Technology gets smaller by the day.
I need only to look at my smartwatch for proof.
My Apple Watch tracks stocks, my steps and the weather. I can even pay for gas with a simple tap … all in a 40-millimeter piece of equipment.
What makes my watch so powerful is one tiny semiconductor.
It keeps battery power low when I’m not using it.
One microchip means I can wear my watch for days before I need to charge it again.
That’s just one application for this innovative technology. Companies large and small are developing new ways to use semiconductors in their own products.
It’s led to massive global industry growth like you can see in the chart below.
From 2020 to 2030, ASML projects the market’s value will more than double!
But there are many ways to play this mega trend.
Today’s Power Stock produces casing that protects semiconductors: Amkor Technology Inc. (Nasdaq: AMKR).
AMKR’s Stock Power Ratings in November 2022.
Because they’re so small and delicate, semiconductors need protective casing to prevent damage and corrosion.
Amkor Technology stock scores a “Strong Bullish” 94 out of 100 on our Stock Power Ratings system. We expect it to beat the broader market by 3X in the next 12 months.
AMKR Stock: High Growth & Strong Value
Amkor Technology reported a strong quarter.
Highlights include:
- Net sales of $2.1 million — a 24% year-over-year increase!
- Operating income grew from $143 million in the second quarter of 2022 to $319 million in Q3 2022 — a 123.1% increase.
AMKR earns a “Strong Bullish” 99 on growth — spurred by its outstanding sales.
It scores a 92 on value thanks to its price-to-earnings ratio of 8.3 — half the semiconductor equipment industry average — making it a tremendous bargain compared to similar stocks.
AMKR is only 8.5% off its 52-week high set in the middle of November 2022. It’s crushing the semiconductor equipment and services industry (blue line in the chart below) — down 27.4%.
Created in November 2022.
After hitting a 52-week low in July 2022, AMKR ran 86.9% higher to reach a 52-week peak in the middle of November 2022.
Slight market headwinds pared back some of those gains, but AMKR is still up 21.4% over the last 12 months … showing the “maximum momentum” we love to see in stocks.
AMKR scores a 94 overall on our proprietary Stock Power Ratings system.
That means we’re “Strong Bullish” and expect it to beat the broader market by at least 3X in the next 12 months.
The global semiconductor market continues to flourish, despite a shortage after pandemic shutdowns.
AMKR makes the necessary casing to protect these delicate and critical electronic components.
This is a compelling reason to add Amkor stock to your portfolio.
Bonus: The company’s 1.09% dividend is an annual payout of $0.30 per share you own.
Stay Tuned: Top-Rated Co. Provides Quality Customer Service
Remember: We publish Stock Power Daily five days a week to give you access to the top companies that our proprietary Stock Power Ratings identify!
Stay tuned for the next issue, where I’ll share all the details on a company that helps other corporations with all of their customer service needs.
Safe trading,
Matt Clark, CMSA®
Research Analyst, Money & Markets