2024-02-06 16:55:18 ET
Summary
- NXP Semiconductors is trading near all-time highs despite a slowdown in sales in the auto sector.
- The company continues to intentionally restrict sales and keep inventory levels low, but expects to return to positive sales growth in the second half of the year.
- The stock only trades at 14x forward EPS targets with the expectation that it will return to 10% growth rates led by automotive demand.
Despite a suddenly tough auto sector, NXP Semiconductors ( NXPI ) actually still trades near all-time highs. The semiconductor company has seen sales slow in the last year, though the company operates in attractive end markets for the next decade. My investment thesis remains Bullish on the stock due to the cheap valuation and likely return to growth in the 2H of the year....
Read the full article on Seeking Alpha
For further details see:
NXP Semiconductors: Driving Back Towards Growth