The semiconductor sector has been in correction for six consecutive trading days.
SK hynix fell about 10% in a single day.
The market is starting to worry about returns on AI investments and competition in the chip industry.
But I think we need to distinguish between:
Industry growth ≠ stock prices always going up.
Stock prices falling ≠ companies’ fundamentals getting worse.
The key thing to watch next is whether earnings forecasts are revised downward.
$NVDA $AMD $MRVL $SMH
SK hynix fell about 10% in a single day.
The market is starting to worry about returns on AI investments and competition in the chip industry.
But I think we need to distinguish between:
Industry growth ≠ stock prices always going up.
Stock prices falling ≠ companies’ fundamentals getting worse.
The key thing to watch next is whether earnings forecasts are revised downward.
$NVDA $AMD $MRVL $SMH