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Semiconductor Value

Semi supply chain at value prices: TSMC, ASML, memory at cyclical lows, equipment recurring revenue

Semiconductor Value (Picks & Shovels)

3Y
Total Return
+145.8%
3Y
Sharpe Ratio
1.03
3Y
Max Drawdown
-34.0%
3Y
Win Rate
53.4%
3Y
Alpha
+12.0%
3Y
Comp. Score *
0.32
Risk Parameters
Max Allocation10.0%
Stop Loss30.0%
Take Profit28.1%
Max DD Tolerance34.0%
Rebalanceweekly
Execution Guidance
Order TypeLimit
Entry RuleBuy below SMA200 or at RSI < 35. Value = patience. Don't rush.
TimingSAFE TO BUY. *
ScalingEnter in 3 tranches over 4-6 weeks as price confirms bottom.
Positions — Vol-Adjusted Sizing
SymbolActionVol Stop LossTake ProfitSizeLinks
CRSR BUY 72% 40.0% below entry 84.2% above entry 3.3% TVYH
LRCX BUY 52% 40.0% below entry 60.8% above entry 4.6% TVYH
AVGO BUY 55% 40.0% below entry 64.8% above entry 4.3% TVYH
ASML BUY 45% 40.0% below entry 52.7% above entry 5.3% TVYH
KLAC BUY 48% 40.0% below entry 56.3% above entry 5.0% TVYH
ON BUY 55% 40.0% below entry 64.7% above entry 4.3% TVYH
MU BUY 63% 40.0% below entry 73.9% above entry 3.8% TVYH
AMAT BUY 48% 40.0% below entry 56.3% above entry 5.0% TVYH
SSNLF BUY 223% 40.0% below entry 84.2% above entry 3.3% TVYH
TSM BUY 42% 40.0% below entry 49.0% above entry 5.7% TVYH
▶ For Passive Investors (Buy & Hold)

This strategy is suitable for passive investing. - Take profit: Rebalance when any position exceeds 2x its target weight. Trim back to target, redeploy to underweight positions. - Stop loss: NO price-based stop loss. This strategy recovered from -41% drawdown to return 402% long-term. - Exit rule: Exit if free cash flow turns negative for 2 quarters — value trap confirmed.

Avg 5Y Return
173.2%
Avg 5Y Sharpe
0.68
10Y Return
402.2%
10Y Sharpe
0.57
HODL Composite
1.07
Consistency
89%
Suitable for passive
Yes