2021 BRN Discussion, page-21750

Now here is an article that you can show your spouse or someone else you want to impress with how clever you are to have done your research and chosen Brainchip as an investment to secure your future:

"The global chip markets remain tight,and a recent PwC study predicts that the global semiconductor market willcontinue to experience solid growth years. The authors forecast that chip saleswill rise to USD 575 billion as early as 2022. Starting from the USD 481billion in the previous record year 2018, this would correspond to a compoundannual growth rate (CAGR) of 4.6% - not even the pandemic slowed this increase noticeably.In Europe, the automotive industry will become the primary sales market forchip manufacturers. A new growth driver is semiconductors to support artificialintelligence (AI) in autonomous mobility. We present a few industryrepresentatives.

time to read: 4minutes by André Will-Laudien
ISIN: NVIDIA CORP. DL-_001 | US67066G1040 , ADVANCED MIC.DEV. DL-_01 | US0079031078 , BRAINCHIP HOLDINGS LTD | AU000000BRN8 , INFINEON TECH.AG NA O.N. | DE0006231004

1. NVIDIA - THE CLEAR NUMBER1 IN GRAPHICS CHIPS

2. AMD - LOSING MARKET SHARETO THE MARKET LEADER

3. BRAINCHIP HOLDINGS -ALMOST LIKE THE HUMAN BRAIN

4. INFINEON - STILL IN THEFAST LANE

Author

ANDRÉ WILL-LAUDIEN

Born in Munich, he first studiedeconomics and graduated in business administration at theLudwig-Maximilians-University in 1995. As he was involved with the stock marketat a very early stage, he now has more than 30 years of experience in thecapital markets.

About the author

NVIDIA - THE CLEAR NUMBER 1 IN GRAPHICS CHIPS

Thanks to robust demand for itspowerful graphics cards, shares of Nvidia have nearly quadrupled since early2020. They are needed in a wide range of applications where processing powerand detail matter. Specific application areas include PCs as well as datacenters, mining hubs and the automotive industry. The chipmaker'sdominant position in the lucrative video game market is one of the main reasonsfor the enormous sales growth in recent quarters. The segment is nowresponsible for 47% of total sales and is therefore of paramount importance tothe Company. With a unique market position, the upward trend should continue togrow dynamically here.

AMD - LOSING MARKET SHARE TO THE MARKET LEADER

Nvidia's closest competitor, AdvancedMicro Devices (AMD), is struggling to make headway in this multi-billion dollarsector, as the latest market analysis fromJon Peddie Research shows. It says that Nvidia's share of the discrete graphicsprocessor (GPU) market was 83% in the second quarter of 2021, with AMD accountingfor the rest. That is an increase of one percentage point each compared to theprevious two quarters. As a result, Nvidia successively takes market sharesfrom its competitor AMD. There is almost a monopoly position developing.

Meanwhile, AMD tries to equip its newdesktop CPUs with an integrated graphics unit.That would be a novelty for the well-known Ryzen series because only theseparate APU models with the suffix "G" previously could access thisfeature. For users of the processors, this would be a nice addition. This way,they do not have to rely on a dedicated graphics card to use their PC - thatwould be especially worthwhile for office use. In a celebratory mood, AMD stockowners are probably assuming a special boom for their Company, as AMD's marketvalue has been able to swing up 50% since then.

BRAINCHIP HOLDINGS - ALMOST LIKE THE HUMAN BRAIN

BrainChip Holdings is an Australiansemiconductor company that manufactures a revolutionary neuromorphic processorcalled "Akida". This chip is thefirst fully digital computer chip that functions in the same way as the humanbrain, i.e. it processes so-called spikes instead of conventional computerdata.

The Akida processor can also learn onits own during use, as it improves the overallperformance of artificial intelligence systems by significantly reducinglatency and power consumption. Because Akida does most of its processingon-chip rather than in data centers, it does not require a constant Internetconnection. As a result, it takes so-called edge computing to a whole newlevel.

The new chip with AI capabilitiesrepresents a wide range of application areas, including control of autonomousvehicles, IoT devices and drones. Other areas ofapplication can be found in robotics, medical diagnostics and security. Thefirst Akida chips were manufactured by TSMC in Taiwan and delivered in August2021. Once commercially launched, management expects BrainChip to attract someof the big names in the semiconductor industry and end-users and electronicscompanies alike.

BRN stock is based in Australia andis also actively traded on Nasdaq and in Germany. Its market capitalization iscurrently around EUR 500 million - not too much for a next-generationchipmaker. Research house Pitt Street sees a price target of AUD 1.45, whichrepresents a potential of almost 200% today.

INFINEON - STILL IN THE FAST LANE

Infineon (IFX) is the largest chipmanufacturer from Germany. For the currentfiscal year, the Company is showing signs of rapid growth, even though itshould expand at a slower pace again in the future. In the media, the shortageof computer chips has been discussed intensively since the beginning of theyear, and the megatrend of e-mobility is playing right into IFX's hands.According to the last quarterly report, Infineon benefited from the stronglyrising prices for semiconductor products. According to the report, IFX expandedits revenues from EUR 2.17 billion to EUR 2.72 billion compared to the sameperiod last year, which corresponds to an increase of 25%. At the same time,the Company moved back into the profit zone with EUR 245 million, after postinga loss of EUR 128 million 12 months ago.

The Automotive division performedparticularly strongly, expanding its revenues by 49% to EUR 1.21 billion withinthe year. Accordingly, Infineon's products are currently in exceptionally highdemand in this sector. Global corporations such as Bosch, Continental and Densoare placing regular orders as more and more high-tech electronic features areinstalled in vehicles. Infineon's chart is pointing incessantly upward,with a new high of EUR 37.4 reached just this week.

Scarcity moves chipmakers' profits.After the supply backlog has been worked off, the growth momentum is likely toflatten out somewhat, but the megatrend of e-mobility will nevertheless providefurther impetus. Producers such as Nvidia, AMD and Infineon are alreadywell-positioned, and the Australian Company BrainChip is just coming onto themarket with a new technology - which makes things exciting!

CONFLICT OF INTEREST & RISK NOTE

In accordance with §34b WpHG we wouldlike to point out that Apaton Finance GmbH as well as partners, authors oremployees of Apaton Finance GmbH may hold long or short positions in theaforementioned companies and that there may therefore be a conflict ofinterest. Apaton Finance GmbH may have a paid contractual relationship with thecompany, which is reported on in the context of the Apaton Finance GmbHInternet offer as well as in the social media, on partner sites or in e-mailmessages. Further details can be found in our Conflict ofInterest & Risk Disclosure."

My opinion only DYOR
FF

AKIDA BALLISTA