NXP Semiconductors NV
NXPI: XNAS (USA)
Morningstar Rating for Stocks | Fair Value | Economic Moat | Capital Allocation |
---|---|---|---|
$837.00 | Vlsr | Fqrqghsrz |
NXP Semiconductors Is Cruising Ahead in Automotive Chip Demand; $210 FVE
Business Strategy and Outlook
NXP Semiconductors is one of the largest suppliers of semiconductors for the automotive market and a significant force in the analog and mixed signal chip markets generally. We believe the firm has a durable position in the automotive, industrial, mobile, and communications infrastructure markets due to a combination of switching costs and intangible assets. Although the company sells into cyclical industries, the strength of these competitive advantages gives us confidence that the firm will generate excess returns over the cost of capital over the next decade.