The market sell-off continues as stock prices keep dipping, but these prices should get us excited as long-term investors. Today's video focuses on recent news affecting Microsoft (MSFT 0.60%), Nvidia (NVDA +2.59%), Advanced Micro Devices (AMD +3.50%), and Taiwan Semiconductor Manufacturing (TSM +1.40%). Here are some highlights.
- Microsoft is one of those companies that hits numerous markets, and it's significantly diversified. The company has three main segments: productivity and business processes, intelligent cloud, and more personal computing. Each component hits a different market. During its most recent earnings, Microsoft reported an 8% year-over-year growth in net income and strong double-digit growth in revenue from all of its segments.
- AMD and Nvidia are semiconductor companies that provide solutions to consumer and enterprise customers. AMD is a company that recently reported strong double-digit growth, is profitable, with positive cash flow from operations, and is expected to continue to grow in the upcoming year. Investors might find it interesting that AMD's forward P/E ratio is dramatically lower than Microsoft's.
- Taiwan Semiconductor Manufacturing might not have the substantial growth opportunities of other semiconductor companies, and for those reasons, it does trade at lower valuations. Regardless, this company can grow as investments in artificial intelligence, machine learning, and autonomous systems increase from enterprise customers as technology continues to innovate.
*Stock prices used were the closing prices of May 6, 2022. The video was published on May 7, 2022.
