Semi-Conductor Stocks

By | March 1, 2014

Semi-conductor stocks

The real key to making money in stocks is not to get scared out of them.

Peter Lynch

If you have consider looking into the possibility of purchasing some semi-conductor stocks, then knowing what you should be looking for this year is going to give the basis for any potential stock buys; after looking more closely at the company and making sure they are right for you.

Understanding the meaning of semi-conductor stocks

This area of investment looks at certain companies that produce semi-conductors, or another name for the product is ‘chips’. These chips are used in the production of many different appliances and they have taken off in the development of new technology. They are the technology that is found in mobile phones, computers and almost any other electrical appliance that is recently manufactured.

They are a specialized component but they are highly sort after commodity. This is shown in the prices some of these companies are demanding in their stock price levels. But be warned, just because some of the top companies have seen a rise in prices, they could still drop, potentially losing money that you have invested in the market, depending if you are looking to make a quick profit or if you are looking to hold onto the stocks long term.

These chips are massed produced in companies around the world. It will depend on what investment you are looking for and where you want to invest your money as to the top companies that you might choose.

Three companies have shown they are following this year’s popular markets. Each of these companies has seen improvement but that doesn’t mean that they are the companies that you should invest in. It depends on what you are looking for and how much you are looking to invest. Therefore, it is always important to do your own research into the company before making a final decision.

  • FSI International, this company first opened in 1973 but was bought in 2012 by the Tokyo Electron company. This company specializes in providing the equipment needed for the production of microelectronics industry. It appears this company is one of the ones to watch this year; this company is predicted to see some rises in the price of the shares this year.
  • China Sunergy, this company was founded in 2006 with the recent value of the stock sitting at just $5.88 dollars. This is value is on the decrease so caution is warranted for the prospects of this company. China Sunergy produces the chips used in the solar cells that the company produces. The market is looking positive for the green power this year, which is why you should consider it as an option. But, a further in-depth review is necessary before making your mind as to the potential of the company
  • Marvell Technology was founded in 1995 with the headquarters in Bermuda and employing around the 7000 staff members. Certainly, this company should be on any short list. Each share is worth around the $15 US dollars and this has recently seen an increase in value. They create semi-conductors for the communication networks; it is a market that is seeing the biggest increase in demand in recent years brought about by the demand for smart phones increasing.

These are just three selections of the possibilities of companies in the semi-conductor area, but before you invest in any of them make sure that you have thoroughly checked the company before investing any money in the stock markets.

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