The semiconductor industry is seen as the foundation of modern technology. It plays a crucial role from smartphones to cars and digital infrastructure everywhere. In the second quarter (Q2) of FY25, many semiconductor stocks an increase in holdings by Foreign Institutional Investors (FIIs), showing their trust in this sector’s potential and future.
Let’s have a look Top 3 Semiconductor stocks in which FII Increased Stake.
Top 3 Semiconductor Stocks
Dixon Technologies (India) Limited
Company Overview: Established in 1993, Dixon Technologies is a leading Electronic Manufacturing Services (EMS) company in India. It manufactures consumer electronics, lighting, home appliances, mobile phones, and security devices. Recently, the company formed a joint venture with Imagine Marketing for wireless audio solutions. Dixon uses semiconductors in its device assembly like mobile phones and refrigerators.
FII Holdings:
- Q1 FY25: 19.33%
- Q2 FY25: 22.69%
Financial Performance:
- Revenue Growth from FY23 to FY24: ₹12,192 crores to ₹17,691 crores, a 45.10% increase
- Net Profit Growth: ₹255 crores to ₹375 crores, a 47.06% increase
Market Performance:
- Market Cap: ₹94,892 crores
- Share Price: ₹15,805 per share
Moschip Technologies Limited
Company Overview: Moschip Technologies is a prominent semiconductor and system design firm, offering ASIC solutions, IoT applications, and semiconductor engineering services. Its solutions are used in aerospace, automotive, medical, and telecom industries.
FII Holdings:
- Q1 FY25: 2.86%
- Q2 FY25: 3.64%
Financial Performance:
- Revenue Growth from FY23 to FY24: ₹198 crores to ₹294 crores, a 48.48% increase
- Net Profit Growth: ₹6 crores to ₹10 crores, a 66.67% increase
Market Performance:
- Market Cap: ₹4,291 crores
- Share Price: ₹226 per share
Kaynes Technology India Limited
Company Overview: Founded in 2008, Kaynes Technology is a leading integrated electronics manufacturing company. It provides design, engineering, manufacturing, and lifecycle support services. Recently, the company received approval for a ₹3,307 crore investment to set up a semiconductor manufacturing unit in Sanand, Gujarat.
FII Holdings:
- Q1 FY25: 14.27%
- Q2 FY25: 14.92%
Financial Performance:
- Revenue Growth: 17.31% increase (from FY23 to FY24: ₹1,086 crores to ₹1,274 crores)
- Net Profit Growth: 32.63% increase (From ₹95 crores to ₹126 crores)
Market Performance:
- Market Cap: ₹38,312 crores
- Share Price: ₹5,984 per share
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Why Are Semiconductor stocks Special?
Semiconductor stocks are crucial for several reasons:
- Foundation of Modern Tech Semiconductors are the heart and soul of modern technology. They power everything from our beloved smartphones to the essential appliances in our homes.
- Rising Demand As we move into an era dominated by AI, IoT, and 5G, the demand for semiconductors is rising. Every new tech advancement depends on these tiny chips.
- Innovation Leaders Semiconductor companies are always pushing the boundaries, creating faster, more efficient chips.
- Global Importance Semiconductors are important to global trade and international relations. Countries like the US, China, South Korea, and Taiwan are heavily involved in their production.
- Investment Goldmine With their crucial role in tech and continuous innovations, semiconductor stocks are great for long-term investments. They hold a lot of growth potential.
In short, semiconductor stocks are special because they are the backbone of the technologies shaping our lives and our future. They’re a vital part of the tech industry and a promising area for investment.
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Conclusion:
The increased holdings by FIIs in these companies highlight the growth potential of the Indian semiconductor industry.
- Dixon Technologies: A leader in consumer electronics manufacturing.
- Moschip Technologies: Experts in advanced ASIC design and IoT solutions.
- Kaynes Technology: Big plans with a new semiconductor manufacturing unit in India.
Have you noticed these semiconductor stocks? They might take your portfolio to new heights!
Thank you. Happy Reading
Disclaimer: Investing in the stock market is subject to market risks. Please do your own research or consult your financial advisor before making any investment decisions. This article aims to inform and educate the general public, investors, and traders.