1 EV Chip Stock to Buy Right Now

From Nasdaq MarketSite: 2024-05-12 04:12:00

In 2024, the U.S. electric vehicle industry has slowed to just 10% growth due to high prices and interest rates, while Europe and China continue to rise at 21% and 32%, respectively. Semiconductors, like those from Axcelis Technologies (NASDAQ: ACLS), play a key role in enhancing power management efficiency.

A new trend in semiconductor technology is emerging, focusing on power chips that can handle high voltages and increase energy efficiency. Axcelis Technologies produces ion implantation machines, a critical technology for manufacturing energy-efficient chips used in various applications, including electric vehicles and AI servers.

Applied Materials stock continues to rise, while Axcelis Technologies faces a temporary downturn in sales in the second quarter of 2024. Despite this, Axcelis is well-positioned to benefit from the growth in the semiconductor industry, with plans for potential acquisitions to expand their equipment offerings.

While Axcelis Technologies may be a valuable investment opportunity given the long-term potential in the EV and power infrastructure market, it was not included in the Motley Fool’s list of the 10 best stocks for investors to buy now. The Stock Advisor service offers guidance on building a successful portfolio, with historical returns outperforming the S&P 500 since 2002.



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