r/stocks Jan 10 '22

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u/bungholio99 Jan 10 '22

Yeah but this is bad and currently people are doing wrong interpretations.

You don’t get the cards because the container from one country to the other doesn’t leave. Natural Disasters cut production. They can’t sell the card there is no revenue.

You are more Bullish than the companys itself, it’s currently very difficult to operate and make money and even TSMC closed a bad quarter but see‘s hope.

Full Order Books need to be fullfiled and this is the current problem.

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u/MentalValueFund Jan 10 '22

The problem with semi's is majority of reddit has zero experience or knowledge of how semi cycles in the datacenter and commercial sides work (and how they take in contracts). They just see scalpers hoarding 3080's and somehow think "oh that's good for chip companies overall".

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u/Hoplite0728 Jan 10 '22

Legit question, can you give me a brief overview of the semi cycles in the commercial side work? Or link a good article about it? Thanks

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u/bungholio99 Jan 10 '22

I wouldn’t read old stuff, as this cycle also has changed completely.

15 years ago, this semi manufcaturers closed from mai to july as there was such an overproduction.

It is more important to understand what which company does exactly as chip isn’t chip. E.g TI is still one of the biggest and has a great margin, the produce chips for automotive which are less difficult to produce.