It's another quarter and another acquisition for hot start-up Indie Semiconductor (NASDAQ: INDI). The chip and specialty parts designer specializing in the automotive sector has been a highflier at times in the last 12 months, but as of this writing, the market's enthusiasm for the highly acquisitive business is waning. As of this writing, share prices are down nearly 20% from this time in 2022.  

Indie's prospects are promising, and the company has the sales-growth rates to back it up. But purchases of peers aren't considered a free lunch by shareholders. And it's this dynamic, I believe, that the market is finally starting to question. This stock might be a great long-term value right now, but be aware of the risks before making up your mind. 

Up to this point, Indie's expansion got a big boost from the purchase of smaller peers or chip design intellectual property (IP) from larger businesses in the semiconductor world. Acquisitions have included IP from companies like Analog Devices and ONsemi (radar IP), GEO Semiconductor (computer vision chips), and TeraXion (LiDAR, or laser-based detection chips).

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Source Fool.com