White House economic and national security officials will meet with leaders of the semiconductor and auto industry on April 12 to talk about the affect semiconductor chip shortages will have on America, according to reports last week.
Here is a group of semiconductor companies to watch this week, along with their performance on the day that report came out.
Nvidia — Up 10.18%
Shares of Nvidia (NVDA) have gained 5.12% ytd as the company pushes through the chip shortage. Nvidia’s target was upgraded by J.P. Morgan after their earnings beat estimates in February. Nvidia was rated as a “B” Buy.
Intel — Up 4.08%
Intel (INTC) announced plans in March to compete with others, like TSMC, for the manufacturing of chips, with a $20 billion creation of two factories in Arizona. The once-leading chipmaker is attempting to regain favor and dominance in the U.S.
Intel fans should be happy with CEO Pat Gelsinger’s aggressive spending to put the company back on better long-term ground. Intel was rated a “B+” Buy.
AMD — Up 6.39%
AMD (AMD) was increased to “outperform” by Northland Capital Markets. AMD was rated as a “B” Buy.
TSMC — Up 12.99%
Taiwan Semiconductor Manufacturing (TSM) wants to invest $100 billion over the next few years to increase its chip making process. Shares of the company are up by 11.7% ytd. TSM was rated as an “A+” Buy.
Qualcomm — Up 8.26%
U.S, antitrust officials have removed their lawsuit against Qualcomm (QCOM) that alleged the firm had abused its position in chips inside smartphones.
The FTC said last week it won’t push for a Supreme Court review of an appeals court ruling last year that found Qualcomm’s practices were not anti-competitive. Qualcomm was rated as an “A-” Buy.
Broadcom — Up 3.09%
Broadcom (AVGO) shares went down last week after a report said Amazon (AMZN) is developing on its own chips for its networks, which might reduce its reliance on the semiconductor giant. Broadcom was rated as an “A” Buy
Micron Technology — Up 9.89%
The CEO of Micron Technology (MU), whose shares increased 23% so far this year, said that Micron is excited for their markets, which are showing great growth. Everything from smartphones and PCs to data centers and autos is in strong demand. Micron had a better-than-expected 2nd quarter adjusted earnings on 30% greater revenue. Micron was rated as a “C+” Hold.
Texas Instruments — Up 7.60%
Texas Instruments (TXN) was upgraded to Outperform at Raymond James with a price target of $220 in February. The company beat its Q4 earnings estimates in January but has been pretty flat since this report. Shares of Texas Instruments have gained 3.7% ytd. Texas Instruments was rated as an “A” Buy.
Author: Scott Dowdy