Although Apple (Nasdaq: AAPL) is a dominant technology company, its various business lines tend to peak and trough, which may cause suppliers’ orders and revenues to be inconsistent. In addition, the company recently announced plans to begin using its own chips on Macintosh computers by 2020. Therefore, for technology investors who want to keep the semiconductor industry very hot, they focus on little or no exposure to Apple.
We have screened Merrill Lynch’s research database, in which semiconductor stocks rated Buy have invested far less in Apple than other companies, and have found five companies that look as good as they are today. Although they do have a sustained Apple business, the lower iPhone X sales should not be a problem. Merrill Lynch cut Apple’s supplier estimates on Friday.
As Taiwan’s semiconductor manufacturing industry moved forward with guidance, the industry was also hit on Friday. Many people think this is the result of Apple’s business slowdown. So investors are provided a good entry point.
Top Semiconductor Stocks to Buy For 2018: Analog Devices
This stock is likely to benefit from the increase in information technology (IT) spending. Analog Devices USA (Nasdaq: ADI) is a leader in the design, manufacture and marketing of analog, mixed-signal and digital signal processing integrated circuits (ICs) for global industrial, automotive, consumer and industrial applications. Communication market. It provides signal processing products that convert, modulate and process real-world phenomena (such as temperature, pressure, sound, light, speed, and motion) into electrical signals.
Last year, the company introduced a highly integrated multiphase analog front end whose power quality analysis was designed to help extend the health and life of industrial equipment while saving developers significant time and cost, rather than custom solutions. Realizing very accurate, high-performance power quality monitoring often requires custom development, which can be expensive and time consuming.
Analysts believe that the acquisition of Linear Technology earlier this year is a huge positive news. In addition, many on Wall Street expect that corporate governance will eventually exceed the target synergy of $150 million.
ADI investors received a fixed dividend of 2.14%. Merrill Lynch’s target price is $110. The Wall Street consensus price target finally reported at $103.14. The stock closed at $89.76 per share on Friday.
Top Semiconductor Stocks to Buy For 2018: Cypress Semiconductor
The stock exchange provides a fantastic entry point for investors who wish to increase their holdings. Cypress Semiconductor Corporation (Nasdaq:CY) manufactures and sells embedded system solutions for the automotive, industrial, home automation and consumer electronics, consumer electronics and medical markets.
Its product portfolio includes programmable on-chip systems (PSoC), general-purpose microcontrollers, analog ICs, USB controllers, connectivity chips (Bluetooth, Wi-Fi, Zigbee) and memory chips. As the automotive market is driving sales growth, the company’s exposure to Apple is limited.
Cypress shareholders receive a 2.66% dividend. Merrill Lynch’s target price is $22, while the target price is $20.15. The stock closed at $16.20 per share on Friday.
Top Semiconductor Stocks to Buy For 2018: Maxim Integrated Products
This company provides Samsung with some chips for the Red Hot Galaxy series. Maxim Integrated Products Inc. (Nasdaq: MXIM) designs, develops, manufactures, and markets a broad range of linear and mixed-signal ICs worldwide. The company also offers a range of high-frequency process technologies and features for custom designs. It mainly serves the automotive, communications and data centers, computers, consumer and industrial markets.
Although the company only released internal data for the fourth quarter, it did provide strong guidance for the automotive, industrial, data center and seasonal consumers (Samsung, Nintendo). If you expect to announce first-quarter results on April 26, this may be a big plus.
As the company continues to generate large amounts of cash and targets 80% dividend payout, Merrill Lynch has always supported Maxim. The company’s dividend yield is close to the five-year average, and the company has added a dividend every time in the past six years. This good view is based on the expectation of continued strong growth of the car, achieving double-digit year-on-year growth and continuous growth in the industrial sector.
Maxim shareholders paid a 3.09% dividend. The price target of $68 for Merrill Lynch is higher than the consensus target of $61.18 announced. The stock recently closed at $54.40 per share.
Top Semiconductor Stocks to Buy For 2018: Microchip Technology
This company is a huge Internet of Things sponsor. Microchip Technology Inc. (Nasdaq: MCHP) is a leading provider of microcontroller, mixed-signal, analog and flash IP solutions, providing low-risk product development for thousands of different customer applications worldwide, and lower The total system cost and faster time to market.
The company recently received a US anti-monopoly approval receipt for the acquisition of Microsemi. The company now expects to complete the acquisition of the company in June this year.
Microchip investors will receive a 1.71% dividend. Merrill Lynch set its target price at 110 U.S. dollars. The consensus price target last appeared at $111.56 and last week it closed at $85.68 per share.
Top Semiconductor Stocks to Buy For 2018: ON Semiconductor
Active accounts may want to see this small cap. ON Semiconductor Corporation (Nasdaq: ON) is a supplier of analog power management, analog signal conditioning, standard logic ICs and discrete chips for automotive, communications, computing, consumer, industrial and medical applications. Through organic growth and acquisitions, the company is in the process of transitioning from commodity discrete chip vendors to high-value analog ICs.
Analysts believe that ON is an underestimated way for investors to benefit from the advent of advanced driver assistance systems and ultimately autopilot. Although the company itself is subject to leverage (operational and financial), investors are concerned about cyclical volatility, but many companies still see the structural upside of the stock.
Merrill’s price target is 29 dollars. The published consensus target is $23.30 and the last transaction price of the stock price is $23.63.