From U.S. News & World Report: 2024-06-10 17:49:46

The semiconductor market is thriving in the first half of 2024, with global sales up 15.8% year over year in April. Despite U.S. export controls impacting AI chip sales to the Middle East, sector analysts remain optimistic, forecasting global sales growth of 16% this year. Leading stocks include TSM, NVDA, and QCOM.

NXP Semiconductors struggles with lower auto industry demand, mirroring a trend where only 11% of consumers plan to buy electric vehicles in 2024. The company offsets auto industry losses with revenue gains in other sectors. An upgrade to “buy” from Mizuho in May and a 1.5% dividend yield may attract investors.

Qualcomm thrives in the wireless device market, with sales rising 1% post-pandemic. The company benefits from mobile device chip sales and a projected expansion in wireless charging markets. Despite industry setbacks, Qualcomm continues to beat analyst expectations and offer a 1.7% dividend yield, making it an attractive long-term investment.

Monolithic Power Systems faces challenges as operating costs rise and semiconductor markets weaken. The company maintains steady performance with revenue on the rise. Positioned in several sectors, including data centers and cloud computing, MPWR offers a 0.7% dividend yield, ensuring resilience as it navigates a challenging market.

TSM dominates the semiconductor industry as a leading chip producer for major companies. With substantial revenue and net profit, TSM’s shares have soared by 58.7% in 2024. The company’s expansion into new chip fabrication centers worldwide, paired with a 1.5% dividend yield, solidifies TSM as a secure and profitable investment choice.

Nvidia shines with a share price increase of 144% in 2024. The company’s focus on new AI accelerator chips like Blackwell Ultra and Rubin AI drives growth. With plans to reduce AI tech costs, Nvidia remains a pivotal player in the semiconductor industry, catering to the rising demand for accelerated computing.

On Semiconductor struggles in 2024, with a 13.4% decline in share price and consecutive negative earnings and sales. The company’s dependence on slow-growing industries like automotive and industrials hinders performance. With economic slowdowns impacting demand, ON faces challenges in maintaining market competitiveness.



Read more at U.S. News & World Report: 7 Best Semiconductor Stocks to Buy in 2024 | Investing