Investment Q&A

Q: Hi there, I've been holding nxpi at a loss for about 2 years now and I'm getting fed up. I am into it at about $200 a share. Would you suggest that I hold? It had a run up to the $180s in Feb but has since fallen back. I find it painful as it seems to fall all the time. Should I hold and wait and see or move on? Thank you,

Jason

Q: I'm holding this one at a loss - and I see that it was downgraded today by Citi. Can I have your thoughts on the name? I liked it for the high buyback yield, and relatively low p/e ration and ev/etbta and the fact that they were into chips for electric vehicles. I like it less now that I'm holding it at a loss though. Thanks,

Jason

Q: I bought these semis over the past few years in different accounts at different times in both non-registered and registered accounts. All of them did very well for me. I added them up yesterday and noticed they are over 5% of all my invested assets. As much as I hate to sell winners I probably would have to trim soon. Do you have any suggestions as to the trimming methodology? Reduce each and every one by half (or third) of its current value. Selectively sell some and not others? Sell the ones in registered accounts as there is no immediate tax consequence. keep the ones in taxable accounts? Sell some and keep the promising ones (can you tell or predict?) ? Any other suggestions? I have a high degree of risk tolerance. Thanks.

Q: Hi,
Can you please tell me which companies make EV chips?
Thank you.

Q: Happy New Year to all of you.
With EV sector is getting hot day by day. Instead of chasing a particular EV company to invest, does that make sense that chips are required to build EVs? If that is true, which chip company (or companies) products are more involved? such as ....

Thanks,

Lin

Q: Looking to add semi-conductors into my portfolio, as there is a shortage of product and high demand in the Automotive and Electronics industries. Interested in your perspective on Analog Devices, NXP Semi-Conductors, STMicrelectronics and Micron Technologies, as they have all had a great run, but still have high Buy ratings. If you think these have had a great run, and has some risk, what alternatives would you recommend. Thanks

Q: 2 recent purchases of mine SNOW which is falling faster than the snow outside, and NXPI I am under water since the day after I bought it (3 days ago), now Goldman Sacks has downgraded the stock - your opinion and SNOW was also falling on after hours trading below what it closed at 4 o'clock - appreciate your input on these 2 cases. Thanks,

Q: Dear Sir,
Hearing a lot about the upcoming 5G system boosting economic activity. Can you suggest companies in the robotics, communications, chips manufacturer, etc. sectors that one can invest in to benefit from the 5G roll out? Alternatively, an ETF that covers this space would also be helpful. Thank you.
Regards,
Danny

Q: Hi, I am looking to deploy some US dollars I have in cash. My thinking is to focus on US tech - in particular the software, internet and semiconductor industries. Could you recommend names in each industry you feel would be a good choice, considering solid companies with growth prospects that could be held longer term?
Thank you for all your hard work!
Dawn

Q: Hi Everyone at 5i! What are your thoughts on this company as a growth investment? Is seems to have gone up quite a bit already. Does it have further to run do you think? What would be its competition? And how is the semiconductor industry faring in general now a days? Cheers, Tamara

Q: NXPI along with KODIAK Science which is up more than 100% in the last month, what are your opinions of the two stocks?
About the PE ratio - on my Globe Invest it has for instance 98.4 TTM (I do not know what that is), is that number too high for you if you were looking to purchase a stock with that number? What would be a more comfortable number? Thanks for providing info that the average investor would not know. Dennis

Q: What do you thinks of purchasing NXP at this time. What are the risks? Are there companies in this sector you prefer? Thanks for you analysis.

Q: Hi,
Norman Levine picked NXP Semiconductor November 8 on Market Call. Are you able to provide an outlook on this company and the thesis that once arbitrage ends after the failed Qualcomm deal it is likely to increase in value? It seems very cheap right now. Many thanks.
Michael

Q: NXPI is currently trading at $114 USD and we are being offered $127.50 USD to tender our shares by June 8th. Why is the differential so great and should I tender?
Thank you

Q: I ALWAYS ask about only one company at a time in one question. I ask here about two companies only because the two are intertwined.

Confusion lingers over QCOM.us. The uncertainty in my mind is over: QCOM’s long outstanding offer to buy NXP Semi; disputes with major customers (or is it just one customer Apple?) And now a former insider wants to buy out QCOM and his group has not clarified its position on NXPI.

I hold both QCOM.us and NXPI.us. QCOM appears to have a moat in that its products are, for now, allegedly indispensable in many devices. Is QCOM’s moat real?

Which of QCOM and NXPI ---IF EITHER --- would you sell? Your reasons would be much appreciated, thanks.

Q: Qualcomm’s offer to buy NXPI is valued around $127.50. NXPI was trading at $125 a couple of days ago. It is at ~ $123.50 this morning 12 March.
There is considerable confusion over Broadcom (AVAGO) offer to buy QCOM. (I also own QCOM). There are reports today of US regulators fuming at AVGO due to alleged disregard of certain notices required by US regulators.

There are apparently also risks that China could block the sale of NXPI. I am fine keeping NXPI but not if the risk-reward is not in favor of private shareholders. Would you guess that the risk of a deal failure is higher than 50%? If NXPI is left at the altar, do you think NXPI would likely drop significantly in value--- say more than 20%--- or is it a good enough company that it will prosper on its own. Prosper means doing much better than just chugging along.

NXPI seems to be fair value even without M&A activity… Is it? would you buy more if you already had QCOM and NXPI? Would you sell NXPI? Or would you simply hold on.

NXPI seems to have an attractive business model and a good market position. Would it make an attractive target for a different buyer ... say an Intel?

Q: My previous question asked your advice on an offer received for my NXPI shares. I tendered them shortly afterward.
Since then there have been more extensions and I'm concerned about the lack of closure.Because I am unfamiliar with the process I would appreciate your opinion on the options. A recommendation on the course to follow would be welcome.

Q: Good Morning Team,

Would you switch NXPI for GIlD?

NXPI isn't really going anywhere after the cash offer by Qualcomm (is it still on?) and has no dividend.
After the initial hesitation, the recent deal by GILD seems to be welcomed by the market.

So, I guess my question is: which one has the most upside potential at this point?

As always,thanks for your wise input.

Q: I bought NXPI at $84. Should I tender and why?

Thanks!

Q: I have not tendered my shares as yet. Currently NXPI is trading within 5% of closing price which I would have to wait to year end to see. Should I quibble about this and tender to collect the 5% or just sell outright for the cash on hand? Waiting to date has certainly paid off if I were to buy QCOM shares today with the proceeds but I don't expect any further widening of that spread.

Thanks for the great service!