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PowerShares Dynamic Semiconductors Portfolio ETF (PSI)

  • Jul. 8, 2013, 1:24 PM
    Chip stocks underperform (SOXX -1.8%) thanks to an Intel downgrade, negative PC commentary, and worries about Samsung's light profit forecast. Citi's Glen Yeung, who just cut his Intel estimates and pulled Qualcomm (QCOM -1.7%) from his firm's Top Picks Live list, notes smartphone penetration in developed markets (where high-end sales are concentrated) has hit 75%, and frets about a "lack of new, innovative features" in high-end phones. SWKS -3.4%. MRVL -2.9%. SMTC -3%. AVGO -3.1%. ADNC -4.3%. SNDK -2.4%. TQNT -2.4%. ATML -2.5%. TSM -3.2%. Chip ETFs: SMH, XSD, PSI, SOXL, USD, SOXS, SSG. (SIA sales data)
    | Jul. 8, 2013, 1:24 PM | 3 Comments
  • Jul. 1, 2013, 6:46 PM
    Global chip sales rose 3.4% M/M in May, per the SIA's latest data. On a 3-month rolling average basis, they rose 4.6% M/M but just 1.3% Y/Y. Analysts are generally pleased. Though Evercore still expects a weak 2H, JPMorgan (6% 2013 growth forecast) notes sales are picking up following a weak Q1; Wedbush thinks both the data and its own checks suggest a chip recovery "continues at a healthy and steady pace;" and Wells Fargo (8%-10% 2013 forecast) likes the fact IC sales rose 6% Y/Y. Wells adds the ratio of chip equipment sales to IC sales remains low at 14%, which suggests equipment orders will eventually pick up. Chip equipment makers: AMAT, KLAC, LRCX, ASML, UTEK, RTEC. (Gartner)
    | Jul. 1, 2013, 6:46 PM | Comment!
  • Jun. 4, 2013, 12:05 PM
    Chip stocks outperform (SOXX +1.4%) after Microchip raises its June quarter guidance, and STMicroelectronics raises its 2013 guidance. Microchip rivals Texas Instruments (TXN +2.6%), Atmel (ATML +3.4%), and Freescale (FSL +2.1%) are among the winners, as is STMicroelectronics rival NXP (NXPI +3.6%). Also, Altera (ALTR +2.5%) is rallying with the help of an upgrade to Buy from Argus, and Intersil (ISIL +2.4%) is benefiting from a bullish coverage launch from Piper. Some chip ETFs: SMH, XSD, PSI, SOXL, USD, SOXS, SSG.
    | Jun. 4, 2013, 12:05 PM | Comment!
  • May 30, 2013, 4:02 PM
    Chip stocks close with solid gains (SOXX +1.5%) after Avago beats April quarter estimates and makes encouraging comments about mobile, industrial, and enterprise networking demand. In addition to Avago's rivals and Cirrus Logic (previous), big winners include Fairchild (FCS +3.8%), SanDisk (SNDK +2.7%), Spreadtrum (SPRD +7.2%), and InvenSense (INVN +4.9%), as well as touchscreen controller suppliers Synaptics (SYNA +4.3%), Atmel (ATML +6.3%), and Cypress (CY +2.8%).
    | May 30, 2013, 4:02 PM | Comment!
  • May 6, 2013, 2:05 PM
    Global chip sales rose 0.9% Y/Y in March, the SIA estimates. That's down slightly from Feb.'s 1.4% Y/Y growth, as PC and (to a lesser extent) IT hardware weakness offset smartphone/tablet strength. Sales were also up 0.9% Y/Y for the whole of Q1.
    | May 6, 2013, 2:05 PM | Comment!
  • Apr. 25, 2013, 8:28 PM
    Samsung Electronics (SSNLF.PK) says its Q1 profit rose 42% to a record high on strong smartphone sales. Net profit rose to a record KRW7.15T ($6.4B), up from KRW5.05T a year earlier. Operating profit rose 54% to KRW8.8T from KRW5.7T. Sales rose 16.8% to KRW52.9T from KRW45.3T, coming in in line with the company's guidance of KRW51T to KRW53T. The results stand in stark contrast those of Apple (AAPL), which earlier this week reported its first profit drop in a decade and forecast margins to decline in the current quarter ending in June.
    | Apr. 25, 2013, 8:28 PM | 95 Comments
  • Apr. 24, 2013, 12:28 PM
    Are wireless chip stocks decoupling from Apple? Even with Apple off slightly as bleak June quarter guidance outweighs fresh capital returns, iPhone/iPad combo chip supplier Broadcom (BRCM +6.6%) is surging thanks to a Q1 beat and strong Q2 guidance, and is helping out some peers - QCOM +1.4%, SWKS +2.6%, INVN +1.8%, SNDK +1%. During its earnings call, Broadcom, which also provides combo chips for many Samsung phones, stated mobile chip sales only fell 1.6% Q/Q in seasonally weak Q1, and forecast sequential growth for the business (Apple-dependent Cirrus Logic sure isn't doing the same). Qualcomm reports after the close.
    | Apr. 24, 2013, 12:28 PM | 4 Comments
  • Apr. 17, 2013, 12:26 PM
    Chip stocks have a rough day (SOXX -2.8%) following Cirrus Logic's warning, light guidance from Linear Technology (LLTC -4.6%) to go with a Q1 beat - Linear sees 1%-4% Q/Q revenue growth for calendar Q2, below a 4.7% consensus - and ho-hum Q1 results/Q2 guidance from Intel. Apple suppliers Broadcom (BRCM -4%), Avago (AVGO -5.5%), STMicroelectronics (STM -6.7%), NXP (NXPI -7%), RF Micro (RFMD -2.8%), and OmniVision (OVTI -3.3%) are among the casualties, but they're far from alone. ANAD -6.2%. STM -5.7%. FSL -5%. ADI -4.5%. TXN -4.4%.
    | Apr. 17, 2013, 12:26 PM | Comment!
  • Apr. 11, 2013, 5:48 PM
    "The move to digital audio/video and the rise of powerful smartphones/tablets is shrinking the overall [semiconductor addressable market]," writes Barclays' Blayne Curtis in a gloomy note about chip stocks influenced by ugly Q1 PC data. "The growth profile in semis is much slower than many expect (low single digits vs. the 7-8% 20yr trend line)." Curtis has cut Broadcom (BRCM) by two notches to Underweight on a belief its combo chip business could be hurt by integrated platforms (ed: Broadcom seems to have a tech edge for now), but has left his other ratings intact.
    | Apr. 11, 2013, 5:48 PM | Comment!
  • Apr. 3, 2013, 8:00 AM
    Something for the technicians to have a look at is this chart from ukarlewitz noting small-caps (IWM) have joined the industrials (XLI) and semiconductors (SMH) in slipping below their long-term uptrend line. Oversold in an uptrend tends to get bought, he says. It's a key time.
    | Apr. 3, 2013, 8:00 AM | 3 Comments
  • Apr. 1, 2013, 11:42 AM
    Chip stocks underperform (SOXX -1.5%) after the SIA reports industry sales fell 8.9% M/M and 3.8% Y/Y in February. Bernstein points out the M/M drop is much worse than a 3.4% historical average. Microprocessor sales are estimated to have fallen 14% M/M, but the fact Intel (INTC -2%) and AMD (AMD -1.2%) no longer provide data to the SIA affects the reliability of that number. Memory sales (inc. DRAM and NAND) grew thanks to both higher bit shipments and prices.
    | Apr. 1, 2013, 11:42 AM | 1 Comment
  • Mar. 28, 2013, 8:40 PM
    Just 3 chip manufacturers - Intel (INTC), Samsung (SSNLF.PK), and TSMC (TSM) - will account for 57% of 2013 chip industry capex, estimates IC insights. That figure, up from 2012's 54%, drives home the extent chip equipment maker fortunes now hinge on the spending plans of a handful of firms, and also the big lead the industry giants have opened up in economies of scale relative to smaller rivals. IC Insights expects total industry capex to grow 2% this year to $59.8B, after falling 11% last year.
    | Mar. 28, 2013, 8:40 PM | 1 Comment
  • Feb. 22, 2013, 2:03 PM
    Chip stocks are outperforming (SOXX +2%)  in the wake of Marvell's FQ4 beat and solid guidance, and Texas Instruments' dividend/buyback hike. Also norteworthy: 1) SEMI estimates the book-to-bill for North American chip equipment makers rose to 1.14 in January; that's up from 0.92 in December, and the first reading above 1 since May '12. 2) Taiwanese analog chipmakers posted strong January sales thanks to demand from LED and smartphone clients; the results could be a positive leading indicator.
    | Feb. 22, 2013, 2:03 PM | Comment!
  • Feb. 1, 2013, 1:34 PM
    Telecom chipmakers Cavium (CAVM +7.5%) and PMC-Sierra (PMCS +13.7%) soar after delivering Q4 beats (I, II), and contribute to a decent rally in chip stocks (SOXX +1.9%). Cavium guided on its Q4 call for Q1 revenue of $68.5M-$70.5M and EPS of $0.17-$0.19 vs. a consensus of $69.1M and $0.17. PMC guided on its call for Q1 revenue of $123M-$132M, largely above a $124.7M consensus. The numbers come amidst growing optimism (I, II) about 2013 telecom capex. Peers Broadcom (BRCM +2%), Marvell  (MRVL +3.1%), and LSI (LSI +4.7%) are all doing well.
    | Feb. 1, 2013, 1:34 PM | Comment!
  • Jan. 17, 2013, 1:19 PM
    TSMC (TSM +2.5%) has hit levels last seen during the bubble after delivering an in-line Q4 report (revenue was already known thanks to monthly reports) and guiding for a smaller Q/Q sales drop for seasonally weak Q1 than was expected. The world's top chip foundry claims 22% of Q4 wafer sales involved its cutting-edge 28nm process - TSMC struggled with 28nm yield issues earlier in 2012. Chip stocks are getting a lift from the report (SOXX +1.4%), and from ASML's guidance.
    | Jan. 17, 2013, 1:19 PM | Comment!
  • Jan. 16, 2013, 2:19 PM
    Chip stocks are outperforming (SOXX +1.1%) in spite of receiving soft top-line numbers from Linear Tech (LLTC +1.4%): the chipmaker missed FQ2 revenue estimates and guided for FQ3 Q/Q revenue growth of 1%-4%, below a 5% consensus. S&P 500 chip companies are already expected to post a 28.7% Y/Y earnings drop for calendar Q4 (per Thomson Reuters), thus expectations are quite low. Intel (INTC +0.9%) reports tomorrow: the consensus revenue forecast of $13.51B is below the midpoint of the chip giant's $13.1B-$14.1B guidance range.
    | Jan. 16, 2013, 2:19 PM | Comment!
PSI vs. ETF Alternatives
PSI Description
The PowerShares Dynamic Semiconductors Portfolio (Fund) is based on the Dynamic Semiconductors Intellidex Index (Index). The Fund will normally invest at least 90% of its total assets in common stocks that comprise the Index. The Index is designed to provide capital appreciation by thoroughly evaluating companies based on a variety of investment merit criteria, including fundamental growth, stock valuation, investment timeliness and risk factors.
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Sector: Technology
Country: United States
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