Chip Stock Investor

They sit at the center of the global semiconductor production. The more advanced computing the world needs, the more important leading-edge manufacturing becomes... But, there are also some major risks. One of them being geopolitics because so much of the advanced chip manufactur

— Chip Stock Investor, at 0:06

Think Nvidia or Taiwan Semiconductor Manufacturing. They can essentially tell their customers what things cost, and the customers pay that money. That pricing power means incredible profitability over time. In good years, they soar, in bad years, they stay profitable. Those are t

— Chip Stock Investor

Chip fab capacity is absolutely maxed out and that has been quite the benefit to Taiwan Semiconductor Manufacturing TSMC, but there are some new risks emerging that we should break down.

— Chip Stock Investor

despite all of the risks from competitors, old and new supply chain disruption, also not a new thing for TSMC. They've been through plenty of supply chain disruptions. Just in the last six years alone, the company has got a lot figured out. It seems like they know what they're do

— Chip Stock Investor

the cleaner investments in the CPU markets, especially if you're just looking at CPUs alone for these two businesses is still definitely AMD.

— Chip Stock Investor

the cleaner investment in the CPU market, especially if you're just looking at CPUs alone for these two businesses, is still definitely AMD.

for us, this is a point where we would pass on a company like Marvell and look for some other more compelling values within the semiconductor universe

— Chip Stock Investor

you can obviously ascertain from this that Marvell is not a cheap stock. But management keeps increasing the guidance expecting revenue to nearly double over the course of the next two to three years. If that's true, well, Marvell shareholders could have a good one on their

We do see some really positive changes to how Micron is functioning... 80, almost 90% gross margins and 70% plus operating margin is just not sustainable... you should also factor in a scenario where Micron stock runs into some volatility because the market has overshot on this e

— Chip Stock Investor

Micron it's definitely in a secular growth trend, but there is a relatively short sales cycle, which we gave it an X. Does it have a niche advantage? No, it does not. But when we look at all of these other items, we can give it a green check mark.

let's go back to the boring, most obvious AI infrastructure and video. Nvidia. We're we're talking about the five-layer cake assumptions. We are all out building, especially the bottom three layers. That's where all the investment is flowing in 2025, 2026, and probably also in 20

— Chip Stock Investor

Think Nvidia or Taiwan Semiconductor Manufacturing. They can essentially tell their customers what things cost, and the customers pay that money. That pricing power means incredible profitability over time. In good years, they soar, in bad years, they stay profitable. Those are t

we are unchanged in our expectations for Broadcom, more than happy to continue holding this stock and a basket of other companies related to AI data center infrastructure build-out in the semiconductor space

— Chip Stock Investor, at 7:45

We've owned Broadcom for a long time. We're very happy to continue owning it. Is it a buy right now? That depends on your belief in management's outlook. Can they continue to deliver this massive amount of growth this year and into 2027? If they do, might still be a pretty decent

One that we've been talking about for the last two years that is likely to continue benefiting from this trend is GE Vernova.

— Chip Stock Investor

We do think it is now closer to fair value than not. It's not an undervalued asset especially like it was two years ago. However, if you already own this one, obviously it has been a good idea to just leave it alone, and I think that still stands, especially when you look at

also within communications are internet companies that rely on advertising, like Alphabet, Google, and Meta, Facebook and Instagram. That is definitely a cyclical part of the communications industry.

— Chip Stock Investor, at 3:40

21.8% year over year revenue growth in Q1, 63% year over year growth for Google Cloud...Total operating profit margin, 36.1%, which is pretty incredible...Huge operating margin increases, especially as Google Cloud, has grown so much the last couple of years...Great stuff here fo

Intel still has a lot of work to do to get itself back into fighting shape. It is obviously in the early innings of doing just that. So, that's great. But, the cleaner investments in the CPU markets, especially if you're just looking at CPUs alone for these two businesses is stil

— Chip Stock Investor

Intel's always behind the eight ball. This is what happens when you're playing from your back foot. So this is Intel's problem. It's market to lose... Intel is probably just going to lose more market share because someone will meet that demand.

One company that we've liked for the last couple of years and continue to talk about it at Chip Stock Investor is Lam Research... it's not just the manufacturing equipment that they sell, but also the ongoing services that they provide to their customers that have made them a

— Chip Stock Investor

A lot to still like with Lam Research here at this point... we're happy to continue holding.

also within communications are internet companies that rely on advertising, like Alphabet, Google, and Meta, Facebook and Instagram. That is definitely a cyclical part of the communications industry.

— Chip Stock Investor, at 3:40

33% year over year revenue growth to 56 billion. That's not the problem here...the CapEx guidance, did increase significantly. More than half of their revenue is getting spent this year in CapEx...operating margin 40.6% in Q1 compared to 41.5% in Q1 2025. So a little bit of a dip

AI is very much a benefit, as we talked about three months ago now, when Palo Alto and the other two of the big three, CrowdStrike and Fortinet were like half the price. Palo Alto was almost half the price it was now. We said of all the software companies out there, these guys

— Chip Stock Investor

Perfect example of that is Palo Alto Networks. And there's a direct correlation to those three things... what they're able to do as a result of being a platform is they actually can go directly to customers themselves without relying on those, let's say, Salesforce augmenters...

If you're Amazon shareholder like us, you're not even gonna feel that. When the deal goes through. If it gets approved, you're not even gonna notice, what happened there.

— Chip Stock Investor

This product line is probably not going to be making a huge difference to the bottom line for ASML, at least not this year... However, we do truly believe that advanced packaging is going to be one of the next inflection points in semiconductor manufacturing.

— Chip Stock Investor

These five companies, Palo Alto Networks, Fortinet, CrowdStrike, CloudFlare, and Rubrik is a newer addition just this last year. All of these, except for Rubrik, are long-term holdings for us. We still like them very much.

— Chip Stock Investor

they've been missing out. IBM has actually done a really terrible job of getting in on this early. And so now they have to play a little bit of catch up... they've stabilized the business, and now they, because they're still profitable, have the ability to go out, invest in this

— Chip Stock Investor

KLA being the biggest of the metrology companies, that's still interest us the most of all the different subsegments within this.

— Chip Stock Investor

Is Microsoft a good starting point for investing in cybersecurity? Yes. All the hyperscalers are where everybody should start their cybersecurity investing journey... Microsoft especially, with that claim, 37 billion in fiscal 2025 revenue. They're the biggest in the world.

— Chip Stock Investor

These five companies, Palo Alto Networks, Fortinet, CrowdStrike, CloudFlare, and Rubrik is a newer addition just this last year. All of these, except for Rubrik, are long-term holdings for us. We still like them very much.

— Chip Stock Investor

ServiceNow, just dipping their toes in the water, getting involved in cybersecurity

— Chip Stock Investor