Wallstreetcn
2023.06.24 10:42
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US chip stocks "across the board outage": Intel just experienced the worst week in a year, AMD and Broadcom have fallen for six consecutive weeks.

AMD has fallen nearly 14% in the past six trading days, while Intel has fallen 9.3% this week. Broadcom has fallen more than 5% this week, and the Philadelphia Semiconductor Index has fallen 4.5% this week, making it the worst week since April 6th.

One of the hottest tracks this year - the atmosphere around US chip stocks has been somewhat strange lately.

After the close of US stocks overnight, the stock prices of chip giants AMD and Broadcom fell for the sixth consecutive trading day, and Intel's stock price, although recovering some lost ground, still suffered its worst week in a year.

On Friday local time, AMD's stock price fell 0.6% to $110.01, down 8.4% in a shortened holiday week, the worst week since December 9 last year. FactSet data showed that Friday was the sixth consecutive trading day that AMD's stock price fell, with a cumulative decline of 13.6%, the worst six-day trend since October 14 last year.

At the same time, Broadcom's stock price fell 2.4% to $822.15, down for the sixth consecutive day, with a cumulative decline of 5.3% this week, the worst week since October 14 last year. Similarly, according to Dow Jones Industrial Average data, the stock had its worst six-day gain since October 14 last year.

Meanwhile, Intel's stock price is facing a challenge. According to Dow Jones Industrial Average data, Intel's stock price fell 2% earlier on Friday, and was on track for its worst week since October 23, 2020. Later, Intel's stock price rebounded and closed up 0.9% at $33.

However, Intel fell 9.3% this week, its worst week since June 10, 2022. On Tuesday and Wednesday (US stocks were closed on Monday for the June holiday), Intel was the worst-performing stock in the Dow Jones Industrial Average for two consecutive days.

Previously, Intel had formulated a plan to compete with TSMC.

On June 21 local time, Intel announced a restructuring of its corporate structure, with the IFS department responsible for wafer foundry operations operating independently and providing a separate profit and loss statement from the first quarter of next year. However, the market reacted tepidly to this move, and Intel's stock price plummeted 6% during the day.

Not only the four giants mentioned above, but also the Philadelphia Semiconductor Index, one of the main indicators of the global semiconductor industry's prosperity, fell 4.5% this week, the worst week since April 6, and fell 6.4% from its recent 52-week high of 3,673.14, and 13.2% from its closing record high of 4,039.51 on December 27, 2021. In addition, the hottest NVIDIA fell 1.9% overnight and has fallen nearly 3% in the past 5 trading days. The company has encountered director and veteran European financial family Rothschild's reduction.

Nevertheless, the AI boom is strong, and chip stocks are still outperforming the market this year.

So far this year, AMD's stock price has risen by 71.8%, while Broadcom's stock price has risen by 48.5%, and the Philadelphia Semiconductor Index has risen by 38.5%.

By comparison, the S&P 500 index has risen by 13.8%, and the tech-heavy NASDAQ Composite Index has risen by 29.9%.

Even Intel, which has performed poorly in the past week, has risen by 23.5% this year, while the Dow Jones Industrial Average has risen by 1.8%.

In addition, NVIDIA has risen nearly twice this year.