The Four Best Semiconductors & Semiconductor Equipment Stocks to Buy Right Now


The semiconductor industry is one of the most critical segments of the technology space, given its ability to facilitate rapid innovation across virtually every other field. It’s fair to say that almost every piece of tech you use in your daily life has semiconductor technology somewhere inside. For example, nearly all computers — desktop, laptop, and mobile — use semiconductors as their primary processing engine. Similarly, many communications devices such as cell phones and wireless routers also rely on semiconductors to send voice signals or data packets from one device to another. Even digital cameras and camcorders use semiconductors for image processing; GPS devices measure distances and speed, while Bluetooth headsets and speakers use them for wireless audio streaming. Even the humble thermometer uses semiconductor sensors to measure body temperature!

Allegro MicroSystems (ALGM)

ALGM is an integrated circuit (IC) manufacturer that makes IC products across various end-user applications and markets. The company has a market cap of approximately $1.6 billion, and its share price has been volatile in recent weeks due to a significant drop in November. Given the recent volatility in the semiconductor sector, this timing made it a compelling choice for inclusion in this list. Specifically, analysts believe that the industry may be experiencing a cyclical slowdown, causing investors to pull their money out of the industry. The company’s main products include data conversion, signal conditioning, and power delivery solutions, primarily for the industrial and medical segments. In addition, ALGM also makes IC products for automotive, computer networking, and telecommunications applications.

Synaptics (SYNA)

Synaptics is a leading provider of human interface solutions, including touch and proximity sensors, capacitive touch-enabled products, and related software. The company’s products are used in various end-user applications, including notebook PCs, desktop PCs, smartphones, tablets, ATMs, and automobile touchscreens. The company has a market cap of approximately $6.5 billion, with its share price dropping significantly in the past several months. This makes it a…

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