AI/Semiconductor Chip Stock Portfolio Was DOWN 4% In October - ARCHIVED

The hundreds of AI-related stocks trading on various North American stock exchanges have been reduced to 31 pure-play semiconductor computer chip AI stocks in 7 portfolios and 30 pure-play stocks involved in a full gamut of generative artificial intelligence technology in 5 portfolios.

The 12 portfolios are presented below by sector, in descending order, as to their performances in October  with those constituents in each portfolio whose stock prices were UP or DOWN by at least 10% during the month highlighted. To determine why a particular stock advanced or declined so much , click on the stock symbol and scroll down to the “News” section.

The Pure-play Semiconductor Computer Chip AI Portfolio

1. Pure-Play Quantum Computing Stocks Portfolio: UP 51.6% in October
   • Focus: involved exclusively in the research and development of quantum computers
   • Constituent Performances:
     • >10%: Quantum Computing (QUBT): +67.2%; Rigetti Computing (RGTI): +63.0%;
     • IonQ (IONQ): +54.8%
     • >0-10%: QBTS
     • <0-10%: None
     • <10%: None
2. Pure-Play Semiconductor Foundries Portfolio: UP 1.6% in October 
   • Focus: factories (called foundries in semiconductor jargon) that concentrate all their efforts in the manufacturing of chips based on the designs provided by other semiconductor companies
   •  Constituent Performances:
     • >10%: None
     • >0-10%: TSM
     • <0-10%: TSEM; GFS
     • <10%: United Microelectronics (UMC): -20.1%
3. EDA Software Chip Design Stocks Portfolio: UP 0.3% in October
   • Focus: electronic design automation (EDA) companies use sophisticated software to assist engineers in the custom design and development of complex chips
   • Constituent Performances:
     • >10%: None
     • >0-10%: CDNS; SNPS
     • <0-10%: None
     • <10%: None
4. Integrated Device Manufacturers (IDM) Portfolio: DOWN 5.3% in October
   • Focus: do everything themselves to control the entire production process
   • Constituent Performances:
     • >10%: None
     • > 0-10%: None
     • <0-10%: (TXN); (ADI) (NXPI); (MU); (MCHP)
     • <10%: Infineon Technologies (IFNNY): -12.8%; STMicroelectronics (STM): -10.6%; Intel (INTC): -10.0%
5. Pure-Play Fabless Semiconductor Stocks Portfolio: DOWN 10.8% w/e October
   • Focus: outsource the fabrication (or fab) of chips to specialized foundries while designing and selling the chips;
   • Constituent Performances:
     • >10%: Marvell (MRVL): +12.8%
     • >0-10%: NVDA
     • <0-10%: QCOM; AVGO
     • <10%: Advanced Micro Devices (AMD): -12.3%; Monolithic Power Systems (MPWR): -17.9%
6. Pure-Play Semiconductor Supplier Stocks Portfolio: DOWN 14.8% in October
   • Focus: equipment and material suppliers provide essential equipment for manufacturing chips such as lithography machines, etching, test and packaging equipment, automation and inspection systems and production materials such as chemicals, gases, wafers and packaging
   • Constituent Performances:
     • >10%: None
     • >0-10%: None
     • <0-10%: ENTG
     • <10%: ASML Holding (ASML): -20.1%; KLAC Corporation: (KLAC): -14.8%; Applied Materials (AMAT): -11.4%; Lam Research (LRCX): -10.1%
7. Pure-Play Outsourced Semiconductor Assembly and Test Stocks Portfolio: DOWN 14.8% in October
   • Focus: assemble chips into finished semiconductor components, tests for defects and do the very specialized packaging of the chips for shipping assembly
   • Constituent Performances:
     • >10%: None
     • >0-10%: None
     • <0-10%: ASX
     • <10%: Amkor Technology (AMKR): -17.6%

On average, the above 7 Portfolios of 31 stocks were DOWN 9.5% in October.

Artificial Intelligence Technology Portfolios

1. Micro/Small Cap AI Stocks Portfolio: UP 12.2% in October
   • Focus: companies with market caps between $50M and $2B that undertake a wide variety of AI functions
   • Constituent Performances:
     • >10%: Rigetti Computing (RGTI): +63.0%; Innodata (INOD): +26.4%; Digimarc (DMRC): +14.4%; Applied Optoelectronics (AAOI): +13.7 
     • >0-10%: BBAI; SOUN; QBTS
     • <0-10%: None
     • <10%: Rekor Systems (REKR): -13.2%; Evolv Technologies (EVLV): -48.6%
2. Mega-Cap AI Stocks Portfolio: DOWN 0.4% in October
   • Focus: companies with market caps in excess of $1Trillion that are involved in AI among other endeavors
   • Constituent Performances:
     • >10%: None
     • >0-10%: NVDA; GOOGL
     • <0-10%: MSFT; AAPL; AMZN; META
     • <10%: None
3. Cyber Security Software Stocks Portfolio: DOWN 2.4% in October
   • Focus: develop and provide cyber security software
   • Constituent Performances:
     • >10%: None
     • >0-10%: None
     • <0-10%: ZS; FTNT; PANW
     • <10%: Check Point Software (CHKP): -16.4%
4. Cloud Computing SaaS Computing Stocks Portfolio: DOWN 4.6% in October
   • Focus: supply cloud computing SaaS software
   • Constituent Performances:
     • >10%: None
     • >0-10%: MDB
     • <0-10%: NET; NOW; WDAY; DDOG; HUBS
     • <10%: Atlassian (TEAM): -16.9%
5. AI-Focused Drug Discovery Stocks Portfolio: DOWN 8.5% in October
   • Focus: use AI to assist in the research and development of new drugs
   • Constituent Performances:
     • >10%:
     • >0-10%: ABCL
     • <0-10%: ABSI; EXAI; SDGR; RXRX
     • <10%: Relay Therapeutics (RLAY): -24.4%

On average, the above 5 Portfolios of 30 stocks were DOWN 2.5% in October.

Summary: The above 12 Portfolios, excluding dividends, if any, were DOWN 3.8%, on average, in October.