Semiconductor Industry Association Shows 4.5% MoM Rise in Chip Sales (INTC, TXN, IKAN, SIMO, more)

According to a release from the Semiconductor Industry Association, sales of chips were up 4.5% sequentially in May, and up 47.6% from May 2009. Sales for the month were $24.7 billion, compared to $23.6 billion in April, and $16.7 billion in May 2009.

The SIA notes that emerging markets such as China and India are growing the semiconductor industry at the most rapid pace. The organization also said that its is forecasting 28.4% growth during 2010, implying total sales of $290.5 billion. This level of sales will be led by PCs, cell phones, corporate IT, industrial applications, and automobiles.

The SIA notes that year-over-year and sequential growth rates are likely to slow going into the second half of 2010, saying "government debt, declining consumer confidence, and pressures on government spending do not appear to have affected worldwide semiconductor sales to date, but given the semiconductor industry’s growing sensitivity to macroeconomic conditions, these issues bear watching in the second half of 2010."

Stocks to watch on the news include:

• Intel Corporation (Nasdaq: INTC) up 1.35%;
  
• Texas Instruments Inc. (NYSE: TXN) up 0.09%;
  
• Broadcom Corp. (Nasdaq: BRCM) up 0.48%;
  
• Analog Devices, Inc. (NYSE: ADI) up 0.43%;
  
• Ikanos Communications (Nasdaq: IKAN) up ;
  
• Silicon Motion Tech. (Nasdaq: SIMO) up 8.9%; and
  
• Qualcomm Inc. (Nasdaq: QCOM) up 1.20%.