15 Chip Stocks That Are Real Bargains. They Just Keep Getting Cheaper

Feb 24, 2022

15 Chip Stocks That Are Real Bargains. They Just Keep Getting Cheaper.

The larger market correction in recent months has been particularly hard for chip firms, with the PHLX Semiconductor Index down around 16% so far in 2022.

Advanced Micro Devices (AMD) and Nvidia (NVDA) are among the high-profile decliners, but the suffering has been more widespread. II-VI (IIVI) is the index's sole component with a positive year-to-date return.

That is not to say that demand for chips has decreased—quite the contrary. Due to persistent global shortages and supply chain disruptions, chip stocks have taken a battering in the market, despite robust demand for the items they create.

It's an opportunity to get a deal that has only improved since Barron's last examined the issue.

When we conducted a filter in December to identify the Sox's 14 cheapest stocks in terms of projected price/earnings ratios, the average for the index as a whole was 30.5 times.

The 14 cheapest chip stocks on that screen, as shown below, are currently down an average of 12.7 percent year to date.

Circling Back

https://liquidity-provider.com/app/uploads/2022/02/unnamed-56.png

That is better than the wider than broader Sox and the recent 16 percent loss in the Nasdaq Composite. II-VI, which was priced at 18.5 times anticipated earnings, was the only winner on that list, having returned 2.9 percent year to date. This is far from a home run.

While this is hardly causing celebration, it is positive news for bargain hunters. The average forward P/E ratio has decreased to 27.5 times the expected 2022 per-share profits following the decline.

The table below lists the 15 cheapest semiconductor stocks based on their recent prices.

Chips at a lower price

The fifteen lowest price-to-earnings ratios in the PHLX Semiconductor Sector Index to 2022

https://liquidity-provider.com/app/uploads/2022/02/unnamed-57.png

Amkor Technology (AMKR) and Micron Technology (MNC) exchanged positions but remain the two cheapest chipmakers. Both stocks have performed better than their counterparts, recently fallen 8.3 percent and 2.8 percent, respectively, year to date. Qorvo(QRVO) and Skyworks Solutions remain fourth and fifth, respectively, in the rankings.

Intel (INTC) shares, which were ranked fifth on both screens, were down 12.6 percent year to date. Intel's analyst day last week made it quite obvious that the company's years-long turnaround strategy would be costly. Despite this, Raymond James analyst Chris Caso raised the company to Market Perform from Underperform on Wednesday, stating that his decline thesis had been validated.

Qualcomm (QCOM) is in sixth place, down 9.3 percent despite the company's quarterly earnings above projections.

ON Semiconductor (ON), NXP Semiconductors (NXPI), Microchip (MCHP), Applied Materials (AMAT), Lam Research (LRCX), KLA (KLAC), and Broadcom (AVGO) all maintained their positions on the list despite suffering double-digit declines.

Analog Devices (ADI) and Texas Instruments (TXN) are new entrants, respectively, following falls of 8.5 percent and 11%. The earnings report issued by Analog Devices last week was an encouraging omen since it featured a better-than-expected projection. Despite Texas Instruments' better-than-expected January earnings, Caso, the Raymond James analyst, downgraded his rating from Outperform to Market Perform earlier this month, noting the company's expenditure plans.

It's critical to remember that a screen serves as a starting point for investors looking for neglected opportunities. A cheap stock may be such for a reason, but an expensive stock may have significant upside potential if its growth prospects improve. Nonetheless, with the recent correction, it may be simpler to identify deals.

Subscribe Our Newsletter

As If Omicron Weren't Enough, Congress is Fighting Over Debt
As If Omicron Weren’t Enough, Congress is Fighting Over Debt And Spending Again

Markets are spooked by the Omicron strain and inflation fears. As if investors didn't have enough to worry about, the country's officials are squabbling about debt and spending in ways that might lead to the government shutting down.

Banks and Finance
Shopify Stock Price Surges 25%: Is It Still a Buy?

Nato

Shopify Stock Price Soars to Three-Year High Following Exceptional Q3 Performance

Shopify stock price surges after robust Q3 results, with analysts raising their Shopify stock forecast. Is Shopify a good stock to buy now?

Stocks
Get the ultimate solution: B2BinPay Get the ultimate solution: B2BinPay
Sponsored
Nato

Decentralized Physical Infrastructure Network (DePIN) Explained
Explore DePINs, how they work, their benefits, and real-world applications in wireless connectivity, energy distribution, and data storage solutions.

discover
Top 10 AI Stocks to Invest in 2024

Anna

10 Best AI Stocks To Invest In 2024

AI enters various sectors, including the financial industry. From this article, you’ll learn about the best AI stocks to invest in to get the maximum profit.

Investing
Contact us bg

Contact Us

Contact the Liquidity Provider
for any questions and advertising inquiries

    Please fill out this contact form to get in touch with us

    / 3000

    By clicking “Get in touch” button, you agree to the privacy policy

    Successful!
    Thank you for your request.
    We will contact you shortly.
    Close

    Constantine

    Triple Net Lease: Meaning, Benefits, and Strategies Explained

    Constantine

    Hanging Man Pattern: How to Identify and Trade It Effectively

    Hanging Man Pattern

    Alex

    5 Infinite Banking Mistakes That Could Cost You Thousands

    Infinite Banking Mistakes to Avoid

    Aleksander

    Solana Firedancer: Solving Solana’s Biggest Problems with a New Engine

    Solana Firedancer explained

    Alexander

    What Is an Interest Coverage Ratio? How to Use This Financial Metric to Evaluate Company Health

    Interest Coverage Ratio Explained

    Hazem

    After-Hours Trading: Can You Trade After Financial Markets Close?

    After-Hours Trading Explained

    Alexander

    How to Scale a Crypto Exchange Business and Stay Competitive

    how to scale crypto exchange business

    Constantine

    Crypto CrypticStreet Review: The Future of DeFi and Secure Crypto Trading

    Crypto CrypticStreet Review: The Future of DeFi and Secure Crypto Trading

    Alexander

    Bitcoin Power Law Explained: How It Shapes BTC’s Long-Term Growth

    Bitcoin Power Law Explained: How It Shapes BTC’s Long-Term Growth

    Hazem

    Megaphone Pattern​: What Is It? How to Use It In Trading

    Megaphone Pattern​: How to Read & Trade with It

    Constantine

    Top 5 Liquidity Bridge Providers in DeFi

    Top 5 Liquidity Bridge Providers in DeFi

    Hazem

    Max Funded IUL Explained: Is It a Legitimate Financial Strategy?

    Understanding Max Funded IUL

    Alexander

    Tax Refund Timeline: When Will You Get Your Tax Return?

    how long does it take for tax refund

    Constantine

    Crypto Liquidity — What is it, and How to Measure It?

    What is Crypto Liquidity and How to Measure It?

    Constantine

    AI in Finance: A Game-Changing Trend Shaping the Industry

    AI in Finance

    Hazem

    5 Ways to Make Money with ChatGPT and Build Your Wealth

    Make Money with ChatGPT

    Constantine

    Top AI Companies to Invest in April 2025

    Top AI Companies to Invest in March 2025

    DeepSeek vs ChatGPT: Which AI Technology is Better For You?

    DeepSeek vs ChatGPT: Feature-by-Feature AI Tool Comparison

    Constantine

    Top Solana Meme Coins in 2025: Best Presales and Where to Buy

    Solana Meme Coins 2025

    Alexander

    How Renewable Energy Stocks Can Supercharge Your Portfolio

    How Renewable Energy Stocks Supercharge Your Portfolio

    SEC Crypto Regulations: What Financial Advisors Need to Know

    SEC Crypto Regulations: Insights for Financial Advisors

    Hazem

    The Cup and Handle Pattern – How Trade Using This Bullish Indicator?

    Cup and Handle Pattern – How to Predict Price Breakouts?

    Hazem

    Year-Over-Year (YoY): What It Means? How It’s Used in Finance?

    Year-Over-Year (YoY): How to Calculate Business Performance?

    Constantine

    What is WAGMI and NGMI? Understanding Crypto Slangs

    WAGMI vs. NGMI
    liquidity-provider-logo
    • News
      • Stock Market Forecast
      • Stocks
      • Banks and Finance
      • Companies
      • Crypto
      • Forex
      • AI
      • Technology
      • DeFi
      • NFT
    • Articles
      • Crypto Payments
      • Trading
      • Crypto Exchange Business
      • Forex Business
      • Fintech
      • Liquidity
      • FinTech Awards
      • Blockchain
      • Investing
      • NFT
      • DeFi
    • More
      • Videos
      • Liquidity Providers List
      • Crypto Payment Providers
      • White Label Brokerage Platforms
      • Broker CRM Platforms
    [email protected]

    © 2024 Liquidity Provider. All Rights Reserved

    Privacy Policy Cookie Policy
    This site is registered on wpml.org as a development site. Switch to a production site key to remove this banner.