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Semiconductor Smackdown: Broadcom Vs. Micron Vs. Marvell

Author: Surbhi Jain | September 16, 2024 10:07am

In the race for semiconductor supremacy, three giants stand tall: Broadcom Inc (NASDAQ:AVGO), Micron Technology Inc (NASDAQ:MU), and Marvell Technology Inc (NASDAQ:MRVL).

But which stock is winning the tech wars, and who's stuck in the slow lane? Let's break it down.

Broadcom: The Dominator

Broadcom stock has been on fire lately, and there's no sign of cooling down. Up 97.28% over the past year and 54.5% year-to-date, The stock is making waves, with analysts eyeing a potential price target as high as $2,400. That's a staggering 925.2% expected movement!

Source: Benzinga Stock Report – AVGO

And with a Sharpe ratio of 2.7687 over five years, Broadcom stock is leaps ahead of its peers in risk-adjusted returns.

Chart created using Benzinga Pro

Broadcom stock is flashing strong bullish signals on all fronts—its eight-day, 20-day, 50-day, and 200-day moving averages are all below the current price of $167.69, signaling strong bullish momentum.

But beware: Options sentiment has recently shifted a bit more negative, so don't rule out some turbulence.

Micron Technology: Memory Struggles

Micron, one of the leaders in memory chips, hasn't had quite the same success as Broadcom. Its stock up a respectable 29.39% over the past year and 10.78% YTD, the future looks a little murkier.

Analysts project a more modest price range, topping out at $225, with a 99.3% expected movement.

Source: Benzinga Stock Report – MU

The bad news? Micron's Sharpe ratio of 0.9228 suggests it's underperforming in risk-adjusted returns, and its stock price has dropped below key moving averages.

Chart created using Benzinga Pro

Technically, it's sitting in bearish territory, with bearish signals on the 20-day, 50-day and 200-day SMAs. Despite a short-term bullish signal from its eight-day moving average, Micron stock needs more than just a memory reboot to turn the tide.

Read Also: Jim Cramer Sees Opportunity In Micron Stock As Death Cross, Earnings Approach

Marvell Technology: Quietly Building Momentum

Marvell, the fabless chip designer known for its networking tech, has been quietly gaining steam. With the stock up 35.96% over the past year and 28.04% YTD, Marvell stock is also riding a bullish wave.

Source: Benzinga Stock Report – MRVL

Analysts see upside potential with a 12-month target of $101 and 45.59% expected movement.

Chart created using Benzinga Pro

Technically, Marvell stock is looking solid, with bullish signals on all its moving averages and a Sharpe ratio of 1.4239 that beats the peer average.

Although options sentiment has recently shifted negative, its stock price of $74.48 remains above all its key moving averages, making Marvell stock a steady performer with room to grow.

The Verdict

While all three are leaders in their respective segments, Broadcom stands out with its strong price action, bullish technicals, and stellar risk-adjusted returns.

Marvell is a close contender with consistent buy signals, while Micron lags behind in technical strength and risk-adjusted performance.

If you're looking for momentum in the semiconductor space, Broadcom is leading the charge, but Marvell might just be the underdog to watch.

Will Broadcom’s $2,400 price target be the semiconductor story of the year, or can Marvell sneak in with a surprise rally?

One thing’s for sure: the chip wars are far from over!

Read Next:

Image: Edited via Canva

Posted In: AVGO MRVL MU

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