Quick Win by the Algorithm: NXP Semiconductors NV (NXPI)

Quick Win by the Algorithm

NXP Semiconductors NV

On May 20th, 2016, the I Know First algorithm gave a bullish signal of 15.44 for the ticker NXPI with a predictability indicator of 0.15. In accordance with the algorithm’s prediction, NXPI jumped 5.96% in the following three months.

quick win

NXP Semiconductors N.V. (NXP) is a holding company. The Company operates as a semiconductor company and a long-standing supplier. The Company provides high-performance mixed signal and standard product solutions.

NFC products are not a major growth driver for NXP sales. Indeed, as modern cars are handling more and more computing tasks, systems need processors. So do engine optimization technologies, safety systems, and the trend toward in-car networking. That’s before thinking ahead to all-electric vehicles. This is why automotive chips are in high demand. The market has grown 19% over the last four years.

In the latest NXP earnings, the automotive division was the main segment to report true year-over-year growth in the first quarter. It’s also NXP’s largest division, pulling in an unmatched 36% of the company’s total quarterly sales.

In addition, analysts at Nomura Holdings believes Qualcomm, Inc., Broadcom, or Texas Instruments would start bidding in order to acquire NXP Semiconductors NV. Nomura perceives NXP to be highly qualified as the company performs well on acquisition criteria. He noted that NXP is, in terms of sales, the fifth largest semiconductor supplier.

NXP enjoys a significant existence in global channels in terms of cross-selling. Additionally, it holds the title of market leader in various areas that include protected identification, microcontrollers, and mobile transactions.

To learn more about NXPI, Click HERE