P/E Ratio Rank: How You Can Profit from the Explosion of AI Chip Sector
[Miser][Miser][Miser] $Advanced Micro Devices(AMD)$ 's CEO Lisa Su predicts the AI chip market will explode from $150B to $400B in four years.
This kind of growth is unheard of, and many companies would benefit from these wave.
Below are some semiconductor companies with NTM P/E by @StockSavvyShay, Co-Host of@PoundingDaTable.
He said: the AI chip sector is not just growing, it's exploding.
Image
He listed the stocks rank by Next Twelve Months (NTM ) P/E: $Cadence Design(CDNS)$ , $Advanced Micro Devices(AMD)$ $ASML Holding NV(ASML)$ , $Intel(INTC)$ $Lam Research(LRCX)$ $NVIDIA Corp(NVDA)$ $KLA-Tencor(KLAC)$ , $Broadcom(AVGO)$ , $Applied Materials(AMAT)$ , $Taiwan Semiconductor Manufacturing(TSM)$ $VanEck Vectors Semiconductor ETF(SMH)$
What the meaning of NTM P/E :
Definition of P/E Ratio (NTM). The multiple of forecast earnings for the next twelve months that stock investors are willing to pay for one share of the firm.
The P/E ratio is calculated by dividing the market value price per share by the company's earnings per share. A high P/E ratio can mean that a stock's price is high relative to earnings and possibly overvalued. A low P/E ratio might indicate that the current stock price is low relative to earnings.
From this point of view, the top 5 stocks with lower stock prices relative to earnings are:
Will they have more potential to up higher in 2024？
Below are the YTD2023 of the stocks listed on pounding the table:
It looks like the top 5 with the lowest gainers are: $ASML Holding NV(ASML)$ , $Taiwan Semiconductor Manufacturing(TSM)$ $KLA-Tencor(KLAC)$ $Applied Materials(AMAT)$
Recent News of the semiconductor companies:
Disclaimer: Investing carries risk. This is not financial advice. The above content should not be regarded as an offer, recommendation, or solicitation on acquiring or disposing of any financial products, any associated discussions, comments, or posts by author or other users should not be considered as such either. It is solely for general information purpose only, which does not consider your own investment objectives, financial situations or needs. TTM assumes no responsibility or warranty for the accuracy and completeness of the information, investors should do their own research and may seek professional advice before investing.
