Better Chip Stock: Taiwan Semiconductor or Broadcom

imageStock Markets21 minutes ago (May 26, 2021 06:30PM ET)

(C) Reuters. Better Chip Stock: Taiwan Semiconductor or Broadcom

The growing demand for semiconductor chips from several industries amid a global supply shortage is pushing up semiconductor prices, helping most manufactures in this space thrive. With renewed initiatives to increase production, we think Taiwan Semiconductor (TSM) and Broadcom (NASDAQ:AVGO) are well-positioned to keep benefiting from the industry tailwinds. But let’s find out which of these stocks is a better buy now.Taiwan Semiconductor Manufacturing Co. Ltd. (TSM) engages in the manufacture, sale and packaging test of integrated circuits and other semiconductor devices, as well as the provision of computer-aided design services. The company serves customers in computer, communications, consumer, and industrial and standard segments worldwide.

Broadcom Inc. (AVGO) designs, develops and supplies a broad range of analog and digital semiconductor connectivity solutions, including wired infrastructure, wireless communications, enterprise storage and industrial and others. The company’s products are used in data center networking, home connectivity, broadband access, telecommunications equipment, smartphones and base stations.

The growing application of semiconductors in electronic devices, electric vehicles, and several other segments of the broader technology space, coupled with a global supply shortage, is helping semiconductor companies thrive. Investors’ interest in the semiconductor space is evident in the VanEck Vectors Semiconductor ETF’s (SMH) 40.5% returns compared to the SPDR S&P 500 Trust ETF’s (SPY) 21.5% gains over the past nine months.

Continue reading on StockNews

Better Chip Stock: Taiwan Semiconductor or Broadcom

Disclaimer: Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. All CFDs (stocks, indexes, futures) and Forex prices are not provided by exchanges but rather by market makers, and so prices may not be accurate and may differ from the actual market price, meaning prices are indicative and not appropriate for trading purposes. Therefore Fusion Media doesn`t bear any responsibility for any trading losses you might incur as a result of using this data.

Fusion Media or anyone involved with Fusion Media will not accept any liability for loss or damage as a result of reliance on the information including data, quotes, charts and buy/sell signals contained within this website. Please be fully informed regarding the risks and costs associated with trading the financial markets, it is one of the riskiest investment forms possible.