## Under the Wave of Electric Vehicles, Why Are IGBT Concept Stocks Worth Watching?

In the cost structure of electric vehicles, IGBT (Insulated Gate Bipolar Transistor) ranks just below batteries and is a key component determining the vehicle's energy efficiency. With the explosive growth of the new energy industry, IGBT concept stocks have become favorites among investors. But what opportunities are hidden behind this wave of market enthusiasm? And what traps exist?

## What Exactly Is IGBT? Why Is It So Important?

**The full English name of IGBT is Insulated Gate Bipolar Transistor. As a type of power semiconductor, its core functions are power amplification, inverter control, and electrical energy protection.** Simply put, IGBT is like the "CPU of power electronics," responsible for efficiently converting DC to AC power.

This component has a remarkable feature—it can operate like a switch, achieving tens of thousands of on/off cycles per second through software control, thus enabling highly efficient energy utilization. Electric vehicles equipped with IGBT can accelerate to 100 km/h in 3 seconds, demonstrating its powerful performance.

Because of its high power capacity, high reliability, and low loss, IGBT has been widely used in fields such as rail transit, electric vehicles, smart grids, and new energy equipment, making it the "unsung hero" of future industrial upgrades.

## Who Controls the Global IGBT Market?

From the international market landscape, Infineon, Mitsubishi Electric, ON Semiconductor, Fuji Electric, and ABB together account for over 70% of the global market share. These international giants possess cutting-edge technology and have built formidable technological barriers.

In comparison, Taiwanese IGBT concept stocks mostly focus on consumer electronics. However, with the explosive growth of electric vehicles and new energy, these suppliers are also beginning to lay out key component manufacturing.

## US Stock IGBT Concept Stocks: Which Are Worth Watching?

### Can AMD’s Doubling in Price Continue?

This microprocessor and graphics card giant experienced a breakout in 2023. Its stock price surged from $60 per share at the start of the year to $140 at year-end, doubling in value. Despite this, the market still considers AMD undervalued with huge potential.

### Intel’s Revival Signals Are Worth Expecting

Once a chip giant, Intel finally rebounded after years of disappointment. In 2023, its stock rose from $30 per share to nearly $50, an increase of nearly 70%. The stock showed steady performance throughout the year without drastic fluctuations, reflecting its status as a relatively value-oriented stock.

### Broadcom’s Achievement of Over $1000

Broadcom designs and manufactures semiconductors and infrastructure software solutions. In 2023, its stock price soared from $600 to over $1000 per share, an increase of nearly 70%. Its steady upward trend makes it an ideal long-term holding.

## Taiwan Stock IGBT Concept Stocks: The Contrasting Fates of Three Major Representatives

### Morim Silicon: Rapid Drop After Peak

Morim actively invests in automotive power components, reaching a record high revenue of 2.151 billion yuan in 2022, an 11-year high. Stimulated by this positive news, its stock experienced a strong rally in mid-March, reaching an annual high of NT$47.96, up over 30%. However, the rally was short-lived; the stock quickly reversed, losing all gains by mid-May, then fluctuated between NT$38-42, and further declined to around NT$33 in August, remaining sluggish later in the year.

### Powertech: Rebound Amidst Volatility

This rectifier diode manufacturer was under pressure in the first half of the year due to weak consumer demand and order reductions. In July, its stock rebounded, rising from NT$65 to NT$81.7 within half a month, an increase of over 25%. But in August, industry downturns hit again, causing the stock to plunge below NT$60, only recovering near the end of the year.

### Fuding: Persistent Downtrend

Fuding mainly provides electronic integrated solutions for consumer electronics, communications, and industrial fields. Its stock hovered around NT$100 in the first half of the year but entered a downward trend after July, falling to around NT$80 and remaining sluggish for four months until a rebound at year-end.

## Why Are IGBT Concept Stocks Becoming an Investment Hotspot?

### Rapid Market Expansion

According to Donghai Securities research, from 2012 to 2021, the global IGBT market size grew from $3.2 billion to $7.09 billion, with a compound annual growth rate of 6.6%. Electric vehicles and industrial control are the two largest demand sectors, accounting for 28% and 37%, respectively. International research firm YOLE predicts that by 2027, the global IGBT market will further expand to $9.3 billion.

### Technological Monopoly and Bargaining Power

As high-end components, IGBT technology has a very high entry barrier, with only a few companies mastering core technology. This monopoly grants these companies strong pricing power, benefiting the long-term performance of concept stocks.

### Policy Support Continues Unabated

Governments worldwide are increasing support for new energy and electric vehicles, with frequent policy releases. Since 2020, many countries have introduced policies to promote electric vehicle development, directly fueling explosive growth in IGBT demand.

## Investment Opportunities and Risks in 2024

**From a trend perspective, IGBT is the fastest-growing product among all power semiconductors, with electric vehicle demand as the core driver.** In the long term, the momentum of new energy sources such as electric vehicles, photovoltaics, and wind power remains upward, and the demand for power components will only increase, not decrease.

Taiwanese power semiconductor manufacturers are actively shifting toward new energy and electric vehicle sectors. As the IGBT market expands, international giants are likely to outsource more advanced technology manufacturing, creating opportunities for Taiwanese suppliers.

### However, investors must be cautious of the following risks:

**Technological Barrier Risk**: Advanced IGBT technology is still monopolized by giants in Europe, the US, Japan, and South Korea. If international supply chain division diminishes or geopolitical tensions worsen, Taiwanese manufacturers may face difficulties in technological breakthroughs or raw material shortages.

**Generational Update Risk**: New semiconductor technologies such as silicon carbide and gallium nitride are maturing and may alter the current competitive landscape of IGBT markets. If Taiwan cannot integrate into new supply chains in time, it risks being replaced.

## How to Invest in IGBT Concept Stocks?

**Direct Purchase**: All Taiwanese IGBT concept stocks are listed on the Taiwan Stock Exchange; you can buy them with a Taiwanese bank or securities account.

**Derivative Trading**: Use CFDs (Contracts for Difference) for trading—these are leveraged financial derivatives that allow both long and short positions, offering greater flexibility.

**Fund Allocation**: Conservative investors can choose ETFs tracking Taiwan’s electronics index or semiconductor index to achieve diversified holdings.

## Final Advice

The global new energy wave is sweeping in, and the long-term logic for IGBT concept stocks remains valid. Many stocks have already undergone adjustments, with valuations returning to reasonable levels, presenting a good opportunity for low-cost entry. The key is to identify truly competitive IGBT concept stocks and balance risk and reward.