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P. 8
TAP TIMES -8- MARCH 2022
Stocks (from 6)
Taiwan’s Advanced Semiconductor Engi-
accretive to EPS, margins, and cash flow. neering, though virtually all of its services
Since then, however,” noted Caso, AMD are done outside the U.S. in either Europe
earnings have grown at a significantly or Asia.
greater rate than Xilinx’s earnings.”
Founded in 1968 in West Chester, Pa.,
Xilinx’ earnings are slow growers the company — its name derived from a
“Therefore,” says Caso, “our analysis now confluence of American-Korean — is now
shows that the dilution from core AMD headquartered in Tempe, Arizona.
earnings (which will be divided by a higher
share count following the deal), exceeds The company has occupied its current
the accretion from adding Xilinx earn- headquarters in a Tempe, Arizona business
ings (which has grown at a slower rate vs. park since 2015, after it moved from near-
AMD).” by Chandler, some 20 miles away.
Based on AMD’s meteoric stock rise since
2014, it’s easy to conclude that while, as
2
Jerry Sanders declared, “Real men have
fabs,” that’s not a factor the Street (or Lisa
Su) cares much about.
In the past, the spot-
light in the semicon-
ductor industry shone
most brightly on the Amkor’s headquarters in Tempe, Arizona (Amkor)
companies that fabri-
cated chips, not on South Korean origins
supporting suppliers. Its origins, however, can be traced back to
That, however, was South Korea and a family with the ubiqui-
several decades ago. tous Korean name Kim, whose patriarch
became a very wealthy man after opening
With the continuing march of technology, a bicycle shop in 1935 Seoul.
semiconductor packaging and test have
emerged from a place where unskilled Hyang-Soo Kim sold imported Japanese
labor sweated — in gowns of their compa- goods from his small enterprise, includ-
ny’s chosen color — over manual — some- ing bicycles. This led him to manufacture
times semi-manual assembly gear. bicycle parts and eventually to the found-
ing of what was to become the giant Anam
Today, assembly, packaging and test has Industrial Co. Ltd. in 1945.
have emerged as a rightful and vital ad-
junct to the fabrication of semiconductors The Kim dynasty
themselves. Amkor’s founding in the eastern U.S., was
likely for the convenience of Kim scion Dr.
Amkor Technology (AMKR) James J. Kim, whose father, the wealthy
Amkor Technology, one of the oldest A & P bicycle maven began the dynasty, part of
providers, has grown into the second larg- which eventually became Amkor.
est supplier of services in this sector after next page
