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U.S. Semiconductors Industry Analysis

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

The Semiconductors industry is up 1.7% in the last week, with NVIDIA up 2.7%. In the same time, Arm Holdings was down 8.3%. This means that the industry has gained 36% over the past year. 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, 22 Dec 2025US$8.6tUS$640.7bUS$176.4b36.8x48.9x13.5x
Wed, 19 Nov 2025US$8.6tUS$608.2bUS$153.1b33.6x56.2x14.1x
Fri, 17 Oct 2025US$8.5tUS$597.4bUS$137.3b35.6x62.1x14.3x
Sun, 14 Sep 2025US$8.1tUS$593.8bUS$134.6b33.1x60.4x13.7x
Tue, 12 Aug 2025US$7.9tUS$572.2bUS$118.3b29.3x66.5x13.7x
Thu, 10 Jul 2025US$7.2tUS$566.4bUS$118.3b32.1x60.8x12.7x
Sat, 07 Jun 2025US$6.4tUS$563.8bUS$116.8b26.2x54.6x11.3x
Mon, 05 May 2025US$5.3tUS$539.5bUS$109.5b20.8x48.7x9.9x
Wed, 02 Apr 2025US$5.0tUS$537.3bUS$108.9b24.6x46.2x9.4x
Fri, 28 Feb 2025US$6.0tUS$533.0bUS$103.8b30.5x58.2x11.3x
Sun, 26 Jan 2025US$6.6tUS$513.6bUS$96.5b32.4x68.1x12.8x
Tue, 24 Dec 2024US$6.1tUS$513.5bUS$96.7b29.8x63.3x11.9x
Thu, 21 Nov 2024US$6.2tUS$488.3bUS$83.4b30.3x74.6x12.7x
Sat, 19 Oct 2024US$6.2tUS$489.1bUS$101.7b29x60.8x12.6x
Mon, 16 Sep 2024US$5.6tUS$485.4bUS$99.5b26.9x56.7x11.6x
Wed, 14 Aug 2024US$5.2tUS$467.2bUS$94.7b28x55.2x11.2x
Fri, 12 Jul 2024US$6.5tUS$467.9bUS$96.6b31x67.6x14x
Sun, 09 Jun 2024US$5.8tUS$461.2bUS$95.7b29.2x60.7x12.6x
Tue, 07 May 2024US$4.9tUS$446.9bUS$84.0b27.9x58.4x11x
Thu, 04 Apr 2024US$4.9tUS$447.3bUS$81.7b29.9x60.3x11x
Sat, 02 Mar 2024US$4.6tUS$443.3bUS$81.1b29.9x57.1x10.4x
Mon, 29 Jan 2024US$4.0tUS$431.9bUS$71.4b29.5x55.4x9.2x
Wed, 27 Dec 2023US$3.6tUS$433.3bUS$69.5b27.7x51.5x8.3x
Fri, 24 Nov 2023US$3.3tUS$432.2bUS$70.6b25.4x46.4x7.6x
Sun, 22 Oct 2023US$2.8tUS$426.3bUS$65.3b23.4x43.5x6.7x
Tue, 19 Sep 2023US$3.0tUS$430.8bUS$68.7b25.3x43.7x7x
Thu, 17 Aug 2023US$2.9tUS$421.2bUS$63.0b24.8x46.4x6.9x
Sat, 15 Jul 2023US$3.1tUS$429.2bUS$67.3b23.5x46.2x7.2x
Mon, 12 Jun 2023US$2.8tUS$434.2bUS$71.9b23.8x39.6x6.6x
Wed, 10 May 2023US$2.3tUS$433.9bUS$70.7b18.6x32.9x5.4x
Fri, 07 Apr 2023US$2.4tUS$443.8bUS$85.6b17.7x27.6x5.3x
Sun, 05 Mar 2023US$2.3tUS$445.1bUS$90.1b18.4x25.3x5.1x
Tue, 31 Jan 2023US$2.1tUS$442.6bUS$91.5b17.8x22.8x4.7x
Thu, 29 Dec 2022US$1.8tUS$447.3bUS$96.4b15.5x18.5x4x
Price to Earnings Ratio

18.5x


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 51.5x202320242025
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$180.992.7%
+US$114.2b		29.6%PE44.3x
MU Micron TechnologyUS$265.9212.0%
+US$32.7b		196.4%PE25.1x
LRCX Lam ResearchUS$172.274.9%
+US$10.0b		133.4%PE37.2x
AMD Advanced Micro DevicesUS$213.432.8%
+US$9.5b		71.3%PE111x
AVGO BroadcomUS$340.360.2%
+US$9.0b		46.5%PE69.8x

Latest News

INTC
US$36.82
Intel
7D
-1.8%
1Y
82.3%

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$274.44
Analog Devices
7D
-2.1%
1Y
27.7%
AVGO
US$340.36
Broadcom
7D
0.2%
1Y
46.5%
MU
US$265.92
Micron Technology
7D
12.0%
1Y
196.4%
LRCX
US$172.27
Lam Research
7D
4.9%
1Y
133.4%

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$180.99
NVIDIA
7D
2.7%
1Y
29.6%
AMD
US$213.43
Advanced Micro Devices
7D
2.8%
1Y
71.3%

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$164.40
Astera Labs
7D
14.4%
1Y
21.3%
QCOM
US$175.25
QUALCOMM
7D
-2.2%
1Y
10.7%
KLAC
US$1,245.67
KLA
7D
1.7%
1Y
92.2%
AMAT
US$256.41
Applied Materials
7D
-1.9%
1Y
53.1%
CRDO
US$150.13
Credo Technology Group Holding
7D
5.7%
1Y
117.8%

CRDO: Future Returns Will Depend On Expanding AI Datacenter Connectivity

Analysts have nudged their average price target on Credo Technology Group Holding higher to about $214 from roughly $163, citing stronger expected revenue growth, improving profit margins and sustained AI related demand that supports premium yet slightly compressed forward valuation multiples. Analyst Commentary Recent research updates underscore a broadly constructive stance on Credo Technology, with multiple bullish analysts lifting price targets while framing the stock as a key beneficiary of structural AI and data center connectivity trends.
NXPI
US$226.27
NXP Semiconductors
7D
-2.4%
1Y
5.7%

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.
TXN
US$176.29
Texas Instruments
7D
-0.9%
1Y
-7.3%

TXN: Inventory Discipline And Shifting Tariff Landscape Will Shape Cyclical Recovery Path

Analysts have trimmed their blended price target on Texas Instruments by less than $1 to approximately $189. This reflects slightly lower margin expectations and a slower than typical early-cycle recovery, even as revenue growth assumptions edge modestly higher.
ARM
US$114.03
Arm Holdings
7D
-8.3%
1Y
-10.1%

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.
MCHP
US$64.91
Microchip Technology
7D
-3.4%
1Y
12.2%

MCHP: 2026 Demand Recovery Will Offset Near-Term Guidance Weakness And Policy Uncertainty

Our updated narrative price target for Microchip Technology edges up to $73.92 from $73.64, as analysts balance recent target cuts and cautious near term guidance against expectations for a gradual demand recovery and resilient long term earnings power. Analyst Commentary Analysts remain divided on Microchip Technology, with recent target cuts reflecting near term execution risk even as longer term recovery expectations underpin valuation support.