'Fast Money' Recap: When to Cash in Your Chip Stocks

 

NEW YORK (TheStreet) -- The S&P 500 slid 0.05% while gold dropped almost 2% to start September. 

On CNBC's "Fast Money" TV show, the trading panel took a look at the semiconductor market and a few of its leaders. 

Guy Adami, managing director of stockmonster.com, said Qualcomm's (QCOM) recent selloff is somewhat "concerning," given how strong the industry has been. He said it will be very concerning if Intel (INTC) has a similar selloff. 

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Dan Nathan, co-founder and editor of riskreversal.com, said investors should focus on SanDisk (SNDK) and Micron (MU) because of how well the stocks have performed over the past year. It will be an issue if these stocks drop significantly. 

Tim Seymour, managing partner of Triogem Asset Management, said many semiconductor stocks offer somewhat reasonable valuations and good growth. He is a buyer of Qualcomm. 

Karen Finerman, president of Metropolitan Capital Advisors, said the run in the semiconductor industry doesn't seem to be finished quite yet. It's just enduring a pullback.

Doug Freedman, semiconductor analyst at RBC Capital Markets, said the industry has a lot of "valuation attractiveness" and several catalysts. He expects China's LTE network to drive demand as well as an improving PC market and growing cloud storage business. His top pick is Marvell Technology (MRVL) and he has a $22 price target on the stock. 

On Apple's (AAPL) potential move into mobile payments, Finerman said it could be a big growth opportunity. She is selling $105 call options against some of her long position as a partial hedge. She is getting "nervous" as the stock continues to rally into its Sept. 9 event. 

Nathan said Apple will not find as much future growth in its hardware products as it will in its software and services businesses.

Seymour, who is still long the stock, said there is a chance Apple will disappoint investors at its upcoming event. But emerging markets and mobile payments are two catalysts for the company. 

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Adami said he is concerned Apple looks somewhat "toppy" going into the event. 

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