Today, the Philadelphia Semiconductor Index, aka the SOX, took out its 1998 low of 182, closing at 177 this afternoon.
In other words, Mr. Market is telling us that no value has been created over the past decade in the semiconductor industry, even though at the lows in 1998, chip stocks were trading at lows on book value and nearly at cash levels.
The 1996 low was 170. The 1994 low was 139.
I am a buyer of semiconductor and semiconductor capital equipment stocks.