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The Zacks Analyst Blog Highlights: Intel, Micron, Analog Devices, Texas Instruments and NVIDIA
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For Immediate Release
Chicago, IL – April 16, 2021 – Zacks.com announces the list of stocks featured in the Analyst Blog. Every day the Zacks Equity Research analysts discuss the latest news and events impacting stocks and the financial markets. Stocks recently featured in the blog include: Intel Corporation (INTC - Free Report) , Micron Technology, Inc. (MU - Free Report) , Analog Devices, Inc. (ADI - Free Report) , Texas Instruments Incorporated (TXN - Free Report) and NVIDIA Corporation (NVDA - Free Report) .
Here are highlights from Thursday’s Analyst Blog:
Supply Shortage Boosting Microchip Demand: 4 Stocks to Buy
The global microchip shortage has been now hurting a number of industries, with electronic goods, including PCs and smartphones and automobiles suffering the most. So much so that many automakers are now being forced to halt production and temporarily lay off workers.
In fact, the crisis even led the White House to hold a virtual CEO summit on Apr 12, wherein President Joe Biden addressed the issue and urged for a quick solution to the ongoing crisis. However, the supply crunch at the same time means that the semiconductor industry is doing quite well at a time when others are still trying to bounce back from the battering they took during the initial months of the pandemic.
Microchip Shortage a Growing Concern
On Monday, Biden during the virtual summit met with representatives from various sectors including auto, tech, biotech and consumer electronics industries to discuss the ongoing global semiconductor shortage. The meeting was also attended by executives from some of the largest auto manufacturers and Intel.
The executives from the company thanked Biden for his concern and are looking forward to solving the ongoing crisis. Automakers have been suffering the most due to the global supply crunch of microchips.
Major carmakers have even been warning investors about slowing production due to supply shortage and have been extending production cuts. The supply shortage has posed a new threat to the automakers just at a time when they were on the road to recovery after taking a massive hit last year due to the pandemic.
Production cuts have now forced many companies to temporarily lay off workers, which has further worsened the picture. Semiconductor demand has been on the rise due to the strong demand for electronics during the pandemic, which is resulting in a shortage. But now, even electronic goods manufacturers have started suffering.
Semiconductor Industry on Growth Track
According to the Semiconductor Industry Association (SIA), the microchip industry is projected to grow this year, after rebounding in 2020. Global semiconductor revenues totaled $466.2 billion, jumping 10.4% in 2020 on a year-over-year basis, according to a new report from Gartner.
This year has started on a high and the trend is likely to continue given the high demand for microchips, with semiconductor sales growing 14.7% year over year in February, according to SIA.
Microchips are an important part of both the auto and the infotainment industries. The recovery of the automotive sector was faster than projected, due to pent-up demand during the shutdown period, which is now hampering the balance between demand and supply.
The supply shortage is a sign that demand for microchips is expected to remain high for some time.
Our Choices
The semiconductor market is likely to continue thriving in 2021. Below are five chip stocks that investors can gain from in the current scenario.
Micron through global brands, namely Micron, Crucial and Ballistix, manufactures and markets high-performance memory and storage technologies including Dynamic Random Access Memory, NAND flash memory, NOR Flash, 3D XPoint memory and other technologies.
The company’s expected earnings growth rate for the current year is 93.6%. The Zacks Consensus Estimate for current-year earnings has improved 40.9.9% over the past 60 days. Micron carries a Zacks Rank #1 (Strong Buy). You can see the complete list of today’s Zacks #1 Rank stocks here.
Analog Devices is an original equipment manufacturer of semiconductor devices, specifically, analog, mixed-signal and digital signal processing integrated circuits.
The company’s expected earnings growth rate for next year is 22.4%. The Zacks Consensus Estimate for current-year earnings has improved 5.6% over the past 60 days. Analog Devices carries a Zacks Rank #2 (Buy).
Texas Instruments is an original equipment manufacturer of analog, mixed-signal and digital-signal processing integrated circuits.
The company’s expected earnings growth rate for the current year is 13.4%. The Zacks Consensus Estimate for current-year earnings has improved 1.2% over the past 30 days. Texas Instruments carries a Zacks Rank #2.
NVIDIA is the worldwide leader in visual computing technologies and inventor of the graphic processing unit. Over the years, the company’s focus has evolved from PC graphics to artificial intelligence-based solutions that now support high-performance computing, gaming and virtual reality platforms.
The company’s expected earnings growth rate for the current year is 34%. The Zacks Consensus Estimate for current-year earnings has improved 15.3% over the past 60 days. NVIDIA has a Zacks Rank #2.
5G Revolution: 3 Stocks to Make Your Move
With super high data speed, it will make current cell phones obsolete and unlock the full potential of big data, cloud computing, and artificial intelligence. In the next few years this industry is predicted to create 22 million jobs and a stunning $12.3 trillion in revenue.
Today you have an historic chance to pursue almost unimaginable gains like Microsoft, Netflix, and Apple in their early phases. Zacks has released a Special Report that reveals our . . .
Past performance is no guarantee of future results. Inherent in any investment is the potential for loss. This material is being provided for informational purposes only and nothing herein constitutes investment, legal, accounting or tax advice, or a recommendation to buy, sell or hold a security. No recommendation or advice is being given as to whether any investment is suitable for a particular investor. It should not be assumed that any investments in securities, companies, sectors or markets identified and described were or will be profitable. All information is current as of the date of herein and is subject to change without notice. Any views or opinions expressed may not reflect those of the firm as a whole. Zacks Investment Research does not engage in investment banking, market making or asset management activities of any securities. These returns are from hypothetical portfolios consisting of stocks with Zacks Rank = 1 that were rebalanced monthly with zero transaction costs. These are not the returns of actual portfolios of stocks. The S&P 500 is an unmanaged index. Visit https://www.zacks.com/performance for information about the performance numbers displayed in this press release.
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The Zacks Analyst Blog Highlights: Intel, Micron, Analog Devices, Texas Instruments and NVIDIA
For Immediate Release
Chicago, IL – April 16, 2021 – Zacks.com announces the list of stocks featured in the Analyst Blog. Every day the Zacks Equity Research analysts discuss the latest news and events impacting stocks and the financial markets. Stocks recently featured in the blog include: Intel Corporation (INTC - Free Report) , Micron Technology, Inc. (MU - Free Report) , Analog Devices, Inc. (ADI - Free Report) , Texas Instruments Incorporated (TXN - Free Report) and NVIDIA Corporation (NVDA - Free Report) .
Here are highlights from Thursday’s Analyst Blog:
Supply Shortage Boosting Microchip Demand: 4 Stocks to Buy
The global microchip shortage has been now hurting a number of industries, with electronic goods, including PCs and smartphones and automobiles suffering the most. So much so that many automakers are now being forced to halt production and temporarily lay off workers.
In fact, the crisis even led the White House to hold a virtual CEO summit on Apr 12, wherein President Joe Biden addressed the issue and urged for a quick solution to the ongoing crisis. However, the supply crunch at the same time means that the semiconductor industry is doing quite well at a time when others are still trying to bounce back from the battering they took during the initial months of the pandemic.
Microchip Shortage a Growing Concern
On Monday, Biden during the virtual summit met with representatives from various sectors including auto, tech, biotech and consumer electronics industries to discuss the ongoing global semiconductor shortage. The meeting was also attended by executives from some of the largest auto manufacturers and Intel.
The executives from the company thanked Biden for his concern and are looking forward to solving the ongoing crisis. Automakers have been suffering the most due to the global supply crunch of microchips.
Major carmakers have even been warning investors about slowing production due to supply shortage and have been extending production cuts. The supply shortage has posed a new threat to the automakers just at a time when they were on the road to recovery after taking a massive hit last year due to the pandemic.
Production cuts have now forced many companies to temporarily lay off workers, which has further worsened the picture. Semiconductor demand has been on the rise due to the strong demand for electronics during the pandemic, which is resulting in a shortage. But now, even electronic goods manufacturers have started suffering.
Semiconductor Industry on Growth Track
According to the Semiconductor Industry Association (SIA), the microchip industry is projected to grow this year, after rebounding in 2020. Global semiconductor revenues totaled $466.2 billion, jumping 10.4% in 2020 on a year-over-year basis, according to a new report from Gartner.
This year has started on a high and the trend is likely to continue given the high demand for microchips, with semiconductor sales growing 14.7% year over year in February, according to SIA.
Microchips are an important part of both the auto and the infotainment industries. The recovery of the automotive sector was faster than projected, due to pent-up demand during the shutdown period, which is now hampering the balance between demand and supply.
The supply shortage is a sign that demand for microchips is expected to remain high for some time.
Our Choices
The semiconductor market is likely to continue thriving in 2021. Below are five chip stocks that investors can gain from in the current scenario.
Micron through global brands, namely Micron, Crucial and Ballistix, manufactures and markets high-performance memory and storage technologies including Dynamic Random Access Memory, NAND flash memory, NOR Flash, 3D XPoint memory and other technologies.
The company’s expected earnings growth rate for the current year is 93.6%. The Zacks Consensus Estimate for current-year earnings has improved 40.9.9% over the past 60 days. Micron carries a Zacks Rank #1 (Strong Buy). You can see the complete list of today’s Zacks #1 Rank stocks here.
Analog Devices is an original equipment manufacturer of semiconductor devices, specifically, analog, mixed-signal and digital signal processing integrated circuits.
The company’s expected earnings growth rate for next year is 22.4%. The Zacks Consensus Estimate for current-year earnings has improved 5.6% over the past 60 days. Analog Devices carries a Zacks Rank #2 (Buy).
Texas Instruments is an original equipment manufacturer of analog, mixed-signal and digital-signal processing integrated circuits.
The company’s expected earnings growth rate for the current year is 13.4%. The Zacks Consensus Estimate for current-year earnings has improved 1.2% over the past 30 days. Texas Instruments carries a Zacks Rank #2.
NVIDIA is the worldwide leader in visual computing technologies and inventor of the graphic processing unit. Over the years, the company’s focus has evolved from PC graphics to artificial intelligence-based solutions that now support high-performance computing, gaming and virtual reality platforms.
The company’s expected earnings growth rate for the current year is 34%. The Zacks Consensus Estimate for current-year earnings has improved 15.3% over the past 60 days. NVIDIA has a Zacks Rank #2.
5G Revolution: 3 Stocks to Make Your Move
With super high data speed, it will make current cell phones obsolete and unlock the full potential of big data, cloud computing, and artificial intelligence. In the next few years this industry is predicted to create 22 million jobs and a stunning $12.3 trillion in revenue.
Today you have an historic chance to pursue almost unimaginable gains like Microsoft, Netflix, and Apple in their early phases. Zacks has released a Special Report that reveals our . . .
Download now. Today the report is FREE >>
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Past performance is no guarantee of future results. Inherent in any investment is the potential for loss. This material is being provided for informational purposes only and nothing herein constitutes investment, legal, accounting or tax advice, or a recommendation to buy, sell or hold a security. No recommendation or advice is being given as to whether any investment is suitable for a particular investor. It should not be assumed that any investments in securities, companies, sectors or markets identified and described were or will be profitable. All information is current as of the date of herein and is subject to change without notice. Any views or opinions expressed may not reflect those of the firm as a whole. Zacks Investment Research does not engage in investment banking, market making or asset management activities of any securities. These returns are from hypothetical portfolios consisting of stocks with Zacks Rank = 1 that were rebalanced monthly with zero transaction costs. These are not the returns of actual portfolios of stocks. The S&P 500 is an unmanaged index. Visit https://www.zacks.com/performance for information about the performance numbers displayed in this press release.