Semiconductor chips are in high demand in today’s society since they are found in nearly all of our smart gadgets. Some of the world’s largest semiconductor businesses, such as Nvidia Corporation, are based in the United States.
Due to the strong demand and scarcity, semiconductor stocks increased by 20% in the first half of 2021.
5 Best Semiconductor Stocks This Week
Learn more about how semiconductor stocks are moving on the stock exchange before you start investing in them. Here are the 5 best performing semiconductor stocks this week that investors should be closely monitoring.
1. Enphase Energy, Inc. – Up 23.34%
Enphase Energy, Inc. (NASDAQ: ENPH). Micro inverter solutions for the solar photovoltaic sector are designed, developed, manufactured, and sold by this company. Raghuveer R. Belur and Martin Fornage formed the company in March 2006, and it is based in Fremont, California.
This stock closed at a price of $216.22 and is trading at an average volume of 3.282M.
2. Silicon Laboratories, Inc. – Up 22.26%
Silicon Laboratories, Inc. (NASDAQ: SLAB). Analog-intensive and mixed-signal integrated circuits are designed and developed by this business. Navdeep S. Sooch, David R. Welland, and Jeffrey W. Scott formed the company in August 1996, and it is based in Austin, Texas.
This stock opened at a price of $184.06 and is trading at an average volume of 407,891.
3. ReneSola Ltd. – Up 10.31%
ReneSola Ltd. (NYSE: SOL). This firm specializes in the production of solar wafers and modules. The company was established on March 17, 2006, and is based in China’s Putuo District.
This stock opened at a price of $8.68 and is trading at an average volume of 2.11M.
4. Mosys Inc. – Up 10.23%
Mosys Inc. (NASDAQ: MOSY). This is a semiconductor solution supplier. The company offers hardware, software, and firmware solutions that allow for efficient data sharing.
This stock opened at a price of $6.33 and is trading at an average volume of 639,279.
5. Ultra Clean Holdings, Inc. – Up 10.14%
Ultra Clean Holdings, Inc. (NASDAQ: UCTT). This corporation primarily serves customers in the semiconductor capital equipment industry, designing, manufacturing, and selling its products and services. The company was established in November 2002 and is based in Hayward, California.
This stock opened at a price of $50.97 and is trading at an average volume of 289,007.
How To Buy Semiconductor Stocks
First time investors should closely follow this guide so that they can learn how to start investing in companies on the stock market. Here are the steps investors should follow in order to start buying semiconductor stocks.
1. Research Companies
Investors must study stocks in order to get a competitive advantage over other stock traders and enhance their returns. To research stocks and manage your investments, you may utilize a number of online tools.
2. Select a Brokerage
Brokers can be either a single person or a company that charges a commission or a trading fee for making buy and sell orders. Here are some of the best brokerages to start trading in semiconductor stocks with.
- E*Trade — Free Stock Trading – Award winning platform and mobile app!
- TradeStation — Also Free stock trading – intuitive stock trading tools. Cash bonus for new accounts (conditions apply).
- M1 Finance: This is a brokerage that offers both self-directed and automated trading and investing options. M1 Finance has a minimal minimum deposit requirement and offers free automatic investing for regular accounts. You have access to over 80 professional portfolios. M1 Finance now allows you to place individual stock or ETF orders as well as fractional shares. Sign up for M1 Finance here
- Robinhood: The majority of the brokerage’s assets have no minimum account size restrictions, however with fractional shares and margin trading you need to pay minimum opening deposits. Commission-free trades on stocks, ETFs, options, and cryptocurrencies are available through Robinhood.
- Vanguard: Vanguard provides investors with no activity fees, deposit fees, or withdrawal fees. Non-trading costs are minimal at Vanguard. It has no account or inactivity fees. If you utilize an ACH transfer, there is no withdrawal charge.
3. Open a Trading Account
You must first establish a trading account before you can invest in semiconductor stocks. Examine each brokerage to determine whether you can establish an account with everything you’ll need to begin investing.
4. Make a Deposit & Purchase Semiconductor Stocks
After you’ve created a secure payment method, you’ll need to make a cash deposit to your account before you can begin buying semiconductor stocks. After your account has been fully authorized, you may begin investing.
5. Monitor Your Performance
It’s critical to keep a careful eye on your investments once you’ve made them. Each brokerage has its own stock screeners and tools to assist you keep track of the specifics of your investments.
Should You Invest in Semiconductor Stocks?
The semiconductor industry is expanding at a fast pace, and investors are finally noticing this trend. Traders are starting to notice this sector because many of these stocks have been delivering steady returns so far in 2021.
You should consider consulting with a financial advisor to help you start investing in semiconductor stocks.
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Frequently Asked Questions
The semiconductor industry is comprised of companies that design and manufacture integrated circuits for many electronic components and applications. Any company in this industry that has outstanding shares, is known as a semiconductor stock.
Semiconductor stocks have been outstanding investments for investors so far in 2021 because they provide consistent returns.
Semiconductor equipment companies currently are offering some of the best dividend opportunities in the sector.