8Mon·

Weak demand in the semiconductor sector:

Now Tokyo Electron is following suit $8035 (+2.15%) ASML $ASML (+2.14%) which also slumped after its last earnings call. The reason for this is the reluctance of its customers due to the tense geopolitical situation. The P/E ratio is now well below 20 and represents a very attractive entry point in the long term. In the short term, technology leaders such as Tokyo Electron and ASML could remain volatile, but in the long term there is no way around them.

I remain invested and will continue to add to my positions.

34 Comments

Tenbagger2024@Tenbagger2024

8Mon

I don't think it makes much difference in the long term whether I take Tokyo Electron or ASML into my portfolio.
Because there is hardly any technical difference between the two performances.
I also wrote a post about this once

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PikaPika0105@PikaPika0105

8Mon

@Tenbagger2024 simply both. A little more diversification. They control the high-end sector and are indirectly dependent on each other. Tokyo Electron is even cheaper and also pays more dividends for those who are interested.

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Tenbagger2024@Tenbagger2024

8Mon

@PikaPika0105
You can also take both into the depot. But you will find that both run pretty much in parallel.
I also have both in my portfolio

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PikaPika0105@PikaPika0105

8Mon

@Tenbagger2024 if both run well in parallel, I am satisfied

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Tenbagger2024@Tenbagger2024

8Mon

Think $AIXA should rise again as a plant manufacturer.

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PikaPika0105@PikaPika0105

8Mon

@Tenbagger2024 What makes them special? So where are they leaders? Tokyo Electron and ASML are characterized by their dominance and strong moat in their core technologies.

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Tenbagger2024@Tenbagger2024

8Mon

@PikaPika0105
I once published an interesting post about Aixtron

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PikaPika0105@PikaPika0105

8Mon

@Tenbagger2024 Yes, I remember that was interesting. However, I think that different markets are being addressed here. At ASML and TEL it's more the chips in the cutting edge area with <5nm. At Aixtron, it's about the larger, more mature power and automotive chips, which are of course also important.

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Venos@Venos

8Mon

Now; halted by the exchange says Trade Republic….😬

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PikaPika0105@PikaPika0105

8Mon

@Venos This usually happens in Tokyo when stocks are dropping a lot or too fast.

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Deleted User

8Mon

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PikaPika0105@PikaPika0105

8Mon

@Shiya I have to stop myself from buying immediately 😂 I'll wait and see what the US stock market says today and the price tomorrow.

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Smudo@Smudeo

8Mon

@Shiya The ATH 240 is now available cheaply anyway

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Deleted User

8Mon

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PikaPika0105@PikaPika0105

8Mon

@Shiya I don't have a money bin now, but I always have the opportunity to organize one. If I find something exciting, I always have something not so exciting that can be liquidated. Or I simply redirect the monthly income. So I think you can be flexible, even without, let's say, a direct cash reserve.

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PikaPika0105@PikaPika0105

8Mon

@Shiya have bought more lol

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Deleted User

8Mon

Comment was deleted

PikaPika0105@PikaPika0105

8Mon

@Shiya I bought Tokyo Electron after the -18 in two days and some ASML at 600. Yes, RKLB is really difficult today.....

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Deleted User

8Mon

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PikaPika0105@PikaPika0105

8Mon

@Shiya probably had the right feeling. Let's see what happens over the next few days. But so ridiculous again that TEL slumps by almost 20% just because demand is lower in the short term, especially from China, while all growth areas for <3nm and advanced packaging continue to grow. The decline is only in the older systems. So it would actually be logical to look ahead and say yes, the future fields are continuing to grow well and that is the turnover of tomorrow. NO, instead mass panic sell everything quickly quickly quickly

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Deleted User

8Mon

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Deleted User

8Mon

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PikaPika0105@PikaPika0105

8Mon

@Memo0606 down again nicely today, P/E ratio should be 15 or so. Interesting in the long term.

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Deleted User

8Mon

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Tenbagger2024@Tenbagger2024

8Mon

@Memo0606
It was clear that Tokyo would also go down after ASML.
Actually, we should have gone short

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PikaPika0105@PikaPika0105

8Mon

@Memo0606 The main reason was weak demand from China and weak demand for old, mature chips. This did not come as a complete surprise after ASML. In the long term, however, EVERYTHING speaks in favor of Tokyo Electron. They continue to expand their market position in the high-end segment. The semiconductor market is also growing structurally, albeit cyclically, with a number of trends (AI, data centers, electrification, automation.....) that continue to fuel growth. The reaction was ridiculously strong and completely short-term. It could of course go further down for now, but success is inevitable.

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Deleted User

8Mon

Comment was deleted

PikaPika0105@PikaPika0105

8Mon

@Memo0606 So at the moment we're about 50% down from the ATH, so I think it's a pretty good moment. Anything between €120-140 is great.

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