'Worrisome': Jim Cramer says chip stocks have gone 'parabolic' — and he's making moves in his own portfolio before it's too late
CNBC's Jim Cramer is concerned that the surge in semiconductor stocks could lead to a nasty pullback, citing the Philadelphia Semiconductor Index's 18 consecutive winning sessions in April and a 30% rise that month. Cramer notes that the index's performance is reminiscent of the dot-com bubble in 2000.
CNBC's Jim Cramer is concerned about the surge in semiconductor stocks, fearing a potential pullback. The Philadelphia Semiconductor Index (SOX) had 18 consecutive winning sessions in April, rising about 30% that month. Cramer's concerns are based on the index's similarity to the dot-com bubble in 2000. He analyzed U.S.-listed companies in the chip or AI data center sector that posted 50%+ gains since March 30th, finding 94 companies, including AMD, Marvell Technology, and Intel. Other firms, such as Goldman Sachs and Morgan Stanley, also believe high-tech stocks are overextended. Cramer cited POET Technologies as a cautionary tale, whose stock plummeted 47% after news that Marvell Technologies wouldn't partner with it.
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