Better Buy: NXP Semiconductors vs. Qualcomm

It's been nearly two years since Qualcomm (NASDAQ: QCOM) gave up on its $44 billion buyout of NXP Semiconductors (NASDAQ: NXPI). Let's have a look at how the two microchip makers have fared since that fateful day. Should you buy either one of these tech stocks today?NXP and Qualcomm largely focus on completely different target markets. That's why Qualcomm wanted to buy the smaller sector peer in the first place -- the communications and networking specialist was looking for an instant foot in the door in NXP's most important markets of automotive and industrial computing.Qualcomm's annual sales have increased by 9.3% since the summer of 2018 while NXP's revenues declined by 7.2%. Industrial and automotive computing have been hostile business environments due to the long-running trade war between Washington and Beijing. Qualcomm's sales were helped by worldwide rollouts of 5G wireless networking systems, many of which are built around Qualcomm chips and patents.Continue reading
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