It’s big week for semiconductor stocks, with two deals this week. Advanced Micro Devices (AMD) is buying Xilinx (XLNX) and Marvell Technology Group (MRVL) is acquiring Inphi (IPHI).
Both shift the buyers toward the growth areas of cloud-computing, data centers and 5G. It’s especially interesting for AMD because it will help its move away from PCs.
Speaking of PCs, look at Intel (INTC). It’s cratered exactly because it’s been unable to evolve beyond PCs.
The Philadelphia Semiconductor Index ($SOX) is rebounding today after dropping to its 50-day moving average yesterday. Big holdings include Nvidia (NVDA), Qualcomm (QCOM), Texas Instruments (TXN) and Broadcom (AGVO).