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U.S. Semiconductors Industry Analysis

UpdatedJan 12, 2026
DataAggregated Company Financials
Companies126
  • 7D0.5%
  • 3M4.5%
  • 1Y45.7%
  • YTD0.6%

The Semiconductors is pretty flat in the last 7 days, but Lam Research has stood out, gaining 18%. The past year has been better, since the industry has gained 46% in that time. As for the next few years, earnings are expected to grow by 25% per annum.

Industry Valuation and Performance

Has the U.S. Semiconductors Industry valuation changed over the past few years?

DateMarket CapRevenueEarningsPEAbsolute PEPS
Mon, 12 Jan 2026US$9.1tUS$640.8bUS$176.4b42x51.3x14.1x
Wed, 10 Dec 2025US$9.1tUS$631.8bUS$168.7b37.9x54x14.4x
Fri, 07 Nov 2025US$9.1tUS$610.4bUS$153.6b35.6x59.4x14.9x
Sun, 05 Oct 2025US$8.5tUS$597.4bUS$137.3b37x62.1x14.3x
Tue, 02 Sep 2025US$7.6tUS$590.8bUS$129.0b33x59.3x12.9x
Thu, 31 Jul 2025US$7.7tUS$566.9bUS$116.7b29.7x66.4x13.7x
Sat, 28 Jun 2025US$7.0tUS$566.4bUS$118.3b28.5x59.5x12.4x
Mon, 26 May 2025US$5.9tUS$542.4bUS$109.5b25x54.3x11x
Wed, 23 Apr 2025US$4.5tUS$537.3bUS$108.9b22.3x41.5x8.4x
Fri, 21 Mar 2025US$5.5tUS$537.2bUS$108.1b29.7x50.9x10.2x
Sun, 16 Feb 2025US$6.4tUS$515.6bUS$94.1b32.2x67.7x12.3x
Tue, 14 Jan 2025US$6.2tUS$513.5bUS$96.7b30.8x64.2x12.1x
Thu, 12 Dec 2024US$6.0tUS$504.8bUS$92.9b32.1x64.1x11.8x
Sat, 09 Nov 2024US$6.5tUS$488.3bUS$84.1b32.8x77.7x13.4x
Mon, 07 Oct 2024US$5.9tUS$489.2bUS$101.8b28.6x58.1x12.1x
Wed, 04 Sep 2024US$5.7tUS$481.1bUS$104.2b27.2x54.7x11.8x
Fri, 02 Aug 2024US$5.7tUS$469.0bUS$96.5b26.8x59.2x12.2x
Sun, 30 Jun 2024US$6.0tUS$467.9bUS$96.6b29.5x62.2x12.8x
Tue, 28 May 2024US$5.5tUS$462.6bUS$95.6b29.9x57.1x11.8x
Thu, 25 Apr 2024US$4.5tUS$446.2bUS$80.8b27.9x55.7x10.1x
Sat, 23 Mar 2024US$5.0tUS$448.2bUS$81.2b28.8x62.1x11.3x
Mon, 19 Feb 2024US$4.4tUS$428.8bUS$71.0b29x61.5x10.2x
Wed, 17 Jan 2024US$3.7tUS$433.1bUS$69.5b25.3x52.7x8.5x
Fri, 15 Dec 2023US$3.4tUS$432.7bUS$70.6b25.6x48.2x7.9x
Sun, 12 Nov 2023US$3.1tUS$420.7bUS$61.9b23.9x50.7x7.5x
Tue, 10 Oct 2023US$3.0tUS$428.2bUS$65.8b24.8x45.8x7x
Thu, 07 Sep 2023US$3.1tUS$428.1bUS$68.7b26.4x45.1x7.2x
Sat, 05 Aug 2023US$3.1tUS$420.5bUS$63.6b23.9x48.4x7.3x
Mon, 03 Jul 2023US$3.0tUS$429.0bUS$67.3b23.9x44.7x7x
Wed, 31 May 2023US$2.9tUS$433.7bUS$71.0b22.7x40.6x6.7x
Fri, 28 Apr 2023US$2.3tUS$443.1bUS$84.8b18.3x27x5.2x
Sun, 26 Mar 2023US$2.4tUS$447.9bUS$90.3b17.8x26.4x5.3x
Tue, 21 Feb 2023US$2.2tUS$444.6bUS$90.2b17.8x24.4x5x
Thu, 19 Jan 2023US$2.0tUS$447.7bUS$96.4b17.9x21x4.5x
Price to Earnings Ratio

21x


Total Market Cap: US$2.0tTotal Earnings: US$96.4bTotal Revenue: US$447.7bTotal Market Cap vs Earnings and Revenue0%0%0%
U.S. Semiconductors Industry Price to Earnings3Y Average 52.1x202420252026
Current Industry PE
  • Investors are relatively neutral on the American Semiconductor industry at the moment, indicating that they anticipate long term growth rates to remain steady.
  • The industry is trading close to its 3-year average PE ratio of 52.1x.
  • The 3-year average PS ratio of 10.1x is lower than the industry's current PS ratio of 14.1x.
Past Earnings Growth
  • The earnings for companies in the Semiconductor industry have grown 22% per year over the last three years.
  • Revenues for these companies have grown 13% per year.
  • This means that more sales are being generated by these companies overall, and subsequently their profits are increasing too.

Industry Trends

Which industries have driven the changes within the U.S. Tech industry?

US Market1.24%
Tech0.016%
Semiconductors0.53%
Semiconductor Equipment9.07%
Semiconductors-0.29%
Industry PE
  • Investors are most optimistic about the Semiconductors industry, which is trading close to its 3-year average PE ratio of 57.4x.
    • Analysts are expecting annual earnings growth of 26.5%, which is higher than its past year's earnings growth of 8.7% per year.
  • Investors are most pessimistic about the Semiconductor Equipment industry, although it looks like investor sentiment has improved given that it's trading above its 3-year average of 28.1x.
Forecasted Growth
  • Analysts are most optimistic on the Semiconductors industry, expecting annual earnings growth of 27% over the next 5 years.
  • This is better than its past earnings growth rate of 8.7% per year.
  • In contrast, the Semiconductor Equipment industry is expected to see its earnings grow by 13% per year over the next few years.

Top Stock Gainers and Losers

Which companies have driven the market over the last 7 days?

CompanyLast Price7D1YValuation
LRCX Lam ResearchUS$218.3618.0%
+US$41.8b		192.5%PE47.2x
MU Micron TechnologyUS$345.099.4%
+US$33.4b		247.4%PE32.6x
INTC IntelUS$45.5515.7%
+US$30.8b		137.9%PE1146.8x
KLAC KLAUS$1.40k9.8%
+US$16.5b		105.0%PE43.4x
AMAT Applied MaterialsUS$301.185.9%
+US$13.4b		76.3%PE34.1x

Latest News

ADI
US$300.93
Analog Devices
7D
9.9%
1Y
41.7%

ADI: Autos And AI Are Expected To Sustain A Balanced Cyclical Recovery

Our updated narrative price target for Analog Devices moves modestly higher to US$285.56 from US$282.03, reflecting analysts' higher targets tied to upside driven by autos, expanding AI related demand, and an improving cyclical recovery outlook into 2026. Analyst Commentary Recent research updates show a wide range of views, but with a generally constructive tilt around Analog Devices' execution, exposure to autos and AI related demand, and the path into 2026.
NVDA
US$184.86
NVIDIA
7D
-2.1%
1Y
36.0%

NVDA: AI Infrastructure Order Visibility And China Constraints Will Shape Future Leadership

Analysts trimmed our Nvidia fair value estimate slightly to $171.51 from $175.08, even as they raised revenue growth assumptions and referenced a series of higher Street price targets tied to continued AI data center momentum, Blackwell and Rubin order visibility, and expectations that Nvidia remains a central supplier in large hyperscale and OpenAI related buildouts. Analyst Commentary The recent wave of research on Nvidia has centered on its role in AI data centers, the scale of Blackwell and Rubin demand, and how these themes filter through to earnings expectations and valuations.
LRCX
US$218.36
Lam Research
7D
18.0%
1Y
192.5%

Market Participants Recognise Lam Research Corporation's (NASDAQ:LRCX) Earnings Pushing Shares 30% Higher

Jan 10
Market Participants Recognise Lam Research Corporation's (NASDAQ:LRCX) Earnings Pushing Shares 30% Higher
MRVL
US$83.22
Marvell Technology
7D
-6.9%
1Y
-27.2%

MRVL: AI Infrastructure Exposure Will Face Policy And ASIC Execution Crosswinds

Narrative Update: Marvell Technology Analysts have lifted their average fair value estimate for Marvell Technology from about $82.64 to $90.00. This change is supported by research citing the company's role in AI infrastructure, including custom ASIC and connectivity offerings.
ARM
US$111.79
Arm Holdings
7D
-2.6%
1Y
-20.4%

ARM: AI Licensing Royalties And Physical AI Expansion Will Drive Durable Upside

The updated analyst price target for Arm Holdings edges down by about $1.60, reflecting analysts' attempts to balance higher assumed revenue growth and margins with mixed views on the company's transition efforts and the market's willingness to support a premium P/E multiple. Analyst Commentary Recent Street research on Arm paints a mixed picture, with bullish analysts focused on earnings strength and AI exposure, and more cautious voices highlighting execution and valuation risk around the business model transition.
AVGO
US$344.97
Broadcom
7D
-0.8%
1Y
53.8%
ALAB
US$162.61
Astera Labs
7D
-9.4%
1Y
25.4%
KLAC
US$1,400.00
KLA
7D
9.8%
1Y
105.0%
INTC
US$45.55
Intel
7D
15.7%
1Y
137.9%
FSLR
US$238.66
First Solar
7D
-12.3%
1Y
30.0%
AMD
US$203.17
Advanced Micro Devices
7D
-9.1%
1Y
75.1%

AMD: AI And Rack Scale Execution Will Define The Next Chapter

Analysts have raised their AMD fair value estimate from about $137 to roughly $208. This change reflects higher assumptions for revenue growth and profit margins in AI accelerators and rack scale systems, partly offset by a slightly higher discount rate and more conservative future P/E expectations.
MCHP
US$75.22
Microchip Technology
7D
15.7%
1Y
36.3%
TXN
US$190.31
Texas Instruments
7D
7.2%
1Y
0.08%

TXN: Margin Reset And Cyclical Softness Will Set Up Future Rebound

Narrative Update Analysts have reduced the implied fair value for Texas Instruments to $245 from $260. This reflects updated views on higher required returns, more moderate revenue growth, softer profit margins, and a higher future P/E multiple following recent price target cuts and more cautious commentary on margins, utilization, and end demand.
MU
US$345.09
Micron Technology
7D
9.4%
1Y
247.4%

MU: AI Memory Supercycle Hype Will Likely Drive Future Multiple Compression

Micron Technology's fair value estimate has been raised from approximately $105.48 to $171.83. Analysts attribute this change to tightening DRAM supply, accelerating high bandwidth memory ramps for AI workloads, and improving margin and earnings visibility despite recent sector volatility.
SITM
US$342.20
SiTime
7D
-7.5%
1Y
47.9%

SITM Overheated Timing Demand Cycle Will Likely Challenge Premium Expectations

Analysts have raised their price target on SiTime significantly, lifting fair value from $180.00 to approximately $269.34. They cite the company's strengthening position as a precision timing technology disruptor in a large addressable market and its improving segment mix supported by strong recent results and guidance.
AMAT
US$301.18
Applied Materials
7D
5.9%
1Y
76.3%

AMAT: Future Multiple Compression Will Likely Pressure Elevated Share Price

Our fair value estimate for Applied Materials has been raised to $180 from $160.41 as analysts lift price targets into the mid to high $200s, citing above-consensus execution, resilient foundry and memory demand, de-risked China exposure, and strengthening recurring services growth. Analyst Commentary Street research has turned more constructive on Applied Materials, with multiple firms lifting price targets into the $250 to $270 range following solid quarterly execution, above-consensus guidance, and stronger visibility into 2026 wafer fab equipment demand.