet Earth. And that’s the key technology of the future. So I think they, as we say in the United States, are in the feline position,” Meeks said. Meeks isn’t the only one optimistic about ASML. More than 80% of analysts rate the stock it buys, giving it an average upside potential of 20.8%, according to FactSet data. German software company SAP. The company announced last week that it would divest from survey software company Qualtrics for about $7.7 billion, as part of a $12.5 billion acquisition of Silver Lake and CPP Investments. cash” through a sale and could deploy the money to buy back “a lot of stock” or pay a larger dividend. The company could also be more active in research and development, or in mergers and acquisitions , he said. “Keeping an eye on SAP because this is a godsend for them that can be a really nice blessing, a game changer,” he added.