Rambus Inc. (NASDAQ:RMBS) is one of the stocks that was on Jim Cramer’s radar recently. When a caller asked about the stock, Cramer remarked: Oh, yeah, Rambus has not kept pace. It’s not kept pace with the others. I think you could, in that space, I do prefer Texas Instruments. I think that they are a better buy as is Analog Devices. Photo by Adam Nowakowski on Unsplash Rambus Inc. (NASDAQ:RMBS) develops memory interface chips and silicon IP that help systems move and secure data more efficiently. Dur ...

Madison Investments, an investment advisor, released its fourth-quarter 2025 investor letter for the “Madison Large Cap Fund”. A copy of the letter can be downloaded here. In the fourth quarter, the S&P 500 returned 2.65%, resulting in a full-year return of 17.9% for 2025. Over the last three years, the Index has achieved annual growth of over 21%. Following the recent trends, market leadership was defined by High Beta and Momentum factors, with narrow participation. However, in the fourth quarter, the mark ...

Company Overview - Ultra Clean Holdings is a semiconductor equipment manufacturer that provides high-end product cleaning solutions and analytic services to major semiconductor manufacturers such as Taiwan Semiconductor, Intel, and Micron [3][4] - The company is benefiting from domestic production trends and the anticipated impacts of the "big beautiful bill" set to take effect in 2026 [2][12] Stock Performance - Shares of Ultra Clean Holdings have increased significantly, with a 70% rise over the past year and a remarkable 140% increase since the beginning of the year [4][5][8] - The current trading price is $61.50, while the average price target is $42.50, indicating potential for further growth depending on upcoming earnings reports [8] Earnings Expectations - The company is expected to report earnings per share (EPS) of $0.23, which is a decline compared to the previous year, and sales estimated at $503 million, down approximately 10% [6][11] - For the fiscal year 2026, EPS is projected to increase to $0.50, representing a 56% growth, while sales are expected to rise only by 6% to approximately $2.19 billion [7][11] Market Trends - The semiconductor industry is experiencing a favorable trend due to increased demand for data center buildouts and semiconductor manufacturing, which is benefiting niche companies like Ultra Clean [12] - The company is positioned well within this context, as it provides essential services and equipment for the growing semiconductor sector [12][13]

Investment Strategy Shift - In 2026, investors have shifted focus from growth stocks and high-powered tech companies to dividend stocks, indicating a change in investment strategy [1] Market Performance - The S&P 500 has risen by less than 2% since the start of the year, while the Roundhill Magnificent Seven ETF, which includes top tech stocks, is down more than 3% [2] - Dividend stocks have outperformed the market recently, with the iShares Select Dividend ETF and Schwab U.S. Dividend Equity ETF both showing significant gains [2] iShares Select Dividend ETF - The iShares Select Dividend ETF is up 10% and focuses on U.S. companies that have paid dividends for at least five years, providing reliable income investments [3] - The ETF holds around 100 stocks, with Seagate Technology as its top holding, accounting for just under 4% of the portfolio, and Seagate's stock has risen more than 50% year to date [4] - The ETF yields around 3.4%, significantly higher than the S&P 500 average of 1.1%, with an expense ratio of 0.38% [5] Schwab U.S. Dividend Equity ETF - The Schwab U.S. Dividend Equity ETF has performed even better, up 13% this year, benefiting from high-performing stocks like Lockheed Martin and Texas Instruments, each making up over 4% of the ETF [6] - Both Lockheed Martin and Texas Instruments have seen stock increases of more than 25% for the year [6]

Group 1 - VanEck Semiconductor ETF (NASDAQ: SMH) gained 12% in January, outperforming the S&P 500 index which was up about 1.5% [1] - As of February 6, the ETF's year-to-date gain is 11.5%, compared to the broader market's 1.4% increase [1] - The ETF consists of 25 stock holdings, with three stocks gaining over 30% and two over 20% in January, contributing to its strong performance [2] Group 2 - Micron stock was the top performer in January, soaring 45.4% due to strong demand for memory chips driven by the artificial intelligence sector [3] - In its fiscal first quarter, Micron's revenue surged 57% year over year to $13.64 billion, with adjusted earnings per share skyrocketing 167% to $4.78, primarily driven by its cloud memory unit [4] - Nvidia, the AI semiconductor leader, is the largest holding in the VanEck Semiconductor ETF, accounting for 18.3% of its portfolio value as of February 5 [7] Group 3 - ASML Holdings and Lam Research stocks increased by 33% and 36.4% respectively in January, with TSMC's strong earnings report acting as a catalyst for the chip equipment sector [6] - The top 10 holdings of the ETF include major players like Nvidia, TSMC, Broadcom, and Micron Technology, indicating a strong focus on leading semiconductor companies [5]

Core Insights - Texas Instruments (TI) is acquiring Silicon Labs in a surprising move, with the deal valued at $7.5 billion, paying $231 per share in an all-cash transaction [6] - Following the announcement, TI's stock fell approximately 2%, while Silicon Labs' stock surged by 49% to a new 52-week high [1] Company Overview - Texas Instruments is recognized for its analog and embedded processing chips, transitioning from its historical role as a calculator manufacturer to a key player in automotive and industrial power [2] - Silicon Labs specializes in wireless connectivity solutions for the Internet of Things (IoT), serving major clients like Samsung, Google, and Amazon [2][7] Market Context - The global wearable medical devices market is projected to grow from $103.04 billion in 2025 to $505.28 billion by 2034, with a CAGR of 20% [4] - North America holds a significant market share of 45.70% in this sector as of 2025, indicating a robust demand for health and activity tracking devices [5] Strategic Implications - The acquisition is timely for TI, as it aims to enhance its revenue and expand its client base by integrating Silicon Labs' wireless technology with its existing chip offerings [5][7] - With the growing need for low-power communication in IoT devices, TI's acquisition positions it to provide comprehensive solutions that include both device power and connectivity [3][7]

Group 1 - Halper Sadeh LLC is investigating potential violations of federal securities laws and breaches of fiduciary duties related to the sale of Silicon Laboratories Inc. to Texas Instruments for $231.00 per share in cash [1] - Webster Financial Corporation is being investigated for its sale to Banco Santander, S.A. for $48.75 in cash and 2.0548 Santander American Depository Shares for each Webster common share [2] - The firm may seek increased consideration for shareholders, additional disclosures, and other relief on behalf of shareholders, operating on a contingent fee basis [3] Group 2 - Shareholders are encouraged to contact Halper Sadeh LLC free of charge to discuss their legal rights and options [4] - The firm represents investors globally who have experienced securities fraud and corporate misconduct, recovering millions on behalf of defrauded investors [4]

CNBC's Kristina Partsinevelos delivers the latest news surrounding chip stocks. ...

Core Viewpoint - The article discusses the dividend prospects of three popular stocks for income investors: Coca-Cola, Domino's Pizza, and Texas Instruments, highlighting their dividend growth potential and current yields. Group 1: Coca-Cola - Coca-Cola is a dividend king, having raised its per share dividend for 63 consecutive years [1] - The stock currently yields 2.8%, down from 3.1% a year ago, with a 3.9% annualized dividend growth over the past 5 years [2] - The company's payout ratio has decreased from above 80% in 2020 to below 70% currently, with forecasts suggesting an increase in the annual dividend from $24 to $26.5 by 2029 [2][3] Group 2: Domino's Pizza - Domino's Pizza has a current yield of 1.7%, with an impressive 18.4% annualized dividend growth over the past 5 years [4] - Analysts forecast the annual dividend will rise from $6.96 to $11.64 by 2029, indicating a capacity to raise the dividend by 14.5% per year [4] - The stock is currently trading at a 5% discount to its fair value estimate of $436 [5] Group 3: Texas Instruments - Texas Instruments is nearing dividend aristocrat status, having increased its dividend for 22 consecutive years [5] - The stock currently yields 2.7%, consistent with its 5-year average, and has shown 10.4% annualized dividend growth over the past 5 years [6] - Analysts project the annual dividend will increase from $5.68 to $6.46 by 2029, with management focusing on redistributing excess cash to shareholders [6][7]

Core Insights - The demand for AI data center hardware is increasing, with chipmakers' shares rising due to renewed interest beyond Nvidia's processors [1][3] - Nvidia announced a $2 billion investment in CoreWeave to enhance U.S. data center capacity, aiming for 5 gigawatts by 2030 [2] - U.S. technology earnings are projected to grow by approximately 27% in Q4, significantly outpacing the broader S&P 500's expected 9.2% rise, highlighting the impact of AI on corporate profits [3] Company Highlights - **Digital Realty Trust, Inc. (NYSE:DLR)** has an upside potential of 17.51% and is supported by 43 hedge fund holders [8] - Digital Realty is expanding into Malaysia by acquiring CSF Advisers, enhancing its data center capabilities in a key region [9] - The company plans to acquire adjacent land to increase capacity by up to 14 megawatts, with the deal expected to close in H1 2026 [10] - Digital Realty's Malaysian campus will integrate into its PlatformDIGITAL, improving interconnectivity and scalability in Southeast Asia [11] - Scotiabank has adjusted its price target for Digital Realty from $206 to $189 while maintaining an 'Outperform' rating [12] - **American Tower Corporation (NYSE:AMT)** has an upside potential of 19.92% and is backed by 75 hedge fund holders [14] - Over 70% of analysts are bullish on American Tower, with UBS maintaining a Buy rating but lowering the price target from $260 to $254 [14] - Scotiabank and JPMorgan have also reiterated positive ratings for American Tower, with price targets adjusted due to market conditions [15][16] - American Tower focuses on managing multitenant communications infrastructure and operates data centers through its subsidiary CoreSite [17]