Semiconductor Manufacturing International’s Stock Price Drops to 31.80 HKD, Experiences 2.45% Decline

Semiconductor Manufacturing International (981)

31.80 HKD -0.80 (-2.45%) Volume: 83.91M

Semiconductor Manufacturing International’s stock price stands at 31.80 HKD, experiencing a decline of 2.45% this trading session, with a trading volume of 83.91M. Despite this, the company’s stock has shown resilience with a year-to-date percentage change of +60.12%, underpinning its strong position in the semiconductor industry.

Latest developments on Semiconductor Manufacturing International

Today, Semiconductor Manufacturing International Corp (SMIC) stock price experienced significant movements following accusations by a US Congressman claiming the company is producing 7nm chips for China, potentially violating U.S. sanctions. This news has sparked concerns among investors about the impact of these allegations on SMIC’s business operations and future prospects. The stock price fluctuations reflect the uncertainty surrounding the company’s involvement in geopolitical tensions and potential consequences for its relationship with the United States.

Semiconductor Manufacturing International on Smartkarma

Analysts on Smartkarma have varying views on Semiconductor Manufacturing International Corp (SMIC). Nicolas Baratte‘s bearish insight highlights the poor margins and inventory risks faced by Chinese foundries like SMIC. He notes that Chinese foundries have outgrown their ex-China counterparts significantly, but now face an inventory problem due to overblown end-demand growth expectations.

On the other hand, Patrick Liao’s bullish analysis paints a more optimistic picture for SMIC, forecasting steady revenue growth and gross margin improvement. He emphasizes SMIC’s focus on AI and capacity expansion, expecting the company to grow around 50k/8″ equivalent wafer per year. Liao also highlights SMIC’s resilience amidst the prolonged US-China trade war, noting that the company continues to deliver advanced chips despite US sanctions.

A look at Semiconductor Manufacturing International Smart Scores

Smart Score is a compound score for the Company indicating its overall outlook. It is derived by taking an equally weighted average of underlying Factor scores computed by Smartkarma

Based on the Smartkarma Smart Scores, Semiconductor Manufacturing International Corp (SMIC) has a positive long-term outlook. With a high score in Value, the company is considered to be undervalued in the market. This indicates that there is potential for growth in the future. Additionally, SMIC has a strong Momentum score, suggesting that the company is performing well in the current market environment.

However, SMIC’s scores in Dividend, Growth, and Resilience are not as high. This may indicate that the company is not currently focused on paying out dividends to shareholders, experiencing slower growth compared to its peers, and may be more susceptible to market fluctuations. Overall, Semiconductor Manufacturing International Corp (SMIC) is positioned well for long-term success, especially in terms of value and momentum.

Summary: Semiconductor Manufacturing International Corporation operates a semiconductor foundry, providing integrated circuit foundry and technology services globally. Despite lower scores in Dividend, Growth, and Resilience, SMIC’s high Value and Momentum scores indicate a positive long-term outlook for the company.

Disclaimer: This article by Smartkarma is general in nature and based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. Note that our articles may not factor in the latest price-sensitive company announcements or qualitative material.
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