260.09 0.00 (0.00%)
After hours: 5:02PM EDT
|Bid||260.00 x 800|
|Ask||260.22 x 800|
|Day's Range||258.17 - 265.49|
|52 Week Range||197.46 - 323.20|
|Beta (3Y Monthly)||0.29|
|PE Ratio (TTM)||17.17|
|Earnings Date||Jun 13, 2019|
|Forward Dividend & Yield||10.60 (3.33%)|
|1y Target Est||316.79|
Ned Davis Research points out that Qualcomm had 67% of its 2018 revenue come from China, while Micron saw 57.1% of its sales come from the second-largest economy in the world. Investors trying to get a gauge on the state of U.S.-China trade relations should look at shares of big chipmakers like Qualcomm, Micron Technology and Broadcom, according to Ned Davis Research. The firm points out that Qualcomm QCOM had 67% of its 2018 revenue come from China, while Micron MU saw 57.1% of its sales come from the second-largest economy in the world.
The United States has effectively banned its companies from doing business with Huawei, exacerbating an ongoing Sino-U.S. trade war. Huawei is allowed to buy U.S. goods until Aug. 19 to maintain existing telecoms networks and provide software updates to its smartphones. ** ALPHABET INC: Google on May 19 suspended the transfer of hardware, software and technical services to Huawei, except what it has made publicly available via open source licensing.
President Trump declared a national emergency last week -- and if you think that had something to do with global warming, terrorism, or even immigration policy, you may not have been paying close enough attention.No, this one has to do with competition in the tech sector, and specifically, competition from Huawei to lead the development of new 5G wireless technology around the world. Supported by generous state subsidies, and probably not a little state-sponsored espionage, Huawei has made great strides in developing the tech need to build a 5G infrastructure in China, in Europe, in Africa, and potentially, in the United States itself. However, as a company presumed to be under the influence of China's state security apparatus, the Trump Administration views Huawei as a clear and present danger -- if not necessarily to national security, then certainly to the peace of mind of U.S. tech firms that must compete with it.Thus, to stymie Huawei's growing influence, last week the President empowered the U.S. Secretary of Commerce to effectively "blacklist" Huawei and prevent U.S. companies from doing business with the Chinese tech giant. This order cuts off Huawei from access to microchips and other tech components essential to the manufacture of much of its 5G equipment -- everything from handsets to base stations.It also, however, prevents many U.S. companies from making sales to Huawei. And in so doing, it's hitting the business of U.S. tech giants from California -- Qualcomm (QCOM) and Broadcom (AVGO) to North Carolina -- Quorvo (QRVO) and Cree (CREE) to Massachusetts where Skyworks (SWKS) resides. Quorvo in particular looks at risk, with analysts estimating the company derives as much as 15% of its revenue from sales to Huawei (versus, for example, Broadcom, which does "de minimis" business with the Chinese company).Conversely, the Trump Administration blacklist effectively cripples Huawei's business, which depends on electronic components such as radio frequency modules, antenna tuners and other components, supplied by these American tech firms and essential to Huawei's manufacture of its 4G handsets today. Without them, the company may not live to invent the 5G tech of tomorrow. Even if the company does survive, though, Huawei's 5G tech is believed to depend on such U.S.-supplied components as "GaN power transistors" needed to build RF power amplifiers, and "silicon carbide (SiC) wafers" on which those transistors are housed, as explained in a note this week from Charter Equity Research analyst Edward Snyder.For the time being, Huawei is drawing down stockpiles of such essential components, amassed in anticipation of a ban on trade with the company. Once these supplies run out, however, Snyder warns that the company could be in something of a bind.Snyder identifies Japan's Murata Manufacturing as one potential alternative supplier of "diversity receive" (DRX) radio frequency modules -- albeit a distant second to main supplier Skyworks -- and Japan's TDK is a potential source of filters. Then again, China isn't exactly on the best of terms with Japan right now, either. (The two countries are continually feuding over ownership of certain islands in the East China Sea). Further complicating matters, TDK has a joint venture with Qualcomm, and therefore may find itself subject to the same ban restricting Qualcomm's selling to Huawei.By and large, therefore, it's Snyder's assessment that "there are no other suppliers, Chinese or otherwise, capable of filling the void left by the ban on U.S. components," and this blacklisting is likely to "devastate Huawei's phone business," at least in the 4G realm, while its development of 5G tech will "slow considerably." Conversely, in the analyst's opinion, the Trump Administration's ban on sales to Huawei is likely to accrue to the benefit of rivals like Korea's Samsung, and to Oppo, Vivo, and Xiaomi in China.At least, until the Trump Administration decides to blacklist those companies, as well.Read more: * A Look at Qualcomm (QCOM)-FTC Outcome and Its Impact on Apple (AAPL) * Will Qualcomm (QCOM) Stock Price Get Back to $60-65? * Qualcomm (QCOM) Stock Is a Buy Despite Huawei Saga, Says Analyst More recent articles from Smarter Analyst: * Susquehanna Remains Bullish on Qualcomm (QCOM) Stock as the Roller Coaster Ride Continues * Trade Tensions Bring Down Micron (MU) Stock, But Cascend Is Still Bullish * Amazon (AMZN) Stock Poised for Continued Growth; Here’s Why * Evercore ISI Weighs in on Qualcomm (QCOM) in Light of Legal Setback
US District Judge Lucy Koh made a ruling on the FTC's Qualcomm case, saying they did violate US anti-trust laws. The cyclical nature of the semiconductor business makes it very sensitive to economic factors.
How Tech Stocks Are Performing amid US-China Face-OffTrade talksThe US-China trade talks, which seemed headed in the right direction until last month, have come to a standstill. Earlier this month, US President Donald Trump accused China of going
We often see insiders buying up shares in companies that perform well over the long term. On the other hand, we'd be...
Understanding the Impact of Trump’s Huawei Ban on US StocksHuawei banLast week, Donald Trump blacklisted Chinese telecom giant Huawei Technologies amid rising US-China trade tensions, restricting US companies’ transfer or supply of any
Broadcom Impacted by US FTC Probe and Huawei BanBroadcom stock fell 7% Broadcom (AVGO) is the world’s largest communications chip company. Broadcom is known for growing through acquisitions. The company is facing tough times amid the US-China
A new reports suggests that investigators with the U.S. Federal Trade Commission had widened their antitrust investigation into the San Jose-based chipmaker.
The market started yesterday's action in the hole, and was content to end it there, essentially where it started. The S&P 500 ended the day down 0.67%, with trade tensions still weighing on investors' confidence.Source: Allan Ajifo via Wikimedia (Modified)Qualcomm (NASDAQ:QCOM) led the way lower, falling almost 6% on the heels of news that the ban on deals with China's tech company Huawai would hit it particularly hard. Broadcom (NASDAQ:AVGO) fell almost as much for the same reason.There were some winners though. Chief among them was Sprint (NYSE:S), up almost 19% after FCC Chairman Ajit Pai commented he was in favor of its intended merger with T-Mobile US (NASDAQ:TMUS).InvestorPlace - Stock Market News, Stock Advice & Trading Tips * 10 Baby Boomer Stocks to Buy None are great prospects headed into Tuesday's session, however. Rather, it's the stock charts of DISH Network (NASDAQ:DISH), WellCare Health Plans (NYSE:WCG) and Synopsys (NASDAQ:SNPS) worth closer looks. Synopsys (SNPS)Sometimes it takes one last big, high-volume selloff called a capitulation to get a new uptrend started. Other times, the opposite applies. It takes what looks to be a heating up of an already impressive rally to kickstart an overdue pullback.That appears to be what's materialized for Synopsys over the course of the past few days. For the better part of last week, it looked like it could do no wrong. As of yesterday though, it's breaking down key technical support in a rather decisive fashion. Click to Enlarge * Monday's close below the purple 50-day moving average line is a red flag, but made even more alarming by the fact that the stock jumped to new 52-week highs on a volume surge on Thursday. * Zooming out to a weekly chart we get a feel for just how overextended the rebound from early in the year was. Up more than 50% for the four-month stretch, profit-takers are getting antsy. DISH Network (DISH)A couple of weeks back, DISH Network moved onto traders' radars as a bullish candidate thanks to its so-called 'golden cross,' where the 50-day moving average line moves back above the 200-day moving average. Shares ended up bumping into an established ceiling around $35.55 though, setting the stage for what ended up being a sizeable intraday pullback on Monday.The nature of that stumble and what happened in the middle of yesterday's action, however, sets the stage for not just more bullishness, but the breakout thrust that couldn't get going in earnest a month ago. * 7 ETFs for Healthy Healthcare REITs Click to Enlarge * The sheer height and shape (and placement) of Monday's bar is the key. All it took was a kiss of the gray 100-day moving average line to chop the intraday loss in half. * The volume spike is another key clue of potential bullishness. The mass migration in and out of the stock suggests all the would-be sellers and weak hands were flushed out. * The clinchers for the clue are a follow-through break above the near-term ceiling around $35.55 and then last year's high around $37, marked in yellow on both stock charts. WellCare Health Plans (WCG)With nothing more than a quick glance, WellCare Health Plans just looks like a volatile, indecisive stock. And, perhaps that's all it is. There has been more method to the madness of late than it seems with just a superficial glance though, and the bullish argument got even better last week, and better still on Monday. There's just one proverbial fly in the ointment.The recent buy signal is last week's cross back above the 200-day moving average line, plotted in white on both stock charts. That line appeared to serve as support yesterday. Click to Enlarge * At the same time, WCG shares are logging higher lows. * Although impressively bullish since late last week despite the marketwide bearish tide, the bullish volume is thin and waning. * The line to watch from here is just under $290, where WellCare Health Plans peaked a couple of times since the beginning of the year. That ceiling is marked in red on both stock charts. * The long-term uptrend has been bullish for years, driven by a rising support line that extends back to 2016.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 * 4 Top American Penny Pot Stocks (Buy Before June 21) * 7 Stocks to Buy for Over 20% Upside Potential * 5 Large-Cap Stocks Holding Steady Amid Trade War Concerns * 7 ETFs for Healthy Healthcare REITs Compare Brokers The post 3 Big Stock Charts for Tuesday: Synopsys, DISH Network and WellCare Health Plans appeared first on InvestorPlace.
Shares of chipmakers rebounded from a sell-off on Tuesday after the U.S. temporarily eased some trade restrictions on China's Huawei.
A Look at NASDAQ’s Worst Performers YesterdayNASDAQ 100On May 20, the NASDAQ 100 Index continued to tank for the second consecutive day. In the last couple of days combined, it has lost nearly 3%. In the weeks ended May 10 and May 17, the NASDAQ
Marvell (MRVL) aims to enhance its product portfolio with the impending acquisition of Avera Semiconductors, which is expected to close by January 2020.
Stock futures signaled solid market gains as the U.S. eased Huawei curbs. On Monday those curbs triggered a big sell-off in chip stocks like Broadcom and sent the Nasdaq tumbling.
Post U.S. blacklist, Google denied Huawei access to certain updates to the Android system. Here, we study the impact of the ban on some semiconductor ETFs with exposure to Huawei's key U.S. suppliers.