Better Dividend Growth Stock: Texas Instruments vs. Microchip Technology
If you like, dividends, dividend growth, and the prospects of technological innovation, analog and embedded semiconductor stocks are a great place to look.
Analog and embedded chip companies are generally capital-light and less volatile than other types of semiconductors. Capital-light, because trailing-edge manufacturing doesn't have the high capital requirements of leading-edge logic and memory plants. Less volatile, as analog and embedded chips go into a wide variety of electronic equipment.
Beyond diversification, analog and embedded chips in large, complex machines such as planes, automobiles, and factory equipment tend to have long-lived, dependable revenue streams. This is because of the complexity, temperature and pressure requirements, and long development cycles of highly sophisticated equipment.
Source Fool.com
