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U.S. Semiconductors Industry Analysis

UpdatedDec 22, 2025
DataAggregated Company Financials
Companies124
  • 7D1.7%
  • 3M5.3%
  • 1Y36.5%
  • YTD37.4%

In the last week, the Semiconductors industry is up 1.7%, with NVIDIA up 2.7%. Meanwhile, Arm Holdings actually underperformed within the industry, shrinking 8.3% in the last week. This takes the industry's 12 month performance to a gain of 36%. 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
Tue, 23 Dec 2025US$8.6tUS$640.7bUS$176.4b36.8x48.9x13.5x
Thu, 20 Nov 2025US$8.4tUS$608.2bUS$153.1b34.1x55.2x13.9x
Sat, 18 Oct 2025US$8.6tUS$597.4bUS$137.3b35.9x62.6x14.4x
Mon, 15 Sep 2025US$8.1tUS$593.8bUS$134.6b33.1x60.4x13.7x
Wed, 13 Aug 2025US$7.9tUS$572.2bUS$118.3b30x66.8x13.8x
Fri, 11 Jul 2025US$7.3tUS$566.4bUS$118.3b31.9x61.7x12.9x
Sun, 08 Jun 2025US$6.4tUS$563.8bUS$116.8b26.2x54.8x11.3x
Tue, 06 May 2025US$5.3tUS$539.1bUS$108.5b22.9x49x9.9x
Thu, 03 Apr 2025US$5.1tUS$537.3bUS$108.9b24.9x46.7x9.5x
Sat, 01 Mar 2025US$5.7tUS$532.8bUS$103.5b31x55.3x10.7x
Mon, 27 Jan 2025US$6.6tUS$513.6bUS$96.5b32.4x68.1x12.8x
Wed, 25 Dec 2024US$6.4tUS$513.5bUS$96.7b30x66.3x12.5x
Fri, 22 Nov 2024US$6.2tUS$505.3bUS$93.4b30.9x66x12.2x
Sun, 20 Oct 2024US$6.2tUS$489.1bUS$101.7b29x61x12.7x
Tue, 17 Sep 2024US$5.6tUS$485.4bUS$99.5b26.6x56.7x11.6x
Thu, 15 Aug 2024US$5.6tUS$467.3bUS$94.7b27.9x58.7x11.9x
Sat, 13 Jul 2024US$6.3tUS$467.9bUS$96.6b31.3x65.3x13.5x
Mon, 10 Jun 2024US$5.8tUS$461.2bUS$95.7b28.8x60.7x12.6x
Wed, 08 May 2024US$4.8tUS$445.8bUS$83.4b28.5x58.1x10.9x
Fri, 05 Apr 2024US$4.8tUS$447.7bUS$81.6b29.3x59.4x10.8x
Sun, 03 Mar 2024US$4.8tUS$443.3bUS$81.1b29.9x59.4x10.9x
Tue, 30 Jan 2024US$4.0tUS$431.8bUS$71.4b29.7x55.4x9.2x
Thu, 28 Dec 2023US$3.6tUS$433.3bUS$69.5b27.6x52.3x8.4x
Sat, 25 Nov 2023US$3.2tUS$432.4bUS$70.6b25.2x46x7.5x
Mon, 23 Oct 2023US$2.8tUS$426.3bUS$65.3b23.4x43.5x6.7x
Wed, 20 Sep 2023US$3.0tUS$430.8bUS$68.7b25.3x43.3x6.9x
Fri, 18 Aug 2023US$2.9tUS$421.2bUS$63.0b24.8x46.4x6.9x
Sun, 16 Jul 2023US$3.1tUS$429.2bUS$67.3b23.5x46.2x7.2x
Tue, 13 Jun 2023US$2.9tUS$434.2bUS$71.9b24.3x40.8x6.8x
Thu, 11 May 2023US$2.4tUS$433.8bUS$70.7b19.2x33.2x5.4x
Sat, 08 Apr 2023US$2.4tUS$443.8bUS$85.6b17.7x27.6x5.3x
Mon, 06 Mar 2023US$2.3tUS$445.1bUS$90.1b18.4x25.3x5.1x
Wed, 01 Feb 2023US$2.1tUS$442.6bUS$91.5b17.9x23.3x4.8x
Fri, 30 Dec 2022US$1.8tUS$447.3bUS$96.4b16.1x19.1x4.1x
Price to Earnings Ratio

19.1x


Total Market Cap: US$1.8tTotal Earnings: US$96.4bTotal Revenue: US$447.3bTotal Market Cap vs Earnings and Revenue0%0%0%
U.S. Semiconductors Industry Price to Earnings3Y Average 51.6x202320242025
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 51.5x.
  • The 3-year average PS ratio of 9.9x is lower than the industry's current PS ratio of 13.5x.
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 Market0.26%
Tech1.47%
Semiconductors1.70%
Semiconductors1.76%
Semiconductor Equipment1.04%
Industry PE
  • Investors are most optimistic about the Semiconductors industry even though it's trading below its 3-year average PE ratio of 56.9x.
    • Analysts are expecting annual earnings growth of 26.2%, 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 27.7x.
Forecasted Growth
  • Analysts are most optimistic on the Semiconductors industry, expecting annual earnings growth of 26% 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
NVDA NVIDIAUS$183.694.2%
+US$179.8b		31.5%PE45x
MU Micron TechnologyUS$276.5916.5%
+US$44.7b		208.3%PE26.1x
AVGO BroadcomUS$341.480.5%
+US$14.3b		47.0%PE70x
LRCX Lam ResearchUS$175.276.7%
+US$13.8b		137.5%PE37.9x
AMD Advanced Micro DevicesUS$214.953.6%
+US$12.0b		72.5%PE111.8x

Latest News

INTC
US$36.37
Intel
7D
-3.0%
1Y
80.0%

INTC: Foundry And AI Execution Will Drive Confidence In Turnaround Narrative

Analysts have lifted their Intel fair value estimate to about $52 from roughly $27, reflecting improving execution, early but encouraging foundry progress, and a clearer AI strategy, even as they continue to flag rich valuation and execution risk. Analyst Commentary Recent Street research reflects a more constructive, but still guarded, view on Intel as bullish analysts acknowledge improving execution and a clearer AI and foundry strategy.
ADI
US$275.82
Analog Devices
7D
-1.6%
1Y
28.4%
AVGO
US$341.48
Broadcom
7D
0.5%
1Y
47.0%
MU
US$276.59
Micron Technology
7D
16.5%
1Y
208.3%
LRCX
US$175.27
Lam Research
7D
6.7%
1Y
137.5%

LRCX: Recent AI And Memory Upcycle Euphoria Will Likely Fade

Analysts have raised their price target on Lam Research to approximately $110 from about $81, citing the company's stronger than expected earnings momentum, improving wafer fab equipment upcycle exposure, and durable AI driven demand for advanced memory and 3D stacking technologies. Analyst Commentary Recent Street research reflects a broadly constructive view on Lam Research, with multiple firms lifting price targets and highlighting the company’s leverage to an improving wafer fab equipment cycle, AI driven memory demand, and stronger than expected profitability.
NVDA
US$183.69
NVIDIA
7D
4.2%
1Y
31.5%
AMD
US$214.95
Advanced Micro Devices
7D
3.6%
1Y
72.5%

AMD: OpenAI Data Center Pact Will Drive Long-Term AI Upside

The analyst fair value estimate for Advanced Micro Devices has risen sharply from $230.00 to approximately $362.15, as analysts increase long-term revenue growth and margin assumptions based on large multiyear AI accelerator and rack-scale system opportunities highlighted in recent Street research. Analyst Commentary Bullish analysts are broadly constructive on AMD's positioning in the accelerating AI infrastructure cycle, with recent notes emphasizing both the magnitude and duration of the company’s growth runway.
ALAB
US$172.62
Astera Labs
7D
20.2%
1Y
27.3%
QCOM
US$174.22
QUALCOMM
7D
-2.8%
1Y
10.1%
KLAC
US$1,265.66
KLA
7D
3.3%
1Y
95.3%
AMKR
US$40.79
Amkor Technology
7D
-7.1%
1Y
55.3%
AMAT
US$259.01
Applied Materials
7D
-0.9%
1Y
54.7%
NXPI
US$228.94
NXP Semiconductors
7D
-1.2%
1Y
6.9%

NXPI: Future Returns Will Depend On New Battery Management Chipset And Buybacks

Analysts have raised their price target on NXP Semiconductors from approximately $174 to about $213 per share, citing sharply higher expected revenue growth and slightly stronger profit margins that more than offset a modestly higher discount rate and a marginally lower assumed future P/E multiple. What's in the News Introduced a new Electrochemical Impedance Spectroscopy battery management chipset that embeds EIS directly in hardware to improve EV and energy storage safety, longevity, and performance, with full solution availability targeted for early 2026 (company announcement) New BMS chipset integrates three units: the BMA7418 cell sensing device, BMA6402 gateway, and BMA8420 battery junction box controller, enabling nanosecond-level synchronization and high-frequency battery monitoring without extra sensors (company announcement) Updated fourth quarter 2025 guidance, forecasting revenue of $3.2 billion to $3.4 billion, GAAP operating income of $878 million to $1.006 billion, and diluted GAAP EPS of $2.40 to $2.81 (company guidance) Completed a share repurchase tranche of 670,245 shares for $150 million, bringing total buybacks under the January 31, 2022 program to 10,645,664 shares, or 4.17 percent of shares, for $2.35 billion (company filing) Announced a multi-year collaboration with eInfochips, which will distribute software and provide support for NXP's S32 microcontroller and microprocessor families to help customers accelerate application development (company announcement) Valuation Changes Fair Value Estimate has risen significantly from approximately $174.04 to about $212.84 per share.
FSLR
US$284.59
First Solar
7D
11.2%
1Y
52.7%

FSLR: Elevated Pricing Power Will Face Policy And Tariff Headwinds

We are lifting our First Solar fair value estimate to $199 from $142, reflecting analysts' broad price target increases into the mid $200s to $300 range, as they highlight the company's structurally advantaged U.S. manufacturing footprint, durable pricing power, and policy driven tailwinds, despite near term supply and tariff headwinds. Analyst Commentary Recent Street research reflects a broadly constructive stance on First Solar, with multiple firms lifting price targets into the mid $200s and even approaching $300.
ARM
US$113.29
Arm Holdings
7D
-8.9%
1Y
-10.7%

ARM Risks Mount As AI-Driven Royalties May Not Justify Premium Multiple

We raise our fair value estimate for Arm Holdings to approximately $99 per share from about $86, reflecting analysts' higher price targets driven by solid earnings beats, accelerating licensing and AI related royalty growth, and improved long term revenue and multiple assumptions, despite a modestly higher discount rate and slightly lower profit margin outlook. Analyst Commentary Recent Street research on Arm reflects a generally constructive outlook on earnings power and artificial intelligence related optionality, but it also highlights areas of caution that could pressure the stock's premium valuation if execution falters.
ENTG
US$85.12
Entegris
7D
-5.3%
1Y
-16.8%

ENTG: AI Materials Demand And New U.S. Facility Will Drive Upside

Analysts have modestly trimmed their price target on Entegris by about $1 to roughly $100 per share, citing slightly lower assumed discount rates and a marginally less demanding future P E multiple, while leaving long term growth and margin expectations intact. Analyst Commentary Recent commentary on the sector highlights Entegris as one of only a few pure play electronic chemicals and materials providers, a positioning that investors increasingly view as strategically valuable as semiconductor capital spending and AI related demand scale up.