Guide: novel coronavirus pneumonia is also a factor that has caused the US stock technology stocks to keep growing high, but the impact of the new crown pneumonia epidemic is far from over. As the epidemic continues, it remains to be seen whether the good performance of the first half of the year can be extended in the third and fourth quarters.
‘s novel coronavirus pneumonia epidemic is not yet over, especially when the US epidemic is still not effectively controlled. On August 17 local time, among the three major US stock indexes, the NASDAQ index, which has a higher proportion of technology shares, closed at a historical high. As of the 17th, the NASDAQ index has risen more than 24% this year. < p > < p > semiconductor stocks also performed well. As of the 17th, the Philadelphia Semiconductor Index (SOx) has recorded a 20% increase this year. In recent years, shares of a group of star semiconductor companies such as NVIDIA, AMD and Qualcomm have reached historical highs. < / P > < p > other tech stocks were even more aggressive. As of the 17th, Facebook, Netflix and alphabet, the parent company of Google, have increased by 27%, 49% and 13.53% respectively this year, while Apple has increased by 56%, with a market value of nearly $2 trillion. In the fields related to e-commerce, Amazon increased by more than 72%, and the stock price of overstock, an online shopping and brand discount platform, increased by more than 1600% in the year.
however, novel coronavirus pneumonia is also a factor that has caused the US stock technology to keep growing high, but the impact of the new crown pneumonia epidemic is far from over. Especially for the semiconductor industry, in the first half of the year, downstream enterprises in the industrial chain avoid possible risks by increasing inventory, which makes some enterprises perform relatively well in the first half of the year. In addition, the rise in the share prices of some star companies also has specific background and reasons. However, as the epidemic continues, it remains to be seen whether the good performance of the first half of the year can be extended in the third and fourth quarters. < p > < p > on August 18 local time, the three major U.S. stock indexes opened slightly higher, and then rose and fell differently. As of 35 minutes after the opening, the Dow was down 0.12%, the Nasdaq was up 0.41%, and the S & P 500 was up 0.16%. The S & P 500 index broke the record of 3393.52. The NASDAQ and the S & P 500 are expected to break through record closing highs during the trading day. Among a large number of technology stocks, NVIDIA has undoubtedly become the favorite of wall street again. The market value of the company broke through $300 billion on the 17 day, before the Internet bubble burst at the end of 2000. In addition, NVIDIA will release its second quarter results on the 19th local time after Wall Street analysts from Wells Fargo, Oppenheimer, Susquehanna and wedbush have raised their target prices. China’s novel coronavirus pneumonia has indeed affected its business in China in an online interview in mid May, according to Jen-hsun Huang, CEO, who told reporters including the twenty-first Century economic report. But at the same time, the demand for global research, the growth of infrastructure investment such as cloud computing and data center, and the measures of estrangement during the epidemic period were brought about by
. As a result, NVIDIA has been “lucky” to be affected by the growth of its game business and the growth of notebook computer business driven by telecommuting. < / P > < p > games, workstations and data centers are the core businesses of NVIDIA. However, the revenue proportion of NVIDIA’s related businesses is not high in the automobile, aviation and other fields affected by the epidemic. < / P > < p > at the same time, the outside world is also concerned about NVIDIA’s acquisition of chip IP giant arm. Although it has been reported that many companies, including apple and Samsung, intend to acquire, at present, only NVIDIA has a strong interest. Yao Jiayang, a consulting analyst with Jibang, told the 21st century economic report that the advantage of acquiring arm is that it can first confirm the development blueprint and specification details of arm’s IP solutions such as CPU and GPU, so that the buyer can have a more in-depth layout before other competitors in the future product development, and may even be at least half a year ahead of its competitors. < p > < p > under 5g “Dongfeng”, the share price of Qualcomm also has a rapid rise in recent years. In regular trading on August 17, the company’s shares fell 1.37% to $112.18. Prior to that, Qualcomm released a strong third quarter report after U.S. stock market on July 29, and said it had reached a new patent licensing agreement with Huawei, which would pay a one-time “back up payment” of about $1.8 billion. Qualcomm shares surged 14% in the day after trading, breaking through $106 – the last time its stock price touched $100 in the market was before the dotcom bubble burst in 2000. However, Sheng Linghai, vice president of research at Gartner, believes that the rise in US semiconductor stocks stems from the good performance of many companies in the first half of the year, but to some extent, it is also related to the “water release” of the Federal Reserve. In addition, there are some specific backgrounds and reasons that stimulate their stock prices to rise. < / P > < p > for example, in addition to the patent licensing agreement with Huawei, Qualcomm has recently consolidated its core business model, the United States federal court of Appeals for the Ninth Circuit, which has recently overturned the antitrust lawsuit filed by the district court against Qualcomm.
Sheng Ling Hai novel coronavirus pneumonia in the interview, told the twenty-first Century economic report reporter that the global semiconductor industry has not yet come out of the impact of the new crown pneumonia epidemic. The first half of the whole semiconductor industry “good” is somewhat “unexpected”. He analyzed that part of the reason is that affected by the epidemic situation and Sino US trade friction, a large number of downstream companies in the industrial chain have adopted the strategy of active stock preparation to raise the inventory level and resist possible risks. < / P > < p > “so we can see that the demand in the first half of the year is still good.” “But the problem is that in the second half of the year, the epidemic is not over, and due to the impact of Sino US trade frictions, such as Huawei’s new ban, the whole demand will be affected to a certain extent,” he said < p > < p > on August 17, the Bureau of industry and security (BIS) of the US Department of Commerce issued a revised ban on Huawei, further restricting Huawei’s use of US technology and software products, and listed 38 Huawei subsidiaries in the entity list. In an interview, commerce secretary Wilbur Ross said in an interview that the new rules make it clear that any use of us software or US made equipment is prohibited and requires a license. The U.S. Department of Commerce has added several rules to the latest ban, including that products based on U.S. software and technology cannot be used to manufacture or develop any parts, components or equipment produced, purchased or ordered by Huawei subsidiaries in the list of entities. < / P > < p > “can we continue to do business with Huawei under the new sanctions policy? Will other companies have any ideas? It’s hard to say Sheng Linghai said that whether the semiconductor industry in the second half of the year will be due to excessive inventory and sluggish demand, still need to be observed. < / P > < p > he pointed out that the performance of many semiconductor companies in the second half of the year “is not easy to say.”. However, some enterprises may further increase the stock preparation and inventory level to cope with the potential impact of Sino US trade friction and protect the production bases in China from risks. However, according to Hong Hao, managing director of BOCOM international and head of research department, “hoarding” may not be the main reason for the good performance of semiconductor companies in the first half of 2020. “It’s gone after a quarter or two, but it’s been shipping a lot.” He pointed out to the reporter of the 21st century economic report that since the second half of 2019, the year-on-year growth of semiconductor shipment has been strong, rather than in 2020 or even after the spread of the epidemic. Hong Hao believes that the driving force of 5g and other factors and the “hoarding” of some Chinese enterprises may have a certain impact on this. In addition, Hong Hao believes that “technology stocks” and “semiconductor stocks” should not be treated in the same way. From the perspective of science and technology stocks as a whole, the profits of relevant technology companies have not been affected during the epidemic period, but may be more “fierce” than before the outbreak. In addition, the impact of the epidemic on some small competitors has also helped the profits of large technology companies. “There was nothing to buy during the outbreak, and money went to companies in these technology related sectors.” He said, “so here’s what we’re seeing.”
but there are also fears that the carnival will end in a bubble. Many Wall Street analysts are scared by the rush of investors and the unprecedented rapid growth of stocks. Once investors calm down, they will question whether the potential of technology companies in the future matches the high stock prices, and the stocks will start to return to the real level or even collapse. Some U.S. economists believe that unless cyclical sectors such as banking, energy and health care can take over the baton from the tech sector, the risk of tech stocks breaking up, as it did in 2000, will increase.