Jim Cramer isn't giving up on semiconductor stocks despite the sell off. Here's why
CNBC’s Jim Cramer said investors shouldn't give up on semiconductor stocks despite the recent sell-off.
TL;DR
- Semiconductor stocks are experiencing a sell-off, but Cramer suggests not abandoning the sector.
- Rising oil prices and interest rates could prolong the downturn.
- Chip stocks are increasingly trading together, obscuring individual company fundamentals.
- Demand for computing power and memory is growing due to advanced consumer products.
- Cramer uses Micron as an example of a company whose strong fundamentals are overshadowed by the broader sell-off.
- Micron benefits from the artificial intelligence build-out and has long-term customer agreements providing revenue visibility.
- Intel and AMD are also highlighted for their crucial role in providing CPUs for various machines.