Semiconductor chips are an important device in electronic gadgets and vehicles. This is such an item that if there is a shortage in the market, then big companies have to stop their production.
In the last few years, it has been experienced that electronic gadgets were not easily available. Due to this all the mobile companies had to face problems and along with that there was a long wait in some vehicles, the main reason for this was the shortage of semiconductor chips.
By investing a little in the companies that are already producing semiconductor chips or will produce them in the future, we can earn big profits in the future.
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Big decision of the government regarding the semiconductor sector
A big good news has come in the beginning of March 2024. The Cabinet has approved the production plant of three big semiconductor chips in India. This can prove to be an important opportunity for us. By investing a little in companies that are already producing semiconductor chips or will produce them in the future, we can earn big profits in the future.
Soon three large semiconductor production plants are going to start in India with an investment of Rs 1.2 lakh crore. This is important for us because the companies running these plants are already listed in the stock market. If we have stocks of those companies, it can give us big profits.
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This Tata Group company related to the semiconductor sector will benefit
Our first list is Tata Investment Corporation, as its name suggests, it is a company of the Tata Group. It is a financial-based company that operates financial instruments such as equity, debt, and mutual funds.
If you think what is the connection of this financial-based company with the semiconductor plant, then let me tell you that Tata Electronics is a venture of the Tata Group. Tata Electronics has set up joint production with Japanese semiconductor manufacturer PSMC Forge. Together, they will set up a semiconductor manufacturing plant in Gujarat.
Tata Electronics is not listed on the stock market, but Tata Investment Corporation has a significant stake in it. If this venture is successful, it will increase the demand for semiconductors going forward and this stock can give good profits to investors.
This company acquired a semiconductor manufacturing company
After that, the second company on our list is Tejas Networks, this company is also a part of the Tata Group. Recently, the Tata Group has acquired Tejas Networks. Now Tejas Networks has also acquired a company called Sankhya Labs, and has 64 percent holding in it. Sankhya Labs produces semiconductor chips and keeping this in mind, Tejas Networks has acquired this company.
In the coming time, Tejas Networks can give us good profit. Before the acquisition of Tata Group, Tejas Networks company was suffering huge losses, but after the acquisition of Tata Group, there have been many positive changes in it.
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CG Power’s joint venture to make its mark in semiconductors
The third CG Power is a very important stock. It is part of the Murugappa Group and will soon have a joint venture with Japanese semiconductor manufacturer Renaissance Electronics. This joint venture is going to set up a semiconductor manufacturing plant in Sanand, Gujarat, which aims to produce 15 million semiconductor chips, this is going to be a big project in Gujarat.
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Disclaimer
We are clearly stating that we are not claiming any news or target to be correct. The information given on this website is based on our long-term experience of the stock market. If you want to invest in any stock, please analyze it yourself and get advice from your financial advisor, only then consider any investment decision.
