NXP Semiconductors Action Forum

NXP
$NXPI (-0,23 %) has just announced its quarterly figures.

The earnings per share (EPS) amounted to $3,45 and exceeds expectations of $3.43.

The turnover amounted to $3,25 billion and meets exactly the expectations of $3,25 billion.

Largest European tech stocks by market capitalization

SAP € 259 billion $SAP (-0,16 %)

ASML € 253 billion $ASML (+0,06 %)

ARM Holdings € 160 billion $ARM (-1,28 %)

NXP Semiconductors € 54 billion $NXPI (-0,23 %)

Dassault Systèmes € 44 billion $DSY (-1,51 %)

Infineon € 40 billion $IFX (+2,82 %)

Capgemini € 32 billion $CAP (+0,14 %)

ASM International € 26 billion $ASM (+0,68 %)

Ericsson € 26 billion $ERIC B (-0,84 %)

Hexagon € 23 billion $HEXA B (-2,73 %)

Nokia € 22 billion $NOKIA (-0,49 %)

STMicroelectronics € 22 billion $STM (+1,59 %)

Logitech € 12 billion $LOGN (-2,18 %)

Sage Group € 12 billion $SGE (-2,03 %)

>> Which ones are you invested in and how are they performing? Most of these European tech stocks can be found in the iShares MSCI Europe Information Technology - ETF, WKN: A2QBZ3

#halbleiter
#semiconductor
#techaktien
#europa
#software
#ki
#ai
#künstlicheinteligenz

Semiconductor shares since their 52-week highs

-61% Intel $INTC (-2,95 %)

-54% Aixtron $AIXA (-1,56 %)

-45% STMicroelectronics $STMPA (+1,72 %)

-44% Micron Technology $MU (-3,75 %)

-37% Globalfoundries $GFS (-1,1 %)

-36% BE Semiconductor $OXVE

-33% Lam Research $LRCX

-29% AMD $AMD (-2,45 %)

-29% Qualcomm $QCOM (-2,78 %)

-28% ON Semiconductor $ON (-0,06 %)

-27% ASML $ASML (+0,06 %)

-26% Applied Materials $AMAT (-0,75 %)

-26% Elmos Semiconductor $ELG (+4,37 %)

-24% Microchip Techn. $MCHP (-3,32 %)

-23% ARM $ARM (-1,28 %)

-23% Synopsys $SNPS (-0,94 %)

-23% Infineon $IFX (+2,82 %)

-22% NXP Semiconductors $NXPI (-0,23 %)

-20% Cadence Design $CDNS (-1,25 %)

-17% Nvidia $NVDA (+2,32 %)

-17% VanEck Semicon. ETF $IE00BMC38736 (-0,41 %)

-17% Nordic Semi $NRS

-17% KLA Corporation $KLAC (-0,36 %)

-13% Marvell Technology $MRVL (+0,7 %)

-12% TSMC $2330

-11% Broadcom $AVGO (-1,21 %)

-7% Texas Instruments $TXN (-1,11 %)

-6% Monolithic Power Syst. $MPWR (-0,87 %)

>> Which stocks are you invested in and how are they performing? Which of these stocks do you have on your watchlist? #semiconductor
#halbleiter

Dear Community,

What is at the top of your watchlist?

For me:

$SNPS (-0,94 %)
$NXPI (-0,23 %) or $ASML (+0,06 %) and $ATD (+1,18 %)

VG

About non-fried chips, unknown tech gems and why Nvidia alone is worth nothing - Overview Semiconductor Stocks

The rise of $NVDA (+2,32 %) and other tech stocks, more and more investors have been drawn into the semiconductor industry in recent months and years. However, due to the enormous size and complexity of the industry, it is not easy to keep track of who is contributing to the global market now and how, and which stocks could outperform the market in the future.

1) What is the semiconductor industry doing?

The semiconductor industry basically manufactures microchips as an end product, which consist of millions and millions of tiny switches. These products have become an integral part of our lives and can be found everywhere. Examples include the data centers of $GOOGL (+1,13 %) smartphones from $AAPL (+0,17 %) , drives and inverters from $TSLA (-6,59 %) or $SIE (-3,08 %) or in the systems of $UKW (-1,25 %) . But also toothbrushes, ATM cards, passports, watches, lamps, and and and...

2) But the best microchips are made by $NVDA (+2,32 %) ?

Yes, in the area of graphics processors... If you look at the Semicondutor Top100, many well-known names appear: $AVGO (-1,21 %) and $QCOM (-2,78 %) for communication, $AMD (-2,45 %) and $INTC (-2,95 %) for processors for PCs, $TXN (-1,11 %) and $STM for discrete components, $IFX (+2,82 %) and $NXPI (-0,23 %) systems for the automotive industry and security solutions and many more...

3) Aren't the manufacturers taking market share away from each other?

No, because each company specializes in its own field and is the world market leader in one area. You can think of it like the automobile industry: Lamborghini makes sports cars, Landrover makes jeeps... Could Landrover make sports cars? Sure. Would they be good? If enough money and time is invested, certainly. Would that make sense? Probably less. And that is precisely where the value of semiconductor manufacturers lies. As the products themselves are highly complex, the know-how has to be built up over decades. The development is associated with extremely high costs and project durations from idea to mass production are rarely less than 3-4 years. That is why it would not make sense for e.g. $NVDA (+2,32 %) would not make sense to enter the power sector, as established players with a head start of many years have already established themselves there.

4) How are microchips built now?

Many steps are required to manufacture microchips. The engineers at the semiconductor manufacturers develop the circuits for the final products. As the structure sizes are in the nano-meter range, they have to rely on simulation environments such as $CDNS (-1,25 %) or $SNPS (-0,94 %) simulation environments. Once the engineers have developed and checked everything (a non-existent first-time-right costs many millions!), the data is sent to the fabs. Depending on the manufacturer, the in-house ($005930 , $STM , $IFX (+2,82 %) ) or, as in the case of e.g. $NVDA (+2,32 %) external. In other words, Nvidia itself only develops the "schematics" for projects, the final product comes, for example, from $TSM (-0,93 %) or $GFS (-1,1 %) . These fabs take orders from many different manufacturers and produce the products in close coordination with the manufacturers millions and billions of times...

5) How do the fabs produce the microchips?

As complex as the microchips are, the production itself is just as complex. In order to be able to create structures of just a few nanometers, clean rooms are required that are many times cleaner than operating theatres. These cleanrooms are now home to machines from $ASML (+0,06 %) , $AMAT (-0,75 %) or $7751 (-1,59 %) . These machines now manufacture 24h on the basis of various semiconductor materials such as from $ATS (-4,25 %) or $WOLF (-7,56 %) the finished products. These are sent back to the manufacturers, checked (in a first phase manually by the engineers with products from e.g: $KEYS (-1,25 %) , later fully automatically with e.g. $TEK ) and then sold. Here again there are intermediaries such as $SMCI,
$SIE (-3,08 %) or $AAPL (+0,17 %) who buy finished microchips and process them for larger products. Interesting here: Apple, for example, develops many things itself, but buys know-how and products from other companies because the entire development would be far too complex. In other words, semiconductors from many different manufacturers can be found in Apple products or other products - so there is also a great deal of interdependence, depending on the core competence.

6) What will be NVIDIA's No. 1 pursuer?

Hard to say. As described, the entire semiconductor industry is very closely linked. Different companies will benefit from the global trends. Be it the companies in the first row (manufacturers) as well as those in the second and third (fabs, suppliers, software, end customers, ...) The interdependence results in enormous opportunities for many companies but also many risks - if, for example, Taiwan is attacked $NVDA (+2,32 %) with production of $TSM (-0,93 %) (not just Nvidia but virtually the entire industry) and the market shifts completely.

Addons:

• No guarantee of completeness or correctness, the entire industry is very extensive.
• If you are interested in this sector: A very good explanation of the entire process can be found at https://www.youtube.com/watch?v=_Kj58yQ67KI . Here it also becomes clear once again how large the sales figures (and therefore also the risks for the companies) have to be for the R&D and production costs to pay off. Remember the project durations here - who knows what will be important in 5 years?

Taiwanese chip company TSMC has been given the green light for a billion-euro investment in the construction of a new semiconductor factory in Dresden. The company's governing body approved a capital investment of around 3.499 billion euros in a subsidiary, European Semiconductor Manufacturing Company (ESMC) GmbH, in Germany.

In collaboration with Bosch, Infineon and NXP Semiconductors, TSMC plans to invest in ESMC GmbH and provide advanced semiconductor manufacturing services.

The new fab is expected to meet the increasing capacity needs of the automotive and industrial sectors in Europe and strengthen the semiconductor manufacturing ecosystem in Europe. TSMC holds 70% of the shares and Bosch, Infineon and NXP 10% each. The ESMC joint venture is expected to create approximately 2,000 direct skilled jobs.

Construction of the fab is expected to begin in mid-2024 and production in late 2027. Total investment is expected to exceed 10 billion euros, with support from the European Union and the German government. The fab will be operated by TSMC and represents a significant step in strengthening semiconductor production in Europe. I am curious to see how the joint venture will affect competition in the semiconductor industry and whether the shares of $ (-0,93 %)TSM (-0,93 %), $IFX (+2,82 %) and $NXPI (-0,23 %) will benefit in the long term. What do you think? How do you assess the growth prospects for the 4 companies?

Good day Getquin Community,

I am looking for a company that produces or sells semiconductors. The reason is a further diversification of my portfolio, in semiconductors I am not yet in it, except via the MSCI World. And at the moment there are some good buying opportunities. I am actually looking for a European company, since I have the American market heavily overrepresented in my portfolio. Now, besides NXP Semiconductors, I have found Elmos Semiconductors as a German company and Nordic Semiconductors.

What do you think of these companies?

Especially NXP I have in mind.

Or do you have other interesting companies for me that I have overlooked?

Thanks already for your Antworten✌🏻

My target was 240, profit taking. I'm over exposed enough to semis anyway. A brief explanation of the C-R-V, the risk/reward ratio.

I keep getting told that I'm selling far too early. But very few people understand that the tactic of an active trader is NOT to always buy the bottom and sell the top. The aim is never to make the maximum profit. The goal is to make constant profits with as little risk as possible, with as high a chance as possible and avoiding large drawdowns. Everything is based exclusively on a CRV ratio.

In the example here NXP: https://www.tradingview.com/x/n0dQgi4s/

It broke out beautifully today to an all-time high, triggering a buy signal. So why the fuck did I sell? Well, quite simply:

Would I open a new trade here at this point? No.

Why not? Because the CRV is poor. At most, the target could be stretched to 250 until the stock is so overbought that it is no longer worth entering. That is an upside of $10. The first sensible SL, on the other hand, could only be placed in the $210 range, which corresponds to a downside of $30 (!). That would be a CRV of 0.33! That is extremely bad.

Yes, it may well go even higher now. Maybe even over 250, who knows. However, it is generally more lucrative to try to sell the top in such a strong pump as now and use the money to open a trade somewhere else that has a better CRV again.

With this way of thinking, you definitely don't always have the maximum profit. However, you save yourself big drawdowns and avoid holding on to something for too long and getting caught in such a bad situation, as I did last week in the correction.