As the craze of earnings season draws to a close, here’s a look back at some of the most exciting (and some less so) results from Q1. Today, we are looking at processors and graphics chips stocks, starting with Lattice Semiconductor (NASDAQ:LSCC).
Let’s dig into the relative performance of Penguin Solutions (NASDAQ:PENG) and its peers as we unravel the now-completed Q1 processors and graphics chips earnings season.
Semiconductors are the silicon backbone of the digital revolution. The amount of data we ingest is also increasing exponentially, leading to elevated demand for chips with more processing power.
This secular trend has buoyed the industry, which has posted a six-month return of 3.4%, almost identical to the S&P 500.
As the craze of earnings season draws to a close, here’s a look back at some of the most exciting (and some less so) results from Q1. Today, we are looking at processors and graphics chips stocks, starting with AMD (NASDAQ:AMD).
Quarterly earnings results are a good time to check in on a company’s progress, especially compared to its peers in the same sector. Today we are looking at Allegro MicroSystems (NASDAQ:ALGM) and the best and worst performers in the processors and graphics chips industry.
The end of an earnings season can be a great time to discover new stocks and assess how companies are handling the current business environment. Let’s take a look at how Seagate Technology (NASDAQ:STX) and the rest of the semiconductors stocks fared in Q1.
Wall Street has set ambitious price targets for the stocks in this article.
While this suggests attractive upside potential, it’s important to remain skeptical because analysts face institutional pressures that can sometimes lead to overly optimistic forecasts.
Value stocks typically trade at discounts to the broader market, offering patient investors the opportunity to buy businesses when they’re out of favor.
The key risk, however, is that these stocks are usually cheap for a reason – five cents for a piece of fruit may seem like a great deal until you find out it’s rotten.
A number of stocks jumped in the afternoon session after the major indices rebounded (Nasdaq +2.0%, S&P 500 +2.0%) as President Trump postponed the planned 50% tariff on European Union imports, shifting the start date to July 9, 2025.
The Russell 2000 (^RUT) is packed with potential breakout stocks, thanks to its focus on smaller companies with high growth potential.
However, smaller size also means these businesses often lack the resilience and financial flexibility of large-cap firms, making careful selection crucial.
Stocks trading between $10 and $50 can be particularly interesting as they frequently represent businesses that have survived their early challenges.
However, investors should remain vigilant as some may still have unproven business models, leaving them vulnerable to the ebbs and flows of the broader market.
Small-cap stocks can be incredibly lucrative investments because their lack of analyst coverage leads to frequent mispricings.
However, these businesses (and their stock prices) often stay small because their subscale operations make it harder to expand their competitive moats.
The regular session of the US market on Wednesday is now over, but let's get a preview of the after-hours session and explore the top gainers and losers driving the post-market movements.
