Analysts Back $980.9 Billion Micron, Warn Off Intel and onsemi as Chip Stocks Gain 46.5%
Updated
Updated · Yahoo Finance · Aug 14
Analysts Back $980.9 Billion Micron, Warn Off Intel and onsemi as Chip Stocks Gain 46.5%
3 articles · Updated · Yahoo Finance · Aug 14
Summary
Micron emerged as analysts’ preferred semiconductor pick, while Intel and onsemi were flagged as stocks to avoid despite strong sector momentum.
46.5% gains for semiconductor shares over the past six months have been fueled by AI-driven demand for more powerful chips, far ahead of the S&P 500’s 13.5% return.
Intel drew concern after revenue fell 4.9% annually over five years, EPS dropped 27.1% annually amid share issuance, and the company continued burning cash.
onsemi also landed on the avoid list after revenue declined 10.8% annually over two years, gross margin trailed peers at 38.2%, and operating margin fell 16.9 percentage points.
Micron’s bullish case adds to earlier optimism around AI memory demand, with New Street on Friday upgrading the stock to Buy and setting a $1,250 target.