SlideShare a Scribd company logo
By:
www.ProfitableInvestingTips.com
Investing in chip companies should be a
profitable undertaking when the supply
chain is disrupted and demand exceeds
supply. So, why is Intel down when it is
benefitting from a government program to
greatly expand the US domestic chip
sector? The stock is selling for $25 a share
when it sold for $68 a year and a half ago.
Intel is not the only chip maker whose
shares are selling for less.
According to companiesmarketcap.com,
market caps of all of the major chip
makers are down over the last thirty days.
These include TSMC, NVIDIA, Samsung,
Broadcom, ASML, Texas Instruments,
QUALCOMM, Intel, AMD, Analog Devices,
Applied Materials, and Micron Technology.
Can chip investments be profitable or will
they be sinkholes that swallow your
money?
Are Any Semiconductor Companies
Profitable These Days?
You need to get down to number thirteen
ranked by market cap to find a company
whose market cap has gone up in the last
30 days. SK Hynix, SMIC, Nanya
Technology, Aehr Test Systems, and
Transphorm are the only five companies
out of the top ninety-four to see
improvements in their stock prices and
market caps in the last month as of
October 12, 2022.
By comparison chip makers generally were
profitable in 2021 and a semiconductor
company like NVIDIA is still selling for
more than it did five years ago despite
falling from its 2021 peak. What are the
issues affecting these companies and is
this sector a good place to put your money
going forward?
Global Power Struggle for
Semiconductor Dominance
The latest reason for chip maker stocks to go
down is the ban on advanced chips going to
China. The USA and China are steadily
sliding into a Cold War stance not seen for
decades. China’s support of Russia’s invasion
of Ukraine, its threats regarding invading and
taking over Taiwan, its steady buildup and
modernization of military forces, and its
production of both advanced weapons and
advanced computing technologies have all
been seen as a threat to the US as well as
the EU.
China, like Russia, is reliant on the US and
Europeans as well as Taiwan
Semiconductor and Samsung for the most
advanced chips needed to further its
efforts to achieve global military and high
tech dominance. The chip ban is part of
efforts to forestall Chinese ambitions.
Effects of Chinese Chip Ban on
Semiconductor Companies
Bloomberg reports on the initial effects of the
chip ban on China with US suppliers
starting to pull out staff at mainland
Chinese chip companies. At Yangtze
Memory Technologies Co. three US
companies are getting ready to pull their
employees and send them home.
These companies are Lam Research, KLA
Corp., and Applied Materials Inc. This
Chinese company is the most advanced in
making memory chips in China and is on
the “unverified list” of 30 organizations that
the US Commerce Department will restrict
from access to American chip technology.
It is unlikely, at least under the current
administration, that these restrictions will
be rolled back. The US views China’s chip
ambitions as a strategic threat in that they
are using this advanced technology to fine
tune their advanced weaponry, model
nuclear weapon blasts for testing, and
pivot from intense surveillance of their own
citizens to surveillance of their citizens
across the globe.
The worst effects of the ban will be felt in
China but US companies with business in
China fell several percent on the news as
well.
What Is the Long Term Outlook for the
Semiconductor Industry?
Semiconductors are integral parts of virtually
every technology and will likely continue
grow in importance over the years and
decades. Thus, the industry is expected to
grow at a steady pace. According to
KPMG, ninety-five percent of the leaders in
the semiconductor industry expect to see
growth of company revenue and two-thirds
expect growth of eleven percent or more.
Almost ninety percent expect to grow their
workforces and increase capital spending. Supply
chain problems and other constraints on
production capacity are the forces holding things
back. More than half of companies believe there
will be chip shortages through the end of 2023. All
this having been said, can chip investments be
profitable? Yes, they can. However, the biggest
companies like Taiwan Semiconductor, Samsung,
and Intel may not be the most profitable largely
because they are big, mature companies.
Smaller chip makers that are targeted at
profitable niches may be better choices. A
major problem in this niche is that
technology advances rapidly and a chip
that is the best of the best today will be old
news tomorrow! And no matter how
advanced the chips are an economic
recession will reduce demand.
For more insights and useful information
about investments and investing, visit
www.ProfitableInvestingTips.com.

More Related Content

Similar to Can Chip Investments Be Profitable?

Samsung Growth Pattern
Samsung Growth PatternSamsung Growth Pattern
Samsung Growth Pattern
Baker Khader Abdallah, PMP
 
China-United States competition and the Chip 4 Alliance
China-United States competition and the Chip 4 AllianceChina-United States competition and the Chip 4 Alliance
China-United States competition and the Chip 4 Alliance
Carlos Alberto Aquino Rodriguez
 
3 d semiconductor packaging
3 d semiconductor packaging3 d semiconductor packaging
3 d semiconductor packaging
Ketaki V
 
Why manufacturing will return to the U.S.
Why manufacturing will return to the U.S.Why manufacturing will return to the U.S.
Why manufacturing will return to the U.S.
Pierre Memheld
 
EDITORS PICK2,374 views Mar 30, 2020,0937 am EDTForbesCoro.docx
EDITORS PICK2,374 views Mar 30, 2020,0937 am EDTForbesCoro.docxEDITORS PICK2,374 views Mar 30, 2020,0937 am EDTForbesCoro.docx
EDITORS PICK2,374 views Mar 30, 2020,0937 am EDTForbesCoro.docx
budabrooks46239
 
The US–China high-tech competition is modernizing American industries: an int...
The US–China high-tech competition is modernizing American industries: an int...The US–China high-tech competition is modernizing American industries: an int...
The US–China high-tech competition is modernizing American industries: an int...
Keith Krach
 
Investing in Chip Makers
Investing in Chip MakersInvesting in Chip Makers
Investing in Chip Makers
InvestingTips
 
Sf Economic Round Table Presentation
Sf Economic Round Table PresentationSf Economic Round Table Presentation
Sf Economic Round Table Presentation
Mike Kay
 
The 1,219% increase shows both profit and the impact of the chip crisis on th...
The 1,219% increase shows both profit and the impact of the chip crisis on th...The 1,219% increase shows both profit and the impact of the chip crisis on th...
The 1,219% increase shows both profit and the impact of the chip crisis on th...
aditi agarwal
 
Chips With Everything
Chips With EverythingChips With Everything
Chips With Everything
Project Goodman
 
The Internet of Things: The next growth engine for the semiconductor industry
The Internet of Things: The next growth engine for the semiconductor industryThe Internet of Things: The next growth engine for the semiconductor industry
The Internet of Things: The next growth engine for the semiconductor industry
PwC
 
Tech Boom - Beginning or End War Room Slides
Tech Boom - Beginning or End War Room SlidesTech Boom - Beginning or End War Room Slides
Tech Boom - Beginning or End War Room Slides
hiddenlevers
 
Intel Corporation ( Intc )
Intel Corporation ( Intc )Intel Corporation ( Intc )
Intel Corporation ( Intc )
Joanna Paulsen
 
The World’s Largest Tech Companies in 2018
The World’s Largest Tech Companies in 2018The World’s Largest Tech Companies in 2018
The World’s Largest Tech Companies in 2018
Thomson Data
 
Worldwide market and trends for electronic manufacturing services
Worldwide market and trends for electronic manufacturing servicesWorldwide market and trends for electronic manufacturing services
Worldwide market and trends for electronic manufacturing services
StudsPlanet.com
 
China: who are the new unicorns?
China: who are the new unicorns?China: who are the new unicorns?
China: who are the new unicorns?
尹思哲
 
Intel Warned Chinese Companies of Chip Flaws Before U.S. Governmen.docx
Intel Warned Chinese Companies of Chip Flaws Before U.S. Governmen.docxIntel Warned Chinese Companies of Chip Flaws Before U.S. Governmen.docx
Intel Warned Chinese Companies of Chip Flaws Before U.S. Governmen.docx
normanibarber20063
 
The worldwide semiconductor industry: Trends and opportunities 2016
The worldwide semiconductor industry: Trends and opportunities 2016 The worldwide semiconductor industry: Trends and opportunities 2016
The worldwide semiconductor industry: Trends and opportunities 2016
The Broker Forum
 
The Economist May 16th 2020 591The 2010s were not a ha.docx
The Economist May 16th 2020 591The 2010s were not a ha.docxThe Economist May 16th 2020 591The 2010s were not a ha.docx
The Economist May 16th 2020 591The 2010s were not a ha.docx
rhetttrevannion
 
The Economist May 16th 2020 591The 2010s were not a ha.docx
The Economist May 16th 2020 591The 2010s were not a ha.docxThe Economist May 16th 2020 591The 2010s were not a ha.docx
The Economist May 16th 2020 591The 2010s were not a ha.docx
lillie234567
 

Similar to Can Chip Investments Be Profitable? (20)

Samsung Growth Pattern
Samsung Growth PatternSamsung Growth Pattern
Samsung Growth Pattern
 
China-United States competition and the Chip 4 Alliance
China-United States competition and the Chip 4 AllianceChina-United States competition and the Chip 4 Alliance
China-United States competition and the Chip 4 Alliance
 
3 d semiconductor packaging
3 d semiconductor packaging3 d semiconductor packaging
3 d semiconductor packaging
 
Why manufacturing will return to the U.S.
Why manufacturing will return to the U.S.Why manufacturing will return to the U.S.
Why manufacturing will return to the U.S.
 
EDITORS PICK2,374 views Mar 30, 2020,0937 am EDTForbesCoro.docx
EDITORS PICK2,374 views Mar 30, 2020,0937 am EDTForbesCoro.docxEDITORS PICK2,374 views Mar 30, 2020,0937 am EDTForbesCoro.docx
EDITORS PICK2,374 views Mar 30, 2020,0937 am EDTForbesCoro.docx
 
The US–China high-tech competition is modernizing American industries: an int...
The US–China high-tech competition is modernizing American industries: an int...The US–China high-tech competition is modernizing American industries: an int...
The US–China high-tech competition is modernizing American industries: an int...
 
Investing in Chip Makers
Investing in Chip MakersInvesting in Chip Makers
Investing in Chip Makers
 
Sf Economic Round Table Presentation
Sf Economic Round Table PresentationSf Economic Round Table Presentation
Sf Economic Round Table Presentation
 
The 1,219% increase shows both profit and the impact of the chip crisis on th...
The 1,219% increase shows both profit and the impact of the chip crisis on th...The 1,219% increase shows both profit and the impact of the chip crisis on th...
The 1,219% increase shows both profit and the impact of the chip crisis on th...
 
Chips With Everything
Chips With EverythingChips With Everything
Chips With Everything
 
The Internet of Things: The next growth engine for the semiconductor industry
The Internet of Things: The next growth engine for the semiconductor industryThe Internet of Things: The next growth engine for the semiconductor industry
The Internet of Things: The next growth engine for the semiconductor industry
 
Tech Boom - Beginning or End War Room Slides
Tech Boom - Beginning or End War Room SlidesTech Boom - Beginning or End War Room Slides
Tech Boom - Beginning or End War Room Slides
 
Intel Corporation ( Intc )
Intel Corporation ( Intc )Intel Corporation ( Intc )
Intel Corporation ( Intc )
 
The World’s Largest Tech Companies in 2018
The World’s Largest Tech Companies in 2018The World’s Largest Tech Companies in 2018
The World’s Largest Tech Companies in 2018
 
Worldwide market and trends for electronic manufacturing services
Worldwide market and trends for electronic manufacturing servicesWorldwide market and trends for electronic manufacturing services
Worldwide market and trends for electronic manufacturing services
 
China: who are the new unicorns?
China: who are the new unicorns?China: who are the new unicorns?
China: who are the new unicorns?
 
Intel Warned Chinese Companies of Chip Flaws Before U.S. Governmen.docx
Intel Warned Chinese Companies of Chip Flaws Before U.S. Governmen.docxIntel Warned Chinese Companies of Chip Flaws Before U.S. Governmen.docx
Intel Warned Chinese Companies of Chip Flaws Before U.S. Governmen.docx
 
The worldwide semiconductor industry: Trends and opportunities 2016
The worldwide semiconductor industry: Trends and opportunities 2016 The worldwide semiconductor industry: Trends and opportunities 2016
The worldwide semiconductor industry: Trends and opportunities 2016
 
The Economist May 16th 2020 591The 2010s were not a ha.docx
The Economist May 16th 2020 591The 2010s were not a ha.docxThe Economist May 16th 2020 591The 2010s were not a ha.docx
The Economist May 16th 2020 591The 2010s were not a ha.docx
 
The Economist May 16th 2020 591The 2010s were not a ha.docx
The Economist May 16th 2020 591The 2010s were not a ha.docxThe Economist May 16th 2020 591The 2010s were not a ha.docx
The Economist May 16th 2020 591The 2010s were not a ha.docx
 

More from InvestingTips

When to Buy and When to Sell Bitcoin
When to Buy and When to Sell BitcoinWhen to Buy and When to Sell Bitcoin
When to Buy and When to Sell Bitcoin
InvestingTips
 
Dangers of Investment Leverage
Dangers of Investment LeverageDangers of Investment Leverage
Dangers of Investment Leverage
InvestingTips
 
Are Private Digital Tokens On Their Way Out?
Are Private Digital Tokens On Their Way Out?Are Private Digital Tokens On Their Way Out?
Are Private Digital Tokens On Their Way Out?
InvestingTips
 
When Should Investors Trade Options?
When Should Investors Trade Options?When Should Investors Trade Options?
When Should Investors Trade Options?
InvestingTips
 
Will Northrup Grumman Go Into Commercial Aviation?
Will Northrup Grumman Go Into Commercial Aviation?Will Northrup Grumman Go Into Commercial Aviation?
Will Northrup Grumman Go Into Commercial Aviation?
InvestingTips
 
How Would a Crypto Privacy Pool Work?
How Would a Crypto Privacy Pool Work?How Would a Crypto Privacy Pool Work?
How Would a Crypto Privacy Pool Work?
InvestingTips
 
How CFTC Rules Protected a Crypto Business
How CFTC Rules Protected a Crypto BusinessHow CFTC Rules Protected a Crypto Business
How CFTC Rules Protected a Crypto Business
InvestingTips
 
Blockchain Tech in the Wake of Crypto Winter
Blockchain Tech in the Wake of Crypto WinterBlockchain Tech in the Wake of Crypto Winter
Blockchain Tech in the Wake of Crypto Winter
InvestingTips
 
Economic and Investment Risks for 2024
Economic and Investment Risks for 2024Economic and Investment Risks for 2024
Economic and Investment Risks for 2024
InvestingTips
 
Can Stablecoins Be Self-regulating?
Can Stablecoins Be Self-regulating?Can Stablecoins Be Self-regulating?
Can Stablecoins Be Self-regulating?
InvestingTips
 
Bitcoin Viability As a Long Term Investment
Bitcoin Viability As a Long Term InvestmentBitcoin Viability As a Long Term Investment
Bitcoin Viability As a Long Term Investment
InvestingTips
 
Bitcoin Versus NFTs
Bitcoin Versus NFTsBitcoin Versus NFTs
Bitcoin Versus NFTs
InvestingTips
 
Would a Digital Dollar Hurt Banks?
Would a Digital Dollar Hurt Banks?Would a Digital Dollar Hurt Banks?
Would a Digital Dollar Hurt Banks?
InvestingTips
 
Will 2024 Be a Good Year for Crypto?
Will 2024 Be a Good Year for Crypto?Will 2024 Be a Good Year for Crypto?
Will 2024 Be a Good Year for Crypto?
InvestingTips
 
Should You Diversify Your Crypto Investments?
Should You Diversify Your Crypto Investments?Should You Diversify Your Crypto Investments?
Should You Diversify Your Crypto Investments?
InvestingTips
 
Obligations of a Crypto Business
Obligations of a Crypto BusinessObligations of a Crypto Business
Obligations of a Crypto Business
InvestingTips
 
Does Crypto Finance Terrorism?
Does Crypto Finance Terrorism?Does Crypto Finance Terrorism?
Does Crypto Finance Terrorism?
InvestingTips
 
Are Smart Contracts Legal?
Are Smart Contracts Legal?Are Smart Contracts Legal?
Are Smart Contracts Legal?
InvestingTips
 
Can the Law Fix Crypto’s Problems?
Can the Law Fix Crypto’s Problems?Can the Law Fix Crypto’s Problems?
Can the Law Fix Crypto’s Problems?
InvestingTips
 
Apple as a Model for Crypto’s Future
Apple as a Model for Crypto’s FutureApple as a Model for Crypto’s Future
Apple as a Model for Crypto’s Future
InvestingTips
 

More from InvestingTips (20)

When to Buy and When to Sell Bitcoin
When to Buy and When to Sell BitcoinWhen to Buy and When to Sell Bitcoin
When to Buy and When to Sell Bitcoin
 
Dangers of Investment Leverage
Dangers of Investment LeverageDangers of Investment Leverage
Dangers of Investment Leverage
 
Are Private Digital Tokens On Their Way Out?
Are Private Digital Tokens On Their Way Out?Are Private Digital Tokens On Their Way Out?
Are Private Digital Tokens On Their Way Out?
 
When Should Investors Trade Options?
When Should Investors Trade Options?When Should Investors Trade Options?
When Should Investors Trade Options?
 
Will Northrup Grumman Go Into Commercial Aviation?
Will Northrup Grumman Go Into Commercial Aviation?Will Northrup Grumman Go Into Commercial Aviation?
Will Northrup Grumman Go Into Commercial Aviation?
 
How Would a Crypto Privacy Pool Work?
How Would a Crypto Privacy Pool Work?How Would a Crypto Privacy Pool Work?
How Would a Crypto Privacy Pool Work?
 
How CFTC Rules Protected a Crypto Business
How CFTC Rules Protected a Crypto BusinessHow CFTC Rules Protected a Crypto Business
How CFTC Rules Protected a Crypto Business
 
Blockchain Tech in the Wake of Crypto Winter
Blockchain Tech in the Wake of Crypto WinterBlockchain Tech in the Wake of Crypto Winter
Blockchain Tech in the Wake of Crypto Winter
 
Economic and Investment Risks for 2024
Economic and Investment Risks for 2024Economic and Investment Risks for 2024
Economic and Investment Risks for 2024
 
Can Stablecoins Be Self-regulating?
Can Stablecoins Be Self-regulating?Can Stablecoins Be Self-regulating?
Can Stablecoins Be Self-regulating?
 
Bitcoin Viability As a Long Term Investment
Bitcoin Viability As a Long Term InvestmentBitcoin Viability As a Long Term Investment
Bitcoin Viability As a Long Term Investment
 
Bitcoin Versus NFTs
Bitcoin Versus NFTsBitcoin Versus NFTs
Bitcoin Versus NFTs
 
Would a Digital Dollar Hurt Banks?
Would a Digital Dollar Hurt Banks?Would a Digital Dollar Hurt Banks?
Would a Digital Dollar Hurt Banks?
 
Will 2024 Be a Good Year for Crypto?
Will 2024 Be a Good Year for Crypto?Will 2024 Be a Good Year for Crypto?
Will 2024 Be a Good Year for Crypto?
 
Should You Diversify Your Crypto Investments?
Should You Diversify Your Crypto Investments?Should You Diversify Your Crypto Investments?
Should You Diversify Your Crypto Investments?
 
Obligations of a Crypto Business
Obligations of a Crypto BusinessObligations of a Crypto Business
Obligations of a Crypto Business
 
Does Crypto Finance Terrorism?
Does Crypto Finance Terrorism?Does Crypto Finance Terrorism?
Does Crypto Finance Terrorism?
 
Are Smart Contracts Legal?
Are Smart Contracts Legal?Are Smart Contracts Legal?
Are Smart Contracts Legal?
 
Can the Law Fix Crypto’s Problems?
Can the Law Fix Crypto’s Problems?Can the Law Fix Crypto’s Problems?
Can the Law Fix Crypto’s Problems?
 
Apple as a Model for Crypto’s Future
Apple as a Model for Crypto’s FutureApple as a Model for Crypto’s Future
Apple as a Model for Crypto’s Future
 

Recently uploaded

Essential Tools for Modern PR Business .pptx
Essential Tools for Modern PR Business .pptxEssential Tools for Modern PR Business .pptx
Essential Tools for Modern PR Business .pptx
Pragencyuk
 
Your Go-To Press Release Newswire for Maximum Visibility and Impact.pdf
Your Go-To Press Release Newswire for Maximum Visibility and Impact.pdfYour Go-To Press Release Newswire for Maximum Visibility and Impact.pdf
Your Go-To Press Release Newswire for Maximum Visibility and Impact.pdf
PressReleasePower4
 
2015pmkemenhub163.pdf 2015pmkemenhub163.pdf
2015pmkemenhub163.pdf 2015pmkemenhub163.pdf2015pmkemenhub163.pdf 2015pmkemenhub163.pdf
2015pmkemenhub163.pdf 2015pmkemenhub163.pdf
CIkumparan
 
The Biggest Threat to Western Civilization _ Andy Blumenthal _ The Blogs.pdf
The Biggest Threat to Western Civilization _ Andy Blumenthal _ The Blogs.pdfThe Biggest Threat to Western Civilization _ Andy Blumenthal _ The Blogs.pdf
The Biggest Threat to Western Civilization _ Andy Blumenthal _ The Blogs.pdf
Andy (Avraham) Blumenthal
 
Howard Fineman, Veteran Political Journalist and TV Pundit, Dies at 75
Howard Fineman, Veteran Political Journalist and TV Pundit, Dies at 75Howard Fineman, Veteran Political Journalist and TV Pundit, Dies at 75
Howard Fineman, Veteran Political Journalist and TV Pundit, Dies at 75
LUMINATIVE MEDIA/PROJECT COUNSEL MEDIA GROUP
 
在线办理(latrobe毕业证书)拉筹伯大学毕业证Offer一模一样
在线办理(latrobe毕业证书)拉筹伯大学毕业证Offer一模一样在线办理(latrobe毕业证书)拉筹伯大学毕业证Offer一模一样
在线办理(latrobe毕业证书)拉筹伯大学毕业证Offer一模一样
ckn2izdm
 
MAGNA CARTA (minimum 40 characters required)
MAGNA CARTA (minimum 40 characters required)MAGNA CARTA (minimum 40 characters required)
MAGNA CARTA (minimum 40 characters required)
Filippo64
 
EED - The Container Port PERFORMANCE INDEX 2023
EED - The Container Port PERFORMANCE INDEX 2023EED - The Container Port PERFORMANCE INDEX 2023
EED - The Container Port PERFORMANCE INDEX 2023
El Estrecho Digital
 
Acolyte Episodes review (TV series)..pdf
Acolyte Episodes review (TV series)..pdfAcolyte Episodes review (TV series)..pdf
Acolyte Episodes review (TV series)..pdf
46adnanshahzad
 
Gabriel Whitley's Motion Summary Judgment
Gabriel Whitley's Motion Summary JudgmentGabriel Whitley's Motion Summary Judgment
Gabriel Whitley's Motion Summary Judgment
Abdul-Hakim Shabazz
 
Youngest c m in India- Pema Khandu Biography
Youngest c m in India- Pema Khandu BiographyYoungest c m in India- Pema Khandu Biography
Youngest c m in India- Pema Khandu Biography
VoterMood
 

Recently uploaded (11)

Essential Tools for Modern PR Business .pptx
Essential Tools for Modern PR Business .pptxEssential Tools for Modern PR Business .pptx
Essential Tools for Modern PR Business .pptx
 
Your Go-To Press Release Newswire for Maximum Visibility and Impact.pdf
Your Go-To Press Release Newswire for Maximum Visibility and Impact.pdfYour Go-To Press Release Newswire for Maximum Visibility and Impact.pdf
Your Go-To Press Release Newswire for Maximum Visibility and Impact.pdf
 
2015pmkemenhub163.pdf 2015pmkemenhub163.pdf
2015pmkemenhub163.pdf 2015pmkemenhub163.pdf2015pmkemenhub163.pdf 2015pmkemenhub163.pdf
2015pmkemenhub163.pdf 2015pmkemenhub163.pdf
 
The Biggest Threat to Western Civilization _ Andy Blumenthal _ The Blogs.pdf
The Biggest Threat to Western Civilization _ Andy Blumenthal _ The Blogs.pdfThe Biggest Threat to Western Civilization _ Andy Blumenthal _ The Blogs.pdf
The Biggest Threat to Western Civilization _ Andy Blumenthal _ The Blogs.pdf
 
Howard Fineman, Veteran Political Journalist and TV Pundit, Dies at 75
Howard Fineman, Veteran Political Journalist and TV Pundit, Dies at 75Howard Fineman, Veteran Political Journalist and TV Pundit, Dies at 75
Howard Fineman, Veteran Political Journalist and TV Pundit, Dies at 75
 
在线办理(latrobe毕业证书)拉筹伯大学毕业证Offer一模一样
在线办理(latrobe毕业证书)拉筹伯大学毕业证Offer一模一样在线办理(latrobe毕业证书)拉筹伯大学毕业证Offer一模一样
在线办理(latrobe毕业证书)拉筹伯大学毕业证Offer一模一样
 
MAGNA CARTA (minimum 40 characters required)
MAGNA CARTA (minimum 40 characters required)MAGNA CARTA (minimum 40 characters required)
MAGNA CARTA (minimum 40 characters required)
 
EED - The Container Port PERFORMANCE INDEX 2023
EED - The Container Port PERFORMANCE INDEX 2023EED - The Container Port PERFORMANCE INDEX 2023
EED - The Container Port PERFORMANCE INDEX 2023
 
Acolyte Episodes review (TV series)..pdf
Acolyte Episodes review (TV series)..pdfAcolyte Episodes review (TV series)..pdf
Acolyte Episodes review (TV series)..pdf
 
Gabriel Whitley's Motion Summary Judgment
Gabriel Whitley's Motion Summary JudgmentGabriel Whitley's Motion Summary Judgment
Gabriel Whitley's Motion Summary Judgment
 
Youngest c m in India- Pema Khandu Biography
Youngest c m in India- Pema Khandu BiographyYoungest c m in India- Pema Khandu Biography
Youngest c m in India- Pema Khandu Biography
 

Can Chip Investments Be Profitable?

  • 2. Investing in chip companies should be a profitable undertaking when the supply chain is disrupted and demand exceeds supply. So, why is Intel down when it is benefitting from a government program to greatly expand the US domestic chip sector? The stock is selling for $25 a share when it sold for $68 a year and a half ago. Intel is not the only chip maker whose shares are selling for less.
  • 3. According to companiesmarketcap.com, market caps of all of the major chip makers are down over the last thirty days. These include TSMC, NVIDIA, Samsung, Broadcom, ASML, Texas Instruments, QUALCOMM, Intel, AMD, Analog Devices, Applied Materials, and Micron Technology. Can chip investments be profitable or will they be sinkholes that swallow your money?
  • 4. Are Any Semiconductor Companies Profitable These Days?
  • 5. You need to get down to number thirteen ranked by market cap to find a company whose market cap has gone up in the last 30 days. SK Hynix, SMIC, Nanya Technology, Aehr Test Systems, and Transphorm are the only five companies out of the top ninety-four to see improvements in their stock prices and market caps in the last month as of October 12, 2022.
  • 6. By comparison chip makers generally were profitable in 2021 and a semiconductor company like NVIDIA is still selling for more than it did five years ago despite falling from its 2021 peak. What are the issues affecting these companies and is this sector a good place to put your money going forward?
  • 7.
  • 8. Global Power Struggle for Semiconductor Dominance
  • 9. The latest reason for chip maker stocks to go down is the ban on advanced chips going to China. The USA and China are steadily sliding into a Cold War stance not seen for decades. China’s support of Russia’s invasion of Ukraine, its threats regarding invading and taking over Taiwan, its steady buildup and modernization of military forces, and its production of both advanced weapons and advanced computing technologies have all been seen as a threat to the US as well as the EU.
  • 10. China, like Russia, is reliant on the US and Europeans as well as Taiwan Semiconductor and Samsung for the most advanced chips needed to further its efforts to achieve global military and high tech dominance. The chip ban is part of efforts to forestall Chinese ambitions.
  • 11. Effects of Chinese Chip Ban on Semiconductor Companies
  • 12. Bloomberg reports on the initial effects of the chip ban on China with US suppliers starting to pull out staff at mainland Chinese chip companies. At Yangtze Memory Technologies Co. three US companies are getting ready to pull their employees and send them home.
  • 13. These companies are Lam Research, KLA Corp., and Applied Materials Inc. This Chinese company is the most advanced in making memory chips in China and is on the “unverified list” of 30 organizations that the US Commerce Department will restrict from access to American chip technology.
  • 14. It is unlikely, at least under the current administration, that these restrictions will be rolled back. The US views China’s chip ambitions as a strategic threat in that they are using this advanced technology to fine tune their advanced weaponry, model nuclear weapon blasts for testing, and pivot from intense surveillance of their own citizens to surveillance of their citizens across the globe.
  • 15. The worst effects of the ban will be felt in China but US companies with business in China fell several percent on the news as well.
  • 16. What Is the Long Term Outlook for the Semiconductor Industry?
  • 17. Semiconductors are integral parts of virtually every technology and will likely continue grow in importance over the years and decades. Thus, the industry is expected to grow at a steady pace. According to KPMG, ninety-five percent of the leaders in the semiconductor industry expect to see growth of company revenue and two-thirds expect growth of eleven percent or more.
  • 18. Almost ninety percent expect to grow their workforces and increase capital spending. Supply chain problems and other constraints on production capacity are the forces holding things back. More than half of companies believe there will be chip shortages through the end of 2023. All this having been said, can chip investments be profitable? Yes, they can. However, the biggest companies like Taiwan Semiconductor, Samsung, and Intel may not be the most profitable largely because they are big, mature companies.
  • 19. Smaller chip makers that are targeted at profitable niches may be better choices. A major problem in this niche is that technology advances rapidly and a chip that is the best of the best today will be old news tomorrow! And no matter how advanced the chips are an economic recession will reduce demand.
  • 20. For more insights and useful information about investments and investing, visit www.ProfitableInvestingTips.com.