This Day On The Street
Continue to site right-arrow
This account is pending registration confirmation. Please click on the link within the confirmation email previously sent you to complete registration.
Need a new registration confirmation email? Click here
Stocks Under $10 with 50-100% upside potential - 14 days FREE!

Stocks in SOX: Sector Rotation Shifts to Chips

Stocks in this article: SOXX INTC MRVL TSM

Last 12-Month Return (%): Stocks with a red number declined by that percentage over the last 12 months. Stocks with a black number increased by that percentage.

Forecast 1-Year Return: Stocks with a red number are projected to decline by that percentage over the next 12 months. Stocks with a black number are projected to move higher by that percentage over the next 12 months.

Analysis of the Philadelphia Semiconductor Index

Looking at the overvalued/undervalued data, 17 members of SOX are undervalued and eight are overvalued. Only three stocks in the SOX are Buy rated, and these are the semiconductor stocks I will focus on today.

A huge warning for the index this morning is the fact that 11 components have been downgraded this morning to Hold from Buy according to ValuEngine. When you look at the ratings in the table the stocks that were downgraded have their 3-Engine rating highlighted in Red.

Seventeen SOX members traded higher over the past 12 months, while eight have declined. Four stocks are projected to decline over the next 12 months, but the best upside potential is for Intel, projected to gain 6.8% over the next 12 months. SOX stocks are not cheap on a P/E basis as thirteen have ratios above 15.0.

Here are profiles for the three semiconductor stocks in the SOX that are Buy rated according to ValuEngine.

Intel Corp (INTC) ($26.31): Closed above its 200-day simple moving average at $26.10 on Friday. My semiannual value level is $21.14 with a weekly pivot at $26.11 and monthly risky level at $27.97. This stock was added to my ValuTrader Model Portfolio on at $24.75 on July 12.

Marvel Technology (MRVL) ($11.12): Is a laggard in the SOX trading below its 50-day and 200-day simple moving averages at $11.44 and $13.93. My semi annual value level is $10.02 with monthly and quarterly risky levels at $12.87 and $13.80. This stock was added to my ValuTrader Model Portfolio ValuEngine.comat $11.30 on June 25.

Taiwan Semiconductor (TSM) ($14.24): Closes have been above its 200-day simple moving average at $13.86 since July 31. My semiannual and annual value levels are $12.58 and $11.32 with a semiannual pivot at $13.91, and monthly and quarterly risky levels at $15.52 and $15.80.

2 of 3

Select the service that is right for you!

Action Alerts PLUS
Try it NOW

Jim Cramer and Stephanie Link actively manage a real portfolio and reveal their money management tactics while giving advanced notice before every trade.

Product Features:
  • $2.5+ million portfolio
  • Large-cap and dividend focus
  • Intraday trade alerts from Cramer
  • Weekly roundups
TheStreet Quant Ratings
Try it NOW
Only $49.95/yr

Access the tool that DOMINATES the Russell 2000 and the S&P 500.

Product Features:
  • Buy, hold, or sell recommendations for over 4,300 stocks
  • Unlimited research reports on your favorite stocks
  • A custom stock screener
  • Upgrade/downgrade alerts
Stocks Under $10
Try it NOW

David Peltier, uncovers low dollar stocks with extraordinary upside potential that are flying under Wall Street's radar.

Product Features:
  • Model portfolio
  • Stocks trading below $10
  • Intraday trade alerts
  • Weekly roundups
Dividend Stock Advisor
Try it NOW

Jim Cramer's protege, David Peltier, identifies the best of breed dividend stocks that will pay a reliable AND significant income stream.

Product Features:
  • Diversified model portfolio of dividend stocks
  • Alerts when market news affect the portfolio
  • Bi-weekly updates with exact steps to take - BUY, HOLD, SELL
Real Money Pro
Try it NOW

All of Real Money, plus 15 more of Wall Street's sharpest minds delivering actionable trading ideas, a comprehensive look at the market, and fundamental and technical analysis.

Product Features:
  • Real Money + Doug Kass Plus 15 more Wall Street Pros
  • Intraday commentary & news
  • Ultra-actionable trading ideas
Options Profits
Try it NOW

Our options trading pros provide daily market commentary and over 100 monthly option trading ideas and strategies to help you become a well-seasoned trader.

Product Features:
  • 100+ monthly options trading ideas
  • Actionable options commentary & news
  • Real-time trading community
  • Options TV
To begin commenting right away, you can log in below using your Disqus, Facebook, Twitter, OpenID or Yahoo login credentials. Alternatively, you can post a comment as a "guest" just by entering an email address. Your use of the commenting tool is subject to multiple terms of service/use and privacy policies - see here for more details.
Submit an article to us!


DOW 17,356.87 +288.00 1.69%
S&P 500 2,012.89 +40.15 2.04%
NASDAQ 4,644.3120 +96.4780 2.12%

Brokerage Partners

Rates from

  • Mortgage
  • Credit Cards
  • Auto

Free Newsletters from TheStreet

My Subscriptions:

After the Bell

Before the Bell

Booyah! Newsletter

Midday Bell

TheStreet Top 10 Stories

Winners & Losers

Register for Newsletters
Top Rated Stocks Top Rated Funds Top Rated ETFs