Why Semiconductor Equipment Stocks ASML Holdings, KLA, and Lam Research Plunged Today
Shares of semiconductor equipment stocks ASML Holdings (NASDAQ: ASML), KLA (NASDAQ: KLAC), and Lam Research (NASDAQ: LRCX) were plunging on Monday, down 6.8%, 4.7%, and 6.7%, respectively, as of 3:52 p.m. ETSemiconductor stocks are long-term growers, but they also have cyclical qualities as well. Therefore, today's fears over a tariff-induced recession is causing a big sell-off.In addition, tariffs that increase trade tensions with China tend to especially complicate things for semiconductor stocks. This is because China is a big purchaser of chips, and its government is also investing heavily in domestic chipmaking alternatives, including homegrown semiconductor equipment stocks.Continue reading
Shares of semiconductor equipment stocks ASML Holdings (NASDAQ: ASML), KLA (NASDAQ: KLAC), and Lam Research (NASDAQ: LRCX) were plunging on Monday, down 6.8%, 4.7%, and 6.7%, respectively, as of 3:52 p.m. ET
Semiconductor stocks are long-term growers, but they also have cyclical qualities as well. Therefore, today's fears over a tariff-induced recession is causing a big sell-off.
In addition, tariffs that increase trade tensions with China tend to especially complicate things for semiconductor stocks. This is because China is a big purchaser of chips, and its government is also investing heavily in domestic chipmaking alternatives, including homegrown semiconductor equipment stocks.
