Markos
Founder of Asset Alliance Investment Group
Power semiconductors should deliver index-beating returns, though the trade is not early and the easy money was made long ago. The power-semi revenue cycle already started last year, and the ecosystem is broad enough that the whole sector should do well. STMicroelectronics and Infineon are the buys. x.comÂ
Analog semiconductor stocks such as STMicroelectronics, Tower Semiconductor, Analog Devices and Texas Instruments are set to rise further because they are starting to have pricing power for the first time in a long time. x.comÂ
Infineon is a buy at its current multiple, now cheaper than STMicroelectronics', with more exposure to auto and power, while STM has more exposure to satellites. x.comÂ
Infineon, STMicroelectronics and NXP have little value upside left from humanoid robotics after rallying hard on the AI datacenter theme. Infineon's CEO said humanoids could eventually rival AI datacenters as a revenue opportunity, about 20% of sales, yet Infineon saw insider sales this week. Humanoids may create few real bottlenecks: about 60% of parts come from the existing auto supply chain, most value will likely accrue in China and OEMs will integrate vertically, leaving heavy competition. … Show more
Infineon is a better pick than STMicroelectronics because data-center power chip demand is set to inflect while its smartphone exposure is much lower. About a fifth of STM's revenue still comes from smartphones, which are vulnerable to soaring memory prices. Rising rack power densities and 800V rollouts should lift demand, and Infineon has very competitive SiC and GaN products. Data-center power chips could top a quarter of Infineon's sales, more counting energy storage. x.com x.comÂ
Tower Semiconductor's 2028 guidance makes its shares attractively valued around $180 despite competition from Silith, GlobalFoundries, STMicroelectronics and others. The stock previously felt too rich to add to. x.com x.comÂ
Infineon is the Swiss army knife of the power semiconductor space and is worthy of a top position in the portfolio. x.comÂ
Massive moats and great profit margins make solid semiconductor names worth buying on the dip. x.comÂ
Semiconductors look relatively cheap against the S&P 500, while their earnings are growing much faster, barring an EPS reset. The selloff looks overdone, though that does not mean it reverses tomorrow. x.comÂ
Semiconductor earnings have outpaced prices, making the selloff look more like forced positioning than a broken growth case. Since January 2025, the SOX rose about 114% while reconstructed forward earnings rose about 198%; the estimate is approximate. Hedge funds sold global tech at a greater-than-three-standard-deviation pace in October 5-16, a pattern seen near earlier lows, though another sharp flush could come before a reversal. x.comÂ
STMicroelectronics is a hidden common thread across semiconductors, and the market is waking up to it in 2026. It turns up in silicon carbide and GaN power devices, its STM32 is effectively the MCU standard, and it leads MEMS sensor share. Its chips sit in SpaceX Starlink satellites, AWS data center infrastructure and a humanoid robot shown at NVIDIA's headquarters. A "European semiconductor" label long kept interest lukewarm, but that perception is breaking down fast. x.comÂ
