Fri. 29 Oct 2021, 7:42am ETBenzinga
In: Earnings, Long Ideas, News, Tech, Media, Trading Ideas

On CNBC’s "Trading Nation," Nancy Tengler of Laffer Tengler Investments discussed chip stocks and congratulated investors who owned Wolfspeed Inc (NYSE:WOLF) after the company’s shares jumped significantly following quarterly results.

Tengler said Taiwan Semiconductor Mfg. Co. Ltd. (NYSE:TSM) reported a great quarter and boosted outlook. The company projects 51% to 53% gross margin for the fourth quarter despite higher prices and has a dividend yield of around 1.7%.

She noted Lam Research Corporation (NASDAQ:LRCX) is the semiconductor stock that doesn’t get "talked about very much." The company posted a decent quarter, also boosting its dividend by 15%. With the stock off its highs and having an attractive valuation, she said Lam Research is a "name that you can earn for a very long time."

Wolfspeed Inc (NYSE:WOLF) jumped more than 33% on Thursday after reporting a narrower-than-expected quarterly loss. Teradyne, Inc. (NASDAQ:TER) was the second-best performing chip stock, with shares jumping 11%.

Price Action: Taiwan Semiconductor shares rose 2% to close at $116.01, while shares of Lam Research climbed 2.2% to settle at $565.95.