|Bid||23.72 x 1800|
|Ask||23.74 x 2200|
|Day's Range||23.20 - 24.05|
|52 Week Range||9.04 - 34.14|
|Beta (3Y Monthly)||4.21|
|PE Ratio (TTM)||74.00|
|Earnings Date||Apr 23, 2019 - Apr 29, 2019|
|Forward Dividend & Yield||N/A (N/A)|
|1y Target Est||24.52|
Cryptocurrency mining is painstaking, expensive, and only sporadically rewarding. Nonetheless, mining has a magnetic draw for many investors interested in cryptocurrency. This may be because entrepreneurial types see mining as pennies from heaven, like California gold prospectors in 1849.
Semiconductor stocks proved to be important drivers of the broader technology sector's upside in 2018. Just look at the widely followed PHLX SOX Semiconductor Sector Index, which is up 9.60% year-to-date. Investors looking to profit should consider semiconductor ETFs.Shares of Advanced Micro Devices (NASDAQ:AMD) have recently been buoyed by a spate of bullish analyst commentary, including a round of upward price target revisions.[Editor's note: This story was previously published in September 2018. We're upping it in light of the recent strength in semiconductors.]InvestorPlace - Stock Market News, Stock Advice & Trading TipsOn the other hand, there are risks associated with semiconductor stocks and exchange-traded funds (ETFs). Late last year, Morgan Stanley waxed bearish on the semiconductor group:"Memory markets have worsened in recent weeks. For DRAM [memory chip], demand is weakening, inventory and pricing pressures are building, and vendors are struggling to move bits," according to Morgan Stanley. "In NAND [flash memory], there is just too much supply. Earnings risks are emerging from 3Q and our cautious view on memory is playing out."Semiconductor stocks and ETFs are also facing headwinds created by the U.S.- China trade war."The U.S. semiconductor industry will warn President Donald Trump's administration that curbs on exports of chips and equipment to China could damage American jobs," according to Nikkei Asian Review. * 10 Hot Stocks Leading the Market's Blitz Higher Of course, positive surprises are always possible and negative expectations are not etched in stone. But investors looking to make bullish chip bets can consider these seven semiconductor ETFs -- instead of risking their money in individual chip stocks. iShares PHLX Semiconductor ETF (SOXX)Source: Shutterstock Expense ratio: 0.47% per year, or $47 on a $10,000 investment.One of the largest semiconductor ETFs, the iShares PHLX Semiconductor ETF (NASDAQ:SOXX) targets the aforementioned PHLX SOX Semiconductor Sector Index. This is a cap-weighted fund, meaning it tilts toward the largest semiconductor stocks.Qualcomm (NASDAQ:QCOM), NVIDIA and Texas Instruments (NASDAQ:TXN) are the three largest holdings in SOXX, combining for over 26% of the fund's roster. Fortunately for SOXX investors, this semiconductor ETF is not heavily allocated to Micron Technology (NASDAQ:MU), a stock that has been absolutely drubbed in recent sessions.The larger-cap weighting may help undercut some of the volatility in store for semiconductor ETFs and stocks if the U.S.-China trade war continues. VanEck Vectors Semiconductor ETF (SMH)Source: Shutterstock Expense ratio: 0.35% per yearIn general, semiconductor ETFs are focused funds and the VanEck Vectors Semiconductor ETF (NYSEARCA:SMH) is even more focused than rival SOXX. This semiconductor ETF is home to 25 stocks, compared to 30 in SOXX.Like SOXX, SMH is somewhat top-heavy, but there are some differences among the semiconductor ETFs' components. The VanEck fund devotes a combined 24.47% of its weight to Taiwan Semiconductor (NYSE:TSM), Intel (NASDAQ:INTC) and NVIDIA. * 7 Strong Buy Stocks With Over 20% Upside SMH's large allocations to semiconductor names like Intel and Taiwan Semiconductor put the fund front-and-center at demand trends for personal computers and related devices as well as mobile phones. SMH's top 10 holdings, a group combining for over 58% of the fund's weight, do not include Advanced Micro Devices. SPDR S&P Semiconductor ETF (XSD)Source: Shutterstock Expense ratio: 0.35% per yearThe semiconductor ETFs mentioned above are cap-weighted funds, but the SPDR S&P Semiconductor ETF (NYSEARCA:XSD) is an equal-weight ETF, a strategy to consider for investors looking for exposure to mid- and small-cap semiconductor names.None of XSD's 34 holdings exceed weights of 5.79%. Additionally, this semiconductor ETF featured Advanced Micro Devices as its largest holding, a trait not widely found among funds in this category.Owing to the equal-weight methodology, XSD does not feature Intel nor Texas Instruments among its top 10 holdings, making this semiconductor ETF one to consider for investors looking to diversify away from some of the industry's largest names. Invesco Dynamic Semiconductors ETF (PSI)Source: Shutterstock Expense ratio: 0.61% per yearKeeping with the theme of semiconductor ETFs with non-cap-weighted methodologies, there is the Invesco Dynamic Semiconductors ETF (NYSEARCA:PSI). PSI offers a truly smart beta approach to semiconductor stocks.The Dynamic Semiconductor Intellidex Index, PSI's underlying benchmark, evaluates "companies based on a variety of investment merit criteria, including: price momentum, earnings momentum, quality, management action, and value," according to Invesco.PSI's exposure to the quality and value factors, in particular, could be of use to investors at a time when analysts and market observers are concerned about the semiconductor industry's outlook into year-end. Additionally, semiconductor stocks are viewed as somewhat overvalued relative to broad equity benchmarks, so PSI's value exposure could be a trait to embrace. Twenty-seven percent of the fund's holdings are classified as value stocks. * 5 Stocks That Could Be the Next Amazon PSI's price-to-earnings ratio of 15.91 is below the comparable metric on SOXX. First Nasdaq Semiconductor ETF (FTXL)Source: Shutterstock Expense ratio: 0.60% per yearThe First Nasdaq Semiconductor ETF (NASDAQ:FTXL) is another smart beta approach to semiconductor ETFs, but with a different approach than the aforementioned PSI.FTXL turns two years old this month, making it the youngest semiconductor ETF highlighted here. The fund tracks the Nasdaq U.S. Smart Semiconductor Index. That index employs low volatility, growth and value factors in its stock selection process.FTXL's value trait focuses on cash flow-to-price, while its growth factor emphasizes price appreciation over four time frames -- ranging from three to 12 months. Even with its smart beta methodology, FTXL's 28 holdings tilt toward the largest semiconductor stocks with Texas Instruments and Intel combining for 15.32% of the fund's weight. SPDR Kensho Intelligent Structures ETF (XKII)Source: Shutterstock Expense ratio: 0.45% per yearThe SPDR Kensho Intelligent Structures ETF (NYSEARCA:XKII) is not a pure semiconductor ETF, but the fund does feature sizable exposure to chip stocks. Among the 14 industry groups represented in XKII, semiconductors is the second-largest at 12.11%.XKII components provide exposure to following next-generation investment themes: smart building infrastructure, smart power grids, intelligent transportation infrastructure and intelligent water infrastructure. * 7 Reasons Stock Buybacks Should Be Illegal XKII's underlying index "goes beyond well-known traditional Industrial firms by including companies involved in intelligent and connected home technologies, smart power grid technology, road sensors, traffic management infrastructure and smart water meters from other GICS sectors," according to State Street Global Advisors (SsgA). ROBO Global Robotics & Automation Index ETF (ROBO)Source: Shutterstock Expense ratio: 0.95% per yearThe ROBO Global Robotics & Automation Index ETF (NASDAQ:ROBO), along with other robotics ETFs, feature some semiconductor exposure because chips are integral parts of many of the products tied to the booming artificial intelligence and robotics investment themes.Nearly half of ROBO's 87 holdings are classified as technology stocks. That group includes companies with exposure to artificial intelligence, computer processing, actuation, sensing and integration. All of those endeavors require some use of semiconductors."Some investors still see robotics and AI as niche investments," said ROBO Global. "But more and more, even the most risk-averse among them are realizing that it is a niche that demands a presence in every long-term portfolio. Why? Because the scope of robotics and AI is vast, and the massive impact it will have on every industry in every part of the world is now undeniable."As of this writing, Todd Shriber does not own any of the aforementioned securities. More From InvestorPlace * 2 Toxic Pot Stocks You Should Avoid * Should You Buy, Sell, Or Hold These 7 Medical Cannabis Stocks? * 7 Strong Buy Stocks With Over 20% Upside * 7 Reasons Stock Buybacks Should Be Illegal Compare Brokers The post Top 7 Semiconductor ETFs to Buy Now appeared first on InvestorPlace.
NVIDIA Had a Disappointing End to Fiscal 2019(Continued from Prior Part)NVIDIA’s fiscal 2020 first-quarter guidancePreviously, we discussed that NVIDIA (NVDA) stock rose despite weak earnings for the fourth quarter of fiscal 2019. Analysts and
Trump Declares a National Emergency: Was There One Already?President Trump On February 15, President Trump announced a national emergency to help garner funds for the wall on the US-Mexico border. Declaring an emergency is among the rarely used
Investors who own Advanced Micro Devices (NASDAQ:AMD) though, or are at least thinking about adding a position in AMD stock, would be wise to add the word 'hyperscale' to their lexicon. Hyperscale is the practice of efficiently going from a few servers up to thousands.While not a new premise, it's about to become a monumentally important one to the cloud computing world. Advanced Micro Devices is positioned to not only usher in that era, but help shape it.It will have to, in fact, if it wants to take more market share in the burgeoning market.InvestorPlace - Stock Market News, Stock Advice & Trading Tips * 10 Hot Stocks Leading the Market's Blitz Higher AMD Stock and HyperscalingSome tech-savvy people know of its enterprise-level wares, but by and large the majority of investors know and love AMD through their consumer-minded lens.That is, the company makes graphics cards and computer processors that video gamers love, and the cryptocurrency boom was wildly beneficial for AMD stock, even if it was a short-lived boon.There's a whole side of Advanced Micro Devices, however, that most investors at least somewhat look past, unsure of what exactly it is.Big mistake. It's this other side that will actually drive AMD stock higher or lower, in the long run.That other side of the company's business is data center solutions. Last quarter, this segment saw more than 8% revenue growth, reaching a total of $939 million, or roughly two-thirds of total sales. Though not all of this arm is necessarily data center-driven, a huge chunk of it is.The next evolution in the arena? The normalization of so-called hyperscale data centers. Advanced Micro Devices is moving into a good position.There's no hard-and-fast definition for 'hyperscale,' though most industry experts would describe it as the ability to quickly and easily scale-up the capacity of a data center, using low-cost components that make that scale-up economical.Where virtualization of hardware is possible, that's often the preferred course. Data center operators love its low cost and flexibility, which have become critical within the fast-moving and ever-changing arena.It's a sweet spot for Advanced Micro Devices' Epyc chip, a processor built from the ground up to effectively work in a hyperscale cloud computing environment even before the idea has fully gelled. Epyc Ideal for HyperscalingThe company's first Epyc microprocessor, a CPU designed with server networks and data systems in mind was released in mid-2017.The rival Xeon series from Intel (NASDAQ:INTC) was getting a bit long in the tooth at the time, and the marketplace was ready for an upgrade. The early editions of the Epyc CPU were reasonably well received.Its early success, however, was only a prelude to what was in store.That success would be tough to measure given the data so far. Near the end of last year is was estimated that AMD only controlled 2% of the server chip market. The rest of it remained hogged by Intel.That 2%, however, is up from 0% a year and a half earlier, and stolen from the king of data center hardware in a market where customers are slow to make purchasing decisions, and slow to switch providers.The company, to the delight of AMD stock owners, is talking about capturing 5% of that market in the foreseeable future.The upcoming launch of the 'Rome' version of its Epyc chip (tech companies assign code names to everything, though they're rarely a secret) may well get Advanced Micro Devices over that hump.It will fit and work in the same boards that used earlier versions of the processor, but will introduce the oft-discussed 7 nanometer leap and up to 64 cores to the mix.In plain English, it will arguably be the most powerful data center chip on the market, and at a very low-cost in terms of cost-per-capacity.It's also the chip that could finally convince technology companies hyperscaling is worth the switching cost and effort. As Patrick Moorhead, principal at Moor Insights & Strategy, recently explained of Rome:"What makes it so attractive is that it's not just AMD selling something for less. It's that a single socket server with all of the bandwidth and cores that are available will allow people to make smaller servers so you can have a higher density, and density is key particularly with the hyperscalers or even people in hosting."The soon-to-launch updated Epyc chip gives AMD an even more powerful weapon to wield in what will soon be an $80 billion market, up from $25 billion in 2017, now that corporate customers can see a clear cost-effective upside.Looking Ahead for AMD Stock There's still work to be done. Intel isn't sitting on its hands, and Nvidia (NASDAQ:NVDA) still dominates the GPU market where Advanced Micro Devices competes. AMD is also still conspicuously missing from the artificial intelligence arena, where Nvidia rules and Intel at least keeps Nvidia honest.Nevertheless, penetration of the data center market and the hyperscaling sliver of that market in particular is not only very possible for Advanced Micro Devices, it's very likely. GPUs, as well as AMD has carved out a small but loyal following, aren't going to be a key growth driver.Bottom line? Investors in AMD stock should take note of Epyc's growing role in the young hyperscaling market, even though it's unclear what that landscape will actually look like a year from now.It's a development that's still not been given due attention.As of this writing, James Brumley did not hold a position in any of the aforementioned securities. You can learn more about James at his site, jamesbrumley.com, or follow him on Twitter, at @jbrumley. More From InvestorPlace * 2 Toxic Pot Stocks You Should Avoid * Should You Buy, Sell, Or Hold These 7 Medical Cannabis Stocks? * 7 Strong Buy Stocks With Over 20% Upside * 7 Reasons Stock Buybacks Should Be Illegal Compare Brokers The post AMD Stock Will Benefit Even More with the Rise of Cloud Computing appeared first on InvestorPlace.
NVIDIA Had a Disappointing End to Fiscal 2019NVIDIA stock rose 9% On February 14, NVIDIA (NVDA) stock rose as high as 9% in the after-hours session. The company expects strong growth in the second half of 2019. NVIDIA’s outlook was in line
The chip designer on Thursday forecast full-year revenue to be "flat or down slightly" from 2018, but Chief Executive Officer Jensen Huang said he expects China, gaming and self-driving vehicles to drive demand for its chips. Rival chipmaker Advanced Micro Devices Inc had also forecast full-year revenue ahead of analysts' expectations. AMD, like Nvidia, is banking on its newest graphics and data center chips to bolster growth for the year.
The typical Facebook employee makes double what the typical household in Silicon Valley makes — even as the region's household earnings rose to an all-time high last year.
Google's $13 billion investment in new data centers across the United States announced on Wednesday could directly benefit chip makers that supply data centers. Two big beneficiaries in particular could be Advanced Micro Devices Inc. and the semi-cap equipment group," Steves wrote in a note out Wednesday.
Microsoft (NASDAQ: MSFT) stock did not enjoy its usual post-earnings rally. The company issued a conservative forecast, citing weak Windows 10 sales and expectations for ongoing headwinds for the PC market as its two biggest upcoming headwinds.Despite the mixed outlook, Microsoft's profits continued to rise, largely due to its cloud business, its Office 365 product, and a few of its recent acquisitions. * Should You Buy, Sell, Or Hold These 7 Medical Cannabis Stocks? Second-Quarter ResultsMSFT reported second-quarter earnings of $1.10 per share. Its revenue rose 12% year-over-year to $32.5 billion. Two of its biggest businesses -Productivity and Business Processes and Intelligent Cloud -- did very well. The revenue of the Productivity and Business Processes unit grew 13% YoY to $10.1 billion. Within that unit, LinkedIn's revenue grew an impressive 30%. Intelligent Cloud's revenue increased 21% YoY to $9.4 billion. Azure's sales surged 76%, so Microsoft's cloud business is clearly performing very well.InvestorPlace - Stock Market News, Stock Advice & Trading Tips Constraints on the PC Market And Windows 10 Hurt Microsoft StockIf the owners of Microsoft stock could complain about something, it would be the slow growth of the company's Windows 10 sales, which was caused by the anemic PC market. Microsoft's PC business shrunk last quarter due to the timing of the deliveries of chips to PC makers.Tight supplies from Intel (NASDAQ: INTC) and the launch of new chips by Advanced Micro Devices (NASDAQ: AMD) probably negatively impacted the PC market.Still, more companies are buying Windows 10. Businesses demand more security and productivity software, and Windows 10 provides both. At CES, PC makers showcased an "always connected" Windows 10-powered PC. Immersive gaming was one of the scenarios it demonstrated. Strong Surface MomentumIn the hardware segment, Microsoft's Surface tablets continued to have positive momentum. The company expects sales of Surface Pro 6, Surface Book 2, and Surface Go to continue to be strong. Sales of Surface products grew 20% year-over-year in Q4. The Cloud Unit's Results Were Strong, As UsualOffice 365 subscriptions and Azure usually drive Microsoft's profits, but investors forget about its other cloud businesses. Power BI and Dynamics 365 continue to offer business customers valuable tools.Meanwhile, MSFT is widening its market through acquisitions. It closed its acquisition of GitHub, acquiring 31 million developer accounts in the process. The unit has over 100 million code repositories. Microsoft says that over half of Fortune 50 companies use GitHub Enterprise.MSFT updated GitHub and simplified its platform, making Microsoft's offerings easier to access from GitHub. Other AcquisitionsMSFT bolstered its gaming library for Xbox Live by acquiring two studios last quarter. Now the over 64 million gamers who use the platform have more reasons to renew their subscriptions. The Valuation of Microsoft StockThe 21 Wall Street analysts who cover Microsoft stock have an average price target of $123.26 on MSFT stock, representing upside of about 15%. The price-earnings ratios of MSFT stock, which are currently in the 22 - 25 range, are also compelling. Moreover, Microsoft stock became less volatile in 2018 because its main businesses performed in-line with expectations. The Bottom Line on Microsoft StockMicrosoft stock is the kind of investment that may appreciate over time while paying a modest 1.7% dividend yield. When PC makers resolve their supply issues, the sales of Windows 10 should rebound. But the company's bigger profit drivers -- acquisitions and the cloud -- are the reasons to buy and hold Microsoft stock over the long-term.As of this writing, the author did not hold a position in any of the aforementioned securities. More From InvestorPlace * 2 Toxic Pot Stocks You Should Avoid * 9 U.S. Stocks That Are Coming to Life Again * The 7 Best Video Game Stocks to Power Up Your Portfolio! * 5 Tips to Become a Better Stock Trader Compare Brokers The post The Main Drivers of Microsoft Stock Are Still Intact appeared first on InvestorPlace.
How Semiconductor Downturn Has Affected AMD's Profitability(Continued from Prior Part)AMD’s stock price momentum Advanced Micro Devices (AMD) stock has rallied 22% YTD after falling 48% from its 52-week high in the last three months of 2018. The
Excess gaming GPU inventory, weak sales of its latest graphics cards, a data center slowdown, and sluggish demand from China are currently plaguing NVIDIA (NVDA).
Shares of Nvidia (NVDA) popped 1.13% during regular trading hours Wednesday, with the firm set to release its Q4 fiscal 2019 financial results after the closing bell Thursday. Wall Street will be watching the newly struggling chip power closely. So, let's look at what investors should expect from Nvidia.
How Semiconductor Downturn Has Affected AMD's Profitability(Continued from Prior Part)Balance sheet items Previously, we saw that Advanced Micro Devices (AMD) missed its outlook of returning to positive FCF (free cash flow) in 2018 largely because of
What's Caused AMD to Outperform Its Peers Intel and NVIDIA?(Continued from Prior Part)AMD gains server CPU market share In 2018, Advanced Micro Devices (AMD) saw the strong adoption of its first-generation EPYC server CPU (central processing unit),
How Semiconductor Downturn Has Affected AMD's Profitability(Continued from Prior Part)AMD’s efficiency ratios So far, we have seen that Advanced Micro Devices (AMD) improved its profits by increasing the mix of Ryzen, EPYC, and Radeon processors.
March Deadline Could Be Relaxed for ‘Biggest Deal Ever Made'US-China talks Another round of US-China trade talks is scheduled this week in Beijing. The previous round of talks concluded on January 31 in Washington. After the last round of talks,
Is it time to bulk up on the stock of high-flying chip maker Advanced Micro Devices, Inc. AMD has been a great long-term bet for investors, having risen more than tenfold from $2.14 in February 2014 to $22.82 as of Feb. 12 in a turnaround orchestrated by CEO and President Lisa Su, who took over the reins in 2014. Intel has long had a lock on this market, but AMD is gaining momentum, with the potential to reach the mid-single digits by the end of 2019, up from 1.3% now, according to Goldman Sachs.