VAT Group

VAT Group dominates a niche most people never see: vacuum valves for semiconductor manufacturing. Founded in 1965, the company supplies precision valves controlling ultra-high vacuum environments where chips are made. This is a critical component - semiconductor fabs can't operate without reliable vacuum systems - in a highly concentrated industry. VAT's 50%+ gross margins come from being one of only 2-3 suppliers worldwide with the precision engineering and quality control that chipmakers require. The semiconductor industry's exponential growth (AI, 5G, IoT driving chip demand) creates sustained tailwinds. VAT's $1B+ revenue proves that in industrial components, dominating a narrow but essential niche for a high-growth end market creates more value than broad diversification.