- ASE Technology stock has been falling dramatically for the last couple of months. It can only be explained by the existing geopolitical risk in the form of China-Taiwan tensions.
- However, I believe that open conflict is less likely to become reality due to the abundance of factors. At least in the medium term, I don't expect China to invade Taiwan.
- If I'm right, this drop presents investors with a unique opportunity to buy shares in a company that controls a huge part of the market.
- ASX is also experiencing an unprecedented demand for its products and services and is trading at a large discount to its "fair" value.
- I expect strong September sales - they can result in large volumes and a sharp upward movement of the stock.
For further details see:
ASE Technology: Smashed By Politics, But Still Holding A Huge Potential