The following guide covers the Best Semiconductor Chip Stocks to Buy Now.
The best semiconductor chip stocks to buy now are NVDA, TSM, ASML, AVGO, AMD, and others found in this guide.
Some of these options can be considered very Undervalued Stocks that could provide major returns and help investors juice their investment returns.
This guide is very similar to our other commodity lists:
- Best Silver Stocks
- Best Copper Stocks
- Best Lithium Stocks
- Best Cobalt Stocks
- Best Coffee Stocks
- Best Uranium Stocks
Prior to diving into the best semiconductor chip stock, it’s important to understand what a semiconductor chip stock is and the risks associated with investing in them.
What is a Semiconductor Chip Stock?
A semiconductor chip stock refers to the stock of a company that is involved in the business of manufacturing semiconductor chips.
Semiconductors have increasingly become a more integral part of world trade and complex supply chains.
Here is just a shortlist of devices that contain a semiconductor to work appropriately:
- iPhone
- Computer
- Automobile
- Medical Devices
This vital component plays a crucial role in keeping all our devices operating and computing effectively.
Especially with more “green” initiatives globally and the transition towards an environmentally-friendly future, semiconductors are one of the most profitable investments available.
Therefore, having semiconductor chip stocks in your portfolio early has the potential to earn massive rewards for investors.
The same can be said for those invested in carbon capture technology, nuclear energy, and electric vehicles.
The video below from CNBC takes a deep dive into the global computer chip crisis.
Important: Before investing in semiconductor chip stocks, it’s important to understand the risks associated with these stocks.
Investing in individual semiconductor chip stocks is not one of the top traits among the world’s best investors. In fact, the best investors are actually dead:
Best Investors are Dead – Fidelity Study
Some of the main risks with investing in certain semiconductor chip stocks include the following:
- High volatility – individual stocks
- Government regulations
- Lack of transparency on the true supply from foreign manufacturers
- Unproven businesses
While there are several risks, it is still very possible for investors to make money from semiconductor chip tocks through share appreciation.
The same can also be said for promising companies who file for Initial Public Offerings (IPOs).
Below you will find a complete list of the best semiconductor chip stocks to buy now.
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Best Semiconductor Chip Stocks to Buy Now
I recommend bookmarking this page to keep you up to date on the Best Semiconductor Chip Stocks to Buy Now. This page is updated Weekly for your reference.
The following list was last updated on Sun, Mar, 19, 2023
As of this writing, all semiconductor stocks listed below are currently available for trading on Robinhood and other brokerages.
The best semiconductor chip stocks below are ranked based on the following criteria:
- Historical Performance
- Market Cap
- Company Outlook
- Capital Management & Leadership
- Average Volume
Free Stock Promo: Robinhood is currently offering one Free Stock worth up to $165 for new users. Click the link below to get started!
1. Nvidia
NVIDIA (NVDA) tops our list of best semiconductor stocks for multiple reasons. This company is the world leader in semiconductor manufacturing, with tremendous brand recognition.
This industry leader has a tremendous year-over-year return profile. It’s up an extraordinary 89%, and who knows how high it can keep going.
Its market cap recently passed half a trillion dollars, and it’s dominating the tech sector.
Analysts from top-tier firms say NVIDIA could eventually be bigger than Amazon. Amazon needs the core components NVIDIA produces to efficiently run its operations and cloud, computing division.
Market Cap: $500.0B
Average Volume: 9.9M
2. Taiwan Semiconductor Manufacturing
Taiwan Semiconductor Manufacturing (TSM) is a company that jumped off the map, and it has become one of the top-ten most valuable companies globally.
This company has a market cap exceeding $625 billion, and over the past year, it has returned north of 87%.
Even famous investors, such as Warren Buffett and Charlie Munger love Taiwan Semiconductor Manufacturing.
Market Cap: $625.2B
Average Volume: 7.7M
3. ASML Holding
ASML Holding (ASML) is a Dutch-based multinational, and they are Europe’s largest semiconductor producer.
This business holds a market cap above $292 billion and has provided a return of over 73% to its shareholders over the past year.
The EU is trying to ramp up semiconductor production, and ASML is their go-to company.
Market Cap: $292.1B
Average Volume: 633.0K
4. Broadcom
Broadcom (AVGO) is a company focusing on the development of lithium products. They are headquartered in Vancouver, Canada.
This business touts a market cap above $197 billion and has yielded a return of over 49%over the past year.
Broadcom has multiple revenue-drivers, so they are the most well-diversified company on this list.
Diversification is protection against ignorance, and it keeps you from placing all your eggs in one basket.
Market Cap: $197.0B
Average Volume: 1.7M
5. Advanced Micro Devices
Advanced Micro Devices (AMD) is one of the few semiconductor manufacturers based in the United States. They call Santa Clara home, and they have made early investors filthy rich.
This business holds a market cap above $110 billion, and they have generated a return of over 57% in the past year.
I remember when this stock traded at $20, and I wish I would have bought more. Regrets!
Market Cap: $110.5B
Average Volume: 46.2M
6. Micron Technology
To finish our list of best semiconductor chips stocks, we have included Micron Technology (MU) as a bonus stock.
This company has a market cap of $92 billion, and they are an up-and-coming firm. They are viewed as a wildcard, with a lot of upside and downside risk.
Market Cap: $92.2B
Average Volume: 25.6M
How to Find Semiconductor Chip Stocks
Finding the best semiconductor chip stocks is a simple process we outline below. Follow these quick steps.
In this example, we are using Robinhood which is one of the most popular free brokerages available.
1. Sign up for a free Robinhood account – Click Here to Sign Up With Free Stock
2. Click the search bar on top and enter “semiconductor” and wait a few seconds.
3. You will notice the various semiconductor companies that appear in the dropdown menu. Click whichever company you prefer.
Overall, these are the best semiconductor chip stocks to buy now and into the future. Always be sure to invest responsibly!
Refer to the video below for even more ideas for finding the best semiconductor chip stocks!
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Frequently Asked Questions
What are the Best Semiconductor Chip Stocks to Buy Now?
The best semiconductor chip stocks to buy now are NVDA, TSM, ASML, AVGO, AMD, and others found in this guide.
What is a Semiconductor Chip Stock?
A semiconductor chip stock refers to the stock of a company that is involved in the business of manufacturing semiconductor chips.
Are Semiconductors Future-Proof?
Nothing is guaranteed, but semiconductors are used in next-generation automobiles, electronics, and appliances.
Are Semiconductor Chip Stocks a Good Investment?
Semiconductor chip stocks have historically been good investments during recent periods in history. Always be sure to assess the risk of any investment prior to buying.