Title: These 7 Semiconductor Stocks Are Actually Winning From the Chip Shortage | InvestorPlace
Headings: These 7 Semiconductor Stocks Are Actually Winning From the Chip Shortage
These 7 Semiconductor Stocks Are Actually Winning From the Chip Shortage
Sectors will suffer, manufacturing could slow, but these companies can win from the shortage
Semiconductor Stocks: Taiwan Semiconductor Manufacturing (TSM)
Teradyne (TER)
ASML Holding (ASML)
NXP Semiconductors (NXPI)
Renesas Electronics (RNECY)
Lam Research (LRCX)
Applied Materials (AMAT)

Content: But the pandemic was the overarching cause. Tech and automotive sectors have been especially hard hit, but why? Tech has been hard hit because trends like work from home and school from home have increased the demand for electronics. Yet there simply isn’t enough supply. Current business models regarding design and fabrication play a huge role too. More and more semiconductor companies are fabless, meaning they design chips and outsource the manufacturing to other companies. That has created a bottleneck. On the automotive side, manufacturers were hit with production line shutdowns due to the pandemic. Some had to deny chip shipments and are now finding they can’t easily resume shipments. Trump’s trade war on China also plays a role in the global shortage.