|Bid||62.05 x 1000|
|Ask||62.06 x 900|
|Day's range||61.08 - 62.94|
|52-week range||43.20 - 69.29|
|Beta (5Y monthly)||0.82|
|PE ratio (TTM)||12.04|
|Earnings date||23 Jul 2020 - 27 Jul 2020|
|Forward dividend & yield||1.32 (2.12%)|
|Ex-dividend date||06 May 2020|
|1y target est||62.62|
Advanced Micro Devices (NASDAQ: AMD) is showing no signs of slowing down despite the adverse impact of the COVID-19 outbreak on businesses and economies around the globe. According to Mercury Research, AMD held 4.5% of the server processor market at the end of 2019. There are rumors that the chipmaker is aiming to attain 10% market share in server CPUs (central processing units) by the end of 2020 -- and seems to be making solid progress toward its goal.
(Bloomberg) -- The list of Intel Corp.’s annual supplier award winners tends to read like a who’s-who of the semiconductor industry’s biggest names. This year, it included a little-known Japanese company whose machines have become indispensable in the race to improve semiconductors and whose stock has been rocketing up as a result.Lasertec Corp. is the world’s only maker of testing machines required to verify chip designs for the nascent extreme ultraviolet lithography (or EUV) method of chipmaking. In 2017, Lasertec solved a key piece of the EUV puzzle when it created a machine that can inspect blank EUV masks for internal flaws. Last September, it cleared another milestone by unveiling equipment that can do the same for stencils with chip designs already printed on them. This March, Intel gave the tiny Yokohama-based company an award for innovation, its first after decades of doing business together.“That’s a major milestone for us,” Lasertec President Osamu Okabayashi said in an interview. “It means a lot to be recognized this way as a supplier.”The company’s stock has soared about 550% since the start of 2019, more than twice the gain of the second-best-performing security in the benchmark Topix index. Shares increased about 4% Tuesday, pushing its rise this year to more than 60%.Intel declined to say if it was buying EUV equipment from Lasertec, which already supplies test gear to its rivals Samsung Electronics Co. and Taiwan Semiconductor Manufacturing Co. The three chip fabricators are the only ones so far to announce EUV plans, because the technology is so complex and expensive. Okabayashi would only say that his company has “two or more” EUV customers.“This can be read as a sign that Lasertec’s tools are indispensable to Intel’s EUV roadmap.” said Damian Thong, an analyst at Macquarie Group Ltd.Read more: Japan’s Star Electronics Stock Will Be Vital to Intel, SamsungEUV is just entering the mass production phase after two decades in development, but investors are already betting Lasertec will be one of the key beneficiaries. The move to EUV overcomes key hurdles to shrinking manufacturing geometries of semiconductors, allowing more and smaller transistors to be crammed onto silicon. It promises to unleash another wave of gadgets that are slimmer, cheaper and more powerful.Last month, Lasertec raised its annual order forecast for the second time this year to 85 billion yen ($789 million) in the period ending June, nearly double the amount it received in fiscal 2019. The company is headed for the fourth straight year of record revenue and profits. Sales will climb 39% to 40 billion yen and profit will jump 76%, according to its estimates. And that’s likely to be just the beginning.Samsung earlier this month said it is building a 5-nanometer fabrication facility that will use EUV to make processors for applications ranging from 5G networking to high-performance computing from the second half of next year. Taiwan’s TSMC is pushing ahead with plans to adopt 3-nanometer lithography mass production in 2022 and announced plans to build an advanced fab in the U.S. Intel’s first product made using EUV is expected late next year.Their primary focus is on so-called logic processors, used to power devices and networking applications, but the new manufacturing technique will eventually filter through into the production of DRAM and other memory chips.Read more: Samsung Takes Another Step in $116 Billion Plan to Take on TSMC“Logic makers will be first to adopt EUV, with memory makers following later,” Okabayashi said. “The real volume of orders will come when they reach mass production stage. Right now it’s 7- and 5-nanometer chips. 3-nanometer is still in development stage.”Okabayashi expects each customer will probably need several of his testers, which could cost well over $40 million apiece and take as long as two years to build. A chipmaker would need at least one machine in its mask shop to make sure the stencils come out right. Another would go into a wafer fab to keep an eye on the microscopic wear and tear that result from concentrated light being projected repeatedly through the chip design stencils.“Lasertec is still trying to get a feel for this market and how big it can be,” Macquarie’s Thong said. “Their stock is moving on expectation of future orders. But there is little actual visibility on the scale of this market, so Lasertec retains a lot of capacity for surprise.”(Updates with share price in fourth paragraph)For more articles like this, please visit us at bloomberg.comSubscribe now to stay ahead with the most trusted business news source.©2020 Bloomberg L.P.
One of the biggest winners in the semiconductor space over the past few years has been Advanced Micro Devices (NASDAQ: AMD). The CPU and GPU designer had long been an also-ran in the chip space, with minimal market share relative to CPU leader Intel (NASDAQ: INTC) and GPU leader NVIDIA (NASDAQ: NVDA). Look no further than AMD's stock price relative to the market for the last five years as evidence of its renaissance under CEO Lisa Su, who took over in 2014.
TSMC (NYSE: TSM), the world's largest contract chipmaker, recently announced plans to build a new $12 billion plant in Arizona by 2024. The announcement might seem like good news for Taiwan-based TSMC and Arizona, but it also indicates the company is becoming entangled in the escalating trade war. Let's see how this deal could affect TSMC's business, and whether or not it's becoming a pawn in the messy tech war between the U.S. and China.
The Zacks Analyst Blog Highlights: Intel, Adobe, Advanced Micro Devices, Wynn Resorts and Everest Re Group
(Bloomberg) -- Nvidia Corp. gave a quarterly revenue forecast in line with analysts’ estimates, helped by a surge in spending on internet infrastructure and purchases of computer gaming gear.Revenue will be about $3.65 billion in the fiscal second quarter, the Santa Clara, California-based company said Thursday in a statement. That compares with an average analyst estimate of $3.28 billion. The company’s prediction includes a “low-teens percentage” contribution to revenue from its acquisition of Mellanox Technologies, which some analysts hadn’t included in their forecasts.Nvidia is the biggest maker of semiconductors that improve video-game play on computers. The company has parlayed that strength into a growing position in data centers, where its chips are well-suited to artificial intelligence work. Owners of data centers are buying more chips and other components to handle an increase in online activity spurred by a large chunk of the world’s population sheltering in place during the Covid-19 pandemic.Revenue from gaming was $1.34 billion in the quarter. That was a gain of 27% from a year earlier but a decline of 10% from the prior period. Data center sales leapt 80% from the same quarter in 2019 and were up 18% from the fourth quarter, making it the only market to post sequential growth for Nvidia.The company was hurt by supply constraints at the beginning of the quarter as Nvidia’s customers – personal computer and graphics card makers – had to close plants. Later in the quarter, shelter-in-place shuttered retail outlets -- which affected sales of gaming products -- Chief Financial Officer Collette Kress said in a statement published on the company’s website.Chief Executive Officer Jensen Huang recently unveiled new graphics chips and computers for AI processing in data centers. The products challenge Intel Corp.’s dominance in this area.Read more: Nvidia Unveils New Data Center Chips to Speed Pace of AIGross margin, or the percentage of sales remaining after deducting the cost of production, will be about 66% in the current quarter, Nvidia also said.The shares were little changed in extended trading following the report. Earlier, they closed at $351.01 in New York. The stock has surged 49% this year.Beyond gaming and AI, Huang is targeting the market for self-driving vehicles, which require similar chip capabilities. Still, the majority of sales come from PC gaming, where Nvidia’s graphics chips create the most realistic experiences.Profit in the fiscal first quarter was $917 million, or $1.47 a share, compared with $394 million, or 64 cents a year earlier. Revenue surged 39% to $3.08 billion and profit excluding certain costs was $1.80 a share in the period, which ended April 26, the company said. Analysts, on average, had predicted earnings of $1.69 a share on sales of $3 billion, according to data compiled by Bloomberg.(Updates with divisional breakdown in fourth paragraph)For more articles like this, please visit us at bloomberg.comSubscribe now to stay ahead with the most trusted business news source.©2020 Bloomberg L.P.
Today we'll take a closer look at Intel Corporation (NASDAQ:INTC) from a dividend investor's perspective. Owning a...
(Bloomberg) -- Samsung Electronics Co. has begun building a cutting-edge chip production line intended to help it take on Taiwan Semiconductor Manufacturing Co. in the business of making silicon for external clients.South Korea’s largest company said it’s started construction on a 5-nanometer fabrication facility in Pyeongtaek, south of Seoul, dedicated to its made-to-order foundry business, an arena TSMC dominates. Based on the Extreme Ultraviolet Lithography or EUV process, Samsung expects the fab’s output to go toward applications from 5G networking to high-performance computing from the second half of 2021, it said in a statement.Samsung, the world’s largest maker of computer memory, smartphones and displays, in 2019 outlined its aim of spending $116 billion to compete with TSMC and Intel Corp. in contract chipmaking, making silicon for customers like Qualcomm Inc. or Nvidia Corp. Its announcement on Thursday coincides with the announcement of restrictions on the sale of semiconductors made with American gear to China’s Huawei Technologies Co., a constraint that threatens more than a tenth of TSMC’s business.“This will enable us to break new ground while driving robust growth for Samsung’s foundry business,” ES Jung, head of the contract chipmaking division, said in a statement.Read more: Behind Samsung’s $116 Billion Bid for Chip SupremacySamsung first unveiled its expansion blueprint in April 2019, outlining at the time its goal of hiring thousands and ramping up investment in logic chips in the years leading up to 2030. That initiative arose as sales of smartphones and consumer electronics plateaued and competition from Chinese rivals depressed margins.EUV is the latest and most advanced chipmaking method, requiring machines costing tens of millions of dollars and delivering better precision and performance in the chips it produces. TSMC and Samsung, through its spending plan, are the leaders in developing that process and expanding into 5nm and smaller manufacturing nodes.Before the arrival Covid-19, Samsung had begun collaborating with major clients on designing and manufacturing custom chips and that work was already starting to add to its revenue, a Samsung executive has said. The company’s newest fab in Pyeongtaek joins another 5nm facility in Hwaseong that will begin production in the second half of this year.For more articles like this, please visit us at bloomberg.comSubscribe now to stay ahead with the most trusted business news source.©2020 Bloomberg L.P.
Strong earnings reports from retailers Target and Lowe's helped power the stock market higher on Wednesday morning. The Dow Jones Industrial Average (DJINDICES: ^DJI) was up 1.8% at 11:30 a.m. EDT. Coca-Cola's CEO warned in an interview about weak sales volume in May and a painful recovery from the pandemic, and Intel's latest high-end gaming CPU was met with mixed reviews.
Intel's (INTC) new vPro processors offer business-class productivity and advanced performance to aid the modern workforce boost work-from-home capabilities.
Intel's (NASDAQ: INTC) fiscal 2020 first-quarter results were a tad disappointing as the chip giant withdrew its full-year guidance on account of the uncertainty caused by the novel coronavirus pandemic. Intel's guidance points toward a 12% increase in revenue and a 4% improvement in EPS, which pales in comparison to the prior quarter. This sharp drop-off means Intel may not be able to sustain its coronavirus-driven momentum.
The largest third-party chip foundry in the world is putting a cutting-edge facility on American soil for the first time in two decades.
(Bloomberg) -- Taiwan Semiconductor Manufacturing Co. plans to spend $12 billion building a chip plant in Arizona, a decision designed to allay U.S. national security concerns and shift more high-tech manufacturing to America.TSMC said Friday it will start construction of its next major fabrication facility in 2021, to be completed by 2024. While the investment falls short of its previous expenditure on cutting-edge factories, it’s a shift for a company that now makes semiconductors for major names like Apple Inc. and Huawei Technologies Co. mainly from its home base of Taiwan.As the world’s largest and most advanced maker of chips for other companies, TSMC plays a crucial role in the production of devices from smartphones and laptops to servers running the internet. Its decision to situate a plant in the western state comes after White House officials had warned repeatedly about the threat inherent in having much of the world’s electronics made outside of the U.S. TSMC had negotiated the deal with the administration to create American jobs and produce sensitive components domestically for national security reasons, according to people familiar with the situation.The Asian chipmaker’s U.S. investment underscores the delicate balance it needs to strike between its huge roster of American clients and China, which views independently governed Taiwan as part of its territory. Beijing’s ambition of creating a world-class domestic semiconductor industry has unnerved Washington, which fears the country’s technological ascendancy may pose a longer-threat. Executives at TSMC, which operates plants in Nanjing and Shanghai and makes chips that go into everything from 5G networks to American fighter jets, have emphasized the company is neutral.“The scale & technology is similar to what TSMC did in China, suggesting a balance between the U.S. & China,” Sanford C. Bernstein & Co. analysts led by Mark Li wrote after the announcement. “Overall, this is probably the minimal price to stay neutral. TSMC needs both U.S. & China to maintain scale & stay competitive and this is probably the minimal cost to keep this strategy.”Read more: Huawei Warns of ‘Pandora’s Box’ If U.S. Curbs Taiwan SupplyThe envisioned facility represents a small step in global industry terms. Upon completion, it will crank out 20,000 wafers a month, versus the hundreds of thousands that TSMC’s capable of from its main home base. And it will employ 5-nanometer process technology, a current standard that will likely become a few generations old by the time output begins in a few years.The higher cost of operating in America may have been a factor ahead of the decision. A true cutting-edge fab is expensive to build: The company spent NT$500 billion ($17 billion) to build an advanced facility in the southern Taiwanese city of Tainan that will supply new iPhones this year. It plans another $16 billion in capital spending in 2020. The Arizona plant still requires approval from TSMC’s board, which may hinge on incentives.“There is a cost gap, which is hard to accept at this point. Of course, we have -- we are doing a lot of things to reduce that cost gap,” TSMC Chairman Mark Liu said on a recent analyst conference call.U.S. Won’t Tolerate Tech Fence-Sitters Any Longer: Tim CulpanIf the federal government provides cash for a U.S. plant, it’ll mark a shift in policy and rhetoric from a Republican administration. Trump’s White House has rarely supported such direct industrial intervention, favoring market dynamics. A similar government-backed effort with Foxconn -- Apple’s main iPhone assembler -- in Wisconsin has so far not created as many jobs as expected.However, emerging trends may be forcing a reconsideration. The U.S. government is already giving or lending billions of dollars to keep companies afloat in the midst of a pandemic-fueled recession. The crisis has also highlighted how vulnerable global supply chains are to such shocks.The White House may also be motivated by broader political factors. Trump has attacked international trade deals and tried to limit China’s access to semiconductor technology, seeking to contain the country’s technological ascent. TSMC said its Arizona facility will create 1,600 jobs and a deal to bring highly skilled work to Arizona may help Trump’s re-election prospects this year.“TSMC’s plan to build a $12 billion semiconductor facility in Arizona is yet another indication that President Trump’s policy agenda has led to a renaissance in American manufacturing and made the United States the most attractive place in the world to invest,” U.S. Secretary of Commerce Wilbur Ross said in a statement.By producing chips for many of the leading tech companies, TSMC has amassed the technical know-how needed to churn out the smallest, most efficient and powerful semiconductors in the highest volumes. It manufactures important components designed by Apple and most of the largest semiconductor companies, including Qualcomm Inc., Nvidia Corp., Advanced Micro Devices Inc. and China’s Huawei. Shares of Applied Materials Inc., Lam Research Corp. and KLA Corp. rose on optimism that these U.S.-based providers of chipmaking equipment may face fewer export controls when supplying TSMC.Concentrating such valuable capabilities in the hands of one company in Asia is a concern for the U.S., especially when, across the Strait of Taiwan, China is rushing to develop its own semiconductor industry.TSMC’s local rival, GlobalFoundries Inc., has given up on advanced manufacturing and Intel Corp., the world’s largest chipmaker, mainly manufactures for itself. Its attempt to become a so-called foundry for external clients has failed to gain major customers. TSMC’s only other significant challenger is South Korea’s Samsung Electronics Co., which is investing more than $116 billion in its effort to keep up with the leader.“TSMC welcomes continued strong partnership with the U.S. administration and the State of Arizona on this project,” the company said in a statement. “This project will require significant capital and technology investments from TSMC. The strong investment climate in the United States, and its talented workforce make this and future investments in the U.S. attractive to TSMC.”Read more: Foxconn Factory Subsidy Estimate Slashed by Wisconsin Agency(Updates with analyst’s comment from the fourth paragraph)For more articles like this, please visit us at bloomberg.comSubscribe now to stay ahead with the most trusted business news source.©2020 Bloomberg L.P.
Intel's Suzanne Fallender introduces the company's 2030 strategy and goals, which call for continued progress in corporate responsibility.
In May 2020, Intel Corp. launches its 2030 strategy and goals, which call for continued progress in corporate responsibility for the next decade.
(Bloomberg) -- Nvidia Corp. announced new graphics chips and computers for artificial intelligence processing in data centers, claiming a leap forward in performance that may help cement its lead in the growing area.The company’s Ampere chip design is 20 times faster than its predecessors and has the flexibility to be repurposed between the two key areas of artificial intelligence processing: training and inference, Chief Executive Officer Jensen Huang said. The company unveiled the new chip, which Huang called the biggest leap in Nvidia’s history, Thursday at an online technology conference.Nvidia’s success in building a $3 billion business over the last five years has attracted the attention of rivals and startups trying to offer novel solutions for AI processing. Nvidia, the biggest maker of graphics chips used in gaming personal computers, has adapted its technology for AI. Huang’s products show the value of systems that manipulate data in parallel, making it possible to distill patterns from the massive flood of information in an increasingly connected world.Ampere chips are already part of servers shipped by Nvidia. The company is pitching them as being capable of replacing much bigger, more expensive and power-hungry racks of machinery that feature a lot of Intel Corp. processors.Underling the cost of such systems, Nvidia is selling Ampere-based computers called DGX for $199,000 each. In a typical data center, five of those machines would outperform 600 servers based on Intel chips and the previous generation of Nvidia products, an array that would have cost $11 million, according to Nvidia.Nvidia chips have grabbed market share in the AI area of training, which is the rapid crunching of huge amounts of data -- such as images or sound files -- to determine patterns that are then embedded into software. Inference, running that resulting software to provide real-time responses for things like voice commands, has been mainly done on servers that use Intel Xeon chips.Huang’s latest pitch is that the new Ampere design can tackle both tasks and switch between the two types of work as needed. While Nvidia is introducing the new product, Intel is about to debut a graphics chip-based processor design aimed at taking Nvidia head on. Advanced Micro Devices Inc., Nvidia’s biggest rival in computer gaming graphics chips, is also touting new capabilities for data centers.Nvidia and its competitors are going after the giant capital spending budgets of the public cloud-computing companies such as Amazon.com Inc., Alphabet Inc.’s Google and Microsoft Corp. Huang declined to discuss specific customers, but said that all of the major cloud providers have already taken delivery of Ampere-based computers.For more articles like this, please visit us at bloomberg.comSubscribe now to stay ahead with the most trusted business news source.©2020 Bloomberg L.P.
Intel Corporation introduces the 10th Gen Intel Core vPro processor family, designed to power the next generation of business computing innovation.