10 Best Semiconductor Penny Stocks To Invest In Right Now

2. MagnaChip Semiconductor Corp (NYSE:MX)

Price as of March 5: $4.26

Number of Hedge Fund Holders In Q4 2024: 19

MagnaChip Semiconductor Corp (NYSE:MX) is a South Korean chipmaker that produces display driver integrated circuits (DDICs) and power semiconductors. The company primarily serves the automotive, consumer electronics, and industrial markets. It operates through two main business segments: Mixed-Signal Solutions (MSS) for display applications and Power Analog Solutions (PAS) for power management in various electronic devices.

The latest financial data indicates that the company’s consolidated revenue of $66.5 million (for Q3 2024) hit the high end of its guidance range. The standard product business revenue increased 25.9% from the previous quarter and 24% year-over-year. This growth was particularly strong in the MSS segment, which jumped 41.8% quarter-over-quarter. One of the key drivers of the growth that the company cited is the increased demand for products targeted at Chinese smartphone OEMs.

On the technology front, MagnaChip Semiconductor Corp (NYSE:MX) has been expanding production of its 7th generation MXT LV MOSFETs, which are based on the company’s Super Short Channel FET technology. The new improvements enable the components to significantly reduce the channel length between the source and drain during operation, resulting in better battery performance and efficiency in mobile devices. MXT LV MOSFET has been integrated into premium smartphone models from a major global manufacturer, with production growing approximately 120% in the first three quarters of 2024 compared to the same period in the previous year.