What happened Shares of semiconductor design outfit Himax Technologies (NASDAQ: HIMX) took a steep 19.6% hit last week. It caps off a terrible June for the market, and the worst first half of a year since 1970. If you're keeping score, the S&P 500 was down 19.7%, the Nasdaq Composite was down 25.9%, and Himax stock was down 54.8% so far in 2022 through July 1. So what Semiconductor businesses in particular are under siege right now, especially those like Himax that provide circuitry for consumer electronics. After two years of heavy spending on work-from-home and other at-home products, the global consumer is shifting its wallet toward more basic items as inflation rages. In light of this, Himax updated its Q2 2022 financial guidance lower on June 20. Himax management now thinks revenue will decline 22% to 27% from Q1 2022, compared with previous guidance for a 16% to 20% sequential decline before. It appears it took a few days for the market to digest the news. Now what As if to reinforce the deteriorating short-term outlook for consumer electronics, memory-chip maker Micron Technology (NASDAQ: MU) issued weaker-than-expected financial guidance on June 30 as well. Micron said there's too much inventory on the market for consumer devices, and it could take some time to work through this excess. Micron is one of the more cyclical semiconductor stocks out there, given that it's a top manufacturer of commoditized chips used in more complex computing systems. Himax falls into this camp as well, since it provides basic image processing chips for TVs, smartphones, autos, and the like. With consumer spending taking a hit, expect more volatility ahead for this small chip designer. 10 stocks we like better than Himax TechnologiesWhen our award-winning analyst team has a stock tip, it can pay to listen. After all, the newsletter they have run for over a decade, Motley Fool Stock Advisor, has tripled the market.* They just revealed what they believe are the ten best stocks for investors to buy right now... and Himax Technologies wasn't one of them! That's right -- they think these 10 stocks are even better buys. See the 10 stocks *Stock Advisor returns as of June 2, 2022 Nicholas Rossolillo and his clients have positions in Micron Technology. The Motley Fool has no position in any of the stocks mentioned. The Motley Fool has a disclosure policy.Source