Últimas noticias sobre SPDR S&P Semiconductor ETF (ARCA:XSD)

SPDR S&P Semiconductor ETF

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In seeking to track the performance of the S&P Semiconductor Select Industry Index (the index), the fund employs a sampling strategy. It generally invests substantially all, but at least 80%, of its total assets in the securities comprising the index. The index represents the semiconductors segment of the S&P Total Market Index (S&P TMI).

Universal Display Corp

Skyworks Solutions Inc.

On Semiconductor Corp

Semtech Corp

Monolithic Power Systems Inc

Qorvo Inc.

Cirrus Logic Inc

Impinj Inc

Texas Instruments Inc

Silicon Laboratories Inc

Broadcom Inc

Allegro Microsystems, Inc.

Qualcomm Inc.

Rambus Inc

Marvell Technology Group Ltd

Credo Technology Group Holding Ltd

Intel Corp.

Analog Devices, Inc.

Nxp Semiconductors Nv

Lattice Semiconductor Corp.

Synaptics Inc

Advanced Micro Devices Inc.

Rigetti Computing Inc

Macom Technology Solutions Holdings, Inc.

Nvidia Corp.

Sitime Corp

First Solar Inc

Microchip Technology Inc.

Ambarella, Inc.

Equities

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Sector ETFs

Tech

ETFs

AMZN

AVGO

FTXL

NVDA

iShares PHLX SOX Semiconductor Sector Index Fund

SOXX

DeepSeek provoca caída en las acciones de semiconductores. Expertos destacan ETF con bajos índices de gastos como oportunidad de inversión.

DeepSeek sacude los mercados: ¿Es momento de comprar ETF de semiconductores?

At first glance, the numbers shout &#8220;boom.&#8221; Contract chipmaker Taiwan Semiconductor Manufacturing Company (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/TSMC#NYSE">TSMC</a>) just reported <a href="https://www.benzinga.com/markets/earnings/25/07/46462634/nvidia-supplier-taiwan-semiconductor-on-a-roll-profit-explodes-with-strong-margin-growth">record-breaking Q2 results</a>. Profit jumped 61% year-over-year and revenue surpassed expectations. 
Only a day prior, chipmaking equipment behemoth ASML Holding N.V. also beat top- and bottom-line estimates, riding on robust bookings.
But under the earnings sheen is a geopolitical snag: the rising specter of U.S. tariffs on Taiwan and chipmaking machinery, which threatens to dent margins and disrupt momentum in <a href="https://www.benzinga.com/topic/semiconductors">semiconductor </a>ETFs such as VanEck Semiconductor ETF (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/SMH#NASDAQ">SMH</a>), iShares Semiconductor ETF (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/SOXX#NASDAQ">SOXX</a>), and SPDR S&amp;P Semiconductor ETF (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/XSD#NYSE">XSD</a>).
See Also: TK
<h2 class="wp-block-heading">Earnings Are Booming, Courtesy AI</h2>
TSMC&#8217;s release was a mic drop moment for the bulls. The firm:
<ul class="wp-block-list">
<li>Posted NT$933.80 billion ($31.7 billion) in revenue, an increase of 38.65% year-over-year</li>
<li>Posted net income of NT$398.27 billion, surpassing estimates more than 5%</li>
<li>Estimated Q3 revenue of up to $33 billion, and estimated 30% year-to-date growth in 2025</li>
</ul>
CEO C.C. Wei attributed the boom to &#8220;strong, sustained demand for AI-related chips&#8221; and the company&#8217;s leading-edge nodes. Indeed, advanced chips (7nm and below) represented a whopping 74% of total wafer revenue. TSMC now produces high-performance processors for behemoths such as Nvidia, Apple, and AMD, firmly positioning it at the center of the AI value chain.
<h2 class="wp-block-heading">But ASML Sounds A Cautionary Note</h2>
Although ASML also reported better than expected results, Q2 revenue of $8.9 billion and net income of $2.66 billion—the mood was considerably less optimistic. <a href="https://www.benzinga.com/markets/equities/25/07/46436723/trumps-tariff-threat-casts-shadow-over-asmls-2026-growth-plans-despite-strong-q2-ai-momentum">CEO Christophe Fouquet cautioned</a> that tariffs on chip production systems and components would press on margins, particularly if trade tensions heighten.
This was a wake-up call: even the most critical suppliers within the supply chain for AI are not exempt from policy shockwaves.
<h2 class="wp-block-heading">The Tariff Time Bomb: What&#8217;s At Risk?</h2>
That is where the tale turns from earnings to politics.
President Donald Trump has toyed with retaliatory tariffs on Taiwan, directly affecting TSMC&#8217;s U.S. business and exports. Taiwan is already subject to 32% tariffs on certain products, and chipmakers are also afraid that semiconductors will be the next.
Meanwhile, U.S. export restrictions remain in place restricting TSMC&#8217;s China business. Though Nvidia (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/NVDA#NASDAQ">NVDA</a>) and AMD (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/AMD#NASDAQ">AMD</a>) recently were cleared to resume limited sales to Beijing, the long-term picture is cloudy.
<h2 class="wp-block-heading">Where Are Semiconductor ETFs Now?</h2>
<a href="https://www.benzinga.com/etfs">Chip-themed ETFs</a> have risen in 2025 in the wake of AI mania. But if tariffs turn from threat to reality, margin squeeze, order shift, and capex delay may be actual risks.
Here&#8217;s how some of the leading semiconductor ETFs are exposed:
<ul class="wp-block-list">
<li>SMH: TSMC is a strong holding (~12%), in addition to Nvidia, AMD, and ASML.</li>
<li>SOXX: Highly concentrated U.S. chip exposure, but has more than 3.5% of holdings in TSMC, and 3% in ASML.</li>
<li>XSD: Equal-weighted ETF, therefore more diversified, but still vulnerable to the global chip cycle.</li>
</ul>
Though these funds ticked up on Thursday morning in tandem with TSMC&#8217;s share price gain, this ride may be bumpier than it appears due to the geopolitics undertow.
<h2 class="wp-block-heading">Bottom Line: A Bipolar Earnings Season</h2>
This earnings cycle has thus far revealed that demand fundamentals for semiconductors are red hot, particularly for AI. But it&#8217;s also demonstrated just how much policy risk is entering the industry&#8217;s outlook.
As trade tensions escalate, semiconductor ETFs could be bracing for a reality check—one where earnings can&#8217;t undo politics.
For the time being, the AI boom is carrying the load. But if tariffs turn from political rhetoric into more, even the most sophisticated chips might not be able to crunch the consequences.
Now Read: 
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<li><a href="https://www.benzinga.com/etfs/specialty-etfs/25/07/46455319/sofi-comeback-minting-etf-winners-these-funds-ride-the-rally-without-risk">SoFi&#8217;s Comeback Is Minting ETF Winners—These Funds Let You Ride The Rally Without The Risk</a></li>
</ul>
Image: Shutterstock

Specialty ETFs

TSMC

Nvidia-Supplier TSMC Crushes It, Yet Chip ETFs Face A Tariff Storm

Nvidia Corp. (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/NVDA#NASDAQ">NVDA</a>) just did the unimaginable: it leaped over Microsoft to become the most valuable company in the world on Thursday, with a market capitalization crossing $3.7 trillion. But as the chipmaker solidifies its position as the foundation of the AI era, one segment of Wall Street is somewhat lagging behind — <a href="https://www.benzinga.com/etfs">semiconductor ETFs</a>.
Despite Nvidia&#8217;s historical rise, some of the largest ETFs that follow the semiconductor space are still predominantly weighted toward legacy chipmakers —companies that dominated the PC and mobile era, but whose trajectories are now threatened by the AI revolution.
Also Read: <a href="https://www.benzinga.com/etfs/sector-etfs/25/05/45574690/nvidia-amd-and-the-ai-arms-race-3-explosive-etfs-to-watch-right-now">Nvidia, AMD And The AI Arms Race: 3 Explosive ETFs To Watch Right Now</a>
<h2 class="wp-block-heading">Not All Chip ETFs Are Built For The AI Race</h2>
Take a look at the two heavyweights: the VanEck Semiconductor ETF (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/SMH#NASDAQ">SMH</a>) and the iShares Semiconductor ETF (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/SOXX#NASDAQ">SOXX</a>). Both have seen strong returns, thanks in large part to Nvidia's outperformance, but scratch beneath the surface, and you'll notice they still allocate sizable weight to companies like Intel (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/INTC#NASDAQ">INTC</a>), Texas Instruments (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/TXN#NASDAQ">TXN</a>), and Qualcomm (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/QCOM#NASDAQ">QCOM</a>), which haven't benefited nearly as much from the AI arms race.
SMH, for example, has Nvidia at about 20.5%, and Intel continues to hold on to a healthy 3.7% of the portfolio in spite of its failure to gain ground in the GPU segment. SOXX&#8217;s own positioning is similarly slanted — Nvidia is a top holding, but legacy companies comprise a bigger-than-anticipated portion of the roster.
<h2 class="wp-block-heading">AI Winners Vs. Legacy Players</h2>
Here&#8217;s the irony: Nvidia&#8217;s success is being fueled to a great extent by hyperscalers such as Microsoft, Amazon, Meta, and Alphabet — firms which are building out AI infrastructure at a very fast clip. That demand, in turn, is fueling interest in AI-focused semiconductors — GPUs, networking processors, model-training memory, optimized memory, and even the tailor-made AI chips manufactured by companies such as Broadcom and Marvell Technology.
But most broad semiconductor ETFs still portray an outdated vision of the industry, one still led by general-purpose computing and consumer hardware cycles, rather than AI computing.
<h2 class="wp-block-heading">The ETF Innovators Catching On</h2>
There are some ETFs that have turned. The Invesco PHLX Semiconductor ETF (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/SOXQ#NASDAQ">SOXQ</a>) and the SPDR S&amp;P Semiconductor ETF (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/XSD#NYSE">XSD</a>) do it differently. XSD is equal-weighted, reducing Nvidia&#8217;s weighting but offering a more equalized reflection of the sector, including newer or niche companies such as Ambarella (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/AMBA#NASDAQ">AMBA</a>) and Advanced Micro Devices&nbsp;(NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/AMD#NASDAQ">AMD</a>), which are also being boosted by AI-related trends.
And then there are thematic ETFs such as the Roundhill Generative AI ETF (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/CHAT#NYSE">CHAT</a>), not semiconductor pure plays, but more representative of next-generation AI infrastructure, including semis that actually underpin the boom.
<h2 class="wp-block-heading">The Concentration Conundrum</h2>
Nvidia&#8217;s ascent has also brought a novel challenge: the risk of concentration. SMH and SOXX each have more than one-fifth of their portfolios invested in a single stock, a fantastic ride on the way up, but potentially perilous if attitudes reverse.
That risk is aggravated by underperformance from other holdings. Intel, for example, has fallen about 27% in the past year. So while the front-page ETF returns appear solid, they&#8217;re disproportionately reliant on a single ticker.
<h2 class="wp-block-heading">Time For A Chip ETF Makeover?</h2>
Investors betting on the future of semiconductors might need to rethink their exposure. In an AI-dominated world, chipmakers are no longer a monolith, and ETFs that treat them as such may underdeliver.
As Nvidia continues to achieve milestones and propel the AI ecosystem forward, the question for ETF issuers is simple: Will they adapt for the AI age, or continue playing the greatest hits of the previous chip cycle?
Read Next: 
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<li><a href="https://www.benzinga.com/etfs/new-etfs/25/06/46147754/goldman-just-launched-two-new-bond-etfs-heres-why-investors-should-pay-attention">Goldman Just Launched Two New Bond ETFs; Here&#8217;s Why Investors Should Pay Attention</a></li>
</ul>
Photo: Evolf on Shutterstock.com

AMBA

CHAT

INTC

LSCC

QCOM

SOXQ

Nvidia Just Became The World's Most Valuable Stock; Is It Time For A Semiconductor ETF Rethink?

<a href="https://www.benzinga.com/etfs">Semiconductor ETFs </a>are attracting investor attention this week as the industry finds itself at the focal point of global trade tensions. U.S. President Donald Trump is poised to announce new tariff levels on foreign semiconductors within days, a move that could remake supply chains and spook markets already nervous following recent trade volatility.
While the White House considers the shape of the <a href="https://www.benzinga.com/topic/semiconductors">future chip industry</a>, investors are focusing on ETFs with heavy exposure to chipmakers. Whether tariffs fuel more market volatility or offer a buying opportunity largely depends on how the policy plays out over the next few weeks.
Also Read: <a href="https://www.benzinga.com/trading-ideas/movers/25/04/44724362/chip-stocks-surge-as-trump-pauses-tariffs-for-us-allies-targets-china-with-125-duties">Chip Stocks Surge As Trump Pauses Tariffs For US Allies, Targets China With 125% Duties</a>
3 Semiconductor ETFs To Watch Amid Tariff Headlines
iShares Semiconductor ETF (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/SOXX#NASDAQ">SOXX</a>)
One of the sector&#8217;s most liquid and best-followed funds, SOXX provides exposure to U.S.-listed behemoths such as Nvidia (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/NVDA#NASDAQ">NVDA</a>), Intel (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/INTC#NASDAQ">INTC</a>), and Broadcom (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/AVGO#NASDAQ">AVGO</a>). As it is based on global manufacturing and cross-border supply chains, SOXX may be vulnerable to import tariffs and higher component prices.
VanEck Semiconductor ETF (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/SMH#NASDAQ">SMH</a>)
SMH is distinguished by its international makeup, featuring giants such as Taiwan Semiconductor Manufacturing (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/TSM#NYSE">TSM</a>) and ASML Holding&nbsp;(NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/ASML#NASDAQ">ASML</a>). Taiwan&#8217;s tariff talks with the U.S. will be important here, particularly if the island achieves exemptions that may protect SMH&#8217;s non-U.S. holdings from policy jolts.
SPDR S&amp;P Semiconductor ETF (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/XSD#NYSE">XSD</a>)
An equally weighted ETF, XSD leans slightly more toward small and mid-cap chipmakers such as ON Semiconductor (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/ON#NASDAQ">ON</a>) and some large-cap ones like Texas Instruments Inc (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/TXN#NASDAQ">TXN</a>). It may provide a hedge against large-cap concentration risk if giants like Nvidia or TSMC are subject to tariff pressure.
The Policy Backdrop: Tariffs, Taiwan And Tech
Trump&#8217;s planned action is part of a larger national security investigation into the electronics supply chain, unveiled over the weekend. Whereas smartphones and laptops had previously been spared recent retaliatory tariffs on China, officials now indicate that advanced technology products—such as semiconductors, personal electronics, and medicines—will soon bear standalone duties, as reported by Reuters.
On Sunday, Trump said that the White House wants to simplify the chip market from many other companies and aims to produce chips in the U.S., adding that some companies might be allowed flexibility in implementation. He said new tariff levels on foreign semiconductors will be announced this week.
Commerce Secretary Howard Lutnick confirmed that a &#8220;special focus-type of tariff&#8221; on fundamental tech imports will be introduced over the next two months. The standalone regime would operate in parallel to reciprocal tariffs, which, according to Reuters, rose to 125% on Chinese imports last week.
The uncertainty has unsettled markets. The S&amp;P 500 has fallen over 10% since Trump&#8217;s Jan. 20 inauguration, and the chip sector has experienced some of the deepest intraday plunges in months.
Simultaneously, Taiwan, which plays a vital role in the world chip community, has been positively negotiating with Washington to avoid getting engulfed in the tariff wave. President Lai Ching-te affirmed that the initial dialogue has been &#8220;smooth,&#8221; and Taipei is looking to turn the crisis into a silver lining as far as deep trade integration with Washington is concerned, as per another Reuters report. TSMC&#8217;s latest promise of further investing $100 billion in America complements such a strategy.
While the world holds its breath for what Trump will do next, investors in semiconductor ETFs are keeping a close watch. Whether the result produces tariff clarity or more turbulence, the industry is at the crossroads of geopolitics, policy and market performance.
Next Up: 
<ul>
<li><a href="https://www.benzinga.com/etfs/broad-u-s-equity-etfs/25/04/44795549/etfs-last-week-wall-street-whipsaws-dollar-under-siege-yet-these-5-funds-won">ETFs Last Week: Wall Street Whipsaws, Dollar Under Siege, Yet These 5 Funds Won</a></li>
</ul>
Photo: Shutterstock

Trading Ideas

ASML

Chip Shock: 3 Hot Semiconductor ETFs To Watch As Trump's Tariff Bomb Ticks

U.S. technology-linked ETFs endured a wave of selling pressure in March 2025 as investor enthusiasm for the artificial intelligence boom cooled and macroeconomic uncertainties—from tariff risks to geopolitical tensions—dampened appetite <a href="https://www.benzinga.com/topic/technology-stocks">for high-growth names.</a>
The Invesco QQQ Trust (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/QQQ#NASDAQ">QQQ</a>), which tracks the tech-heavy Nasdaq 100 Index, plunged 9.1% in March, its worst monthly performance since December 2022. 
Unlike previous corrections, where dip-buying quickly followed. This time, investors pulled back. QQQ posted $1.4 billion in outflows, snapping a four-month streak of inflows and signaling rising caution.
The Technology Select Sector SPDR Fund (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/XLK#NYSE">XLK</a>) slumped 10%, marking its steepest one-month drop since September 2022. The ETF also bled $770 million in March, bringing combined outflows over the past two months to more than $1.1 billion.
Semiconductor-related ETFs—previously the poster children of the AI revolution—were particularly hard hit.
The iShares Semiconductor ETF (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/SOXX#NASDAQ">SOXX</a>) suffered $200 million in outflows, marking the fourth straight month of capital leakage. 
The VanEck Semiconductor ETF (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/SMH#NASDAQ">SMH</a>) and SPDR S&amp;P Semiconductor ETF (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/XSD#NYSE">XSD</a>) recorded outflows of $210 million and $40 million, respectively. 
These ETFs have entered a bear market after falling more than 20% from their late 2024 peak.
<h3 class="wp-block-heading">Valuation Reset: The AI Trade Comes Back to Earth</h3>
According to Ed Yardeni, president at Yardeni Research, the semiconductor sector has now "mostly erased its valuation premium" over the broader market—an edge it had built up since the debut of ChatGPT in late 2022.
&#8220;We&#8217;ve opined that DeepSeek would be a net positive for AI demand, as cheaper training and model proliferation helps non-tech companies adopt AI and boost productivity. Perhaps there was a mini-bubble built up on AI euphoria,&#8221; Yardeni said in a recent note. 
Yet, he also expressed room for optimism.
&#8220;Since the Magnficent-7 stocks&#8217; long-term earnings expectations and valuation multiples already have realigned closer to historical averages without a bear market or recession, we think further downside for the AI trade is limited,&#8221; Yardeni added.
Read Now: 
<ul>
<li><a href="https://www.benzinga.com/economics/macro-economic-events/25/03/44563303/gold-beats-sp-500-by-widest-margin-since-2011-as-tariff-fears-trigger-rush-to-havens">Gold Beats S&amp;P 500 By Widest Margin Since 2011 As Tariff Fears Trigger Rush To Havens</a></li>
</ul>
Photo: Shutterstock

Tech-Linked ETFs Suffer Outflows In March As AI 'Mini Bubble' Pops On Tariff Panic

Intel Corporation (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/INTC#NASDAQ">INTC</a>) is experiencing profound strategic shifts under the guidance of its new CEO, Lip-Bu Tan. As the company reorganizes its executive ranks and streamlines its chip manufacturing focus, investors looking for exposure to Intel shares might find ETFs an attractive way to take advantage of these changes. Three <a href="https://www.benzinga.com/etfs">ETFs with significant Intel stock holdings</a> that could gain from the company&#8217;s shift are outlined below.
iShares Semiconductor ETF (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/SOXX#NASDAQ">SOXX</a>)
The iShares Semiconductor ETF is among the most widely held ETFs to track the semiconductor sector, with a high concentration in top chipmakers such as Intel. Based on its most recent holdings, Intel accounts for a decent percentage of the fund&#8217;s assets, making SOXX an excellent vehicle for investors who are optimistic about Intel&#8217;s foundry growth and cooling technology innovations.
Intel&#8217;s <a href="https://www.benzinga.com/25/03/44532855/intels-superfluid-cooling-tech-possibly-suitable-for-nvidias-gb300-chips-says-expert-amid-intcs-efforts-to-secure-commitments-for-foundry-services">SuperFluid cooling technology has drawn attention</a> for possible applications in Nvidia&#8217;s (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/NVDA#NASDAQ">NVDA</a>) Blackwell Ultra GB300 AI chips, indicating a vital spot in the AI-fueled semiconductor space. If Intel manages to make Nvidia a foundry customer, SOXX might experience additional growth fueled by Intel&#8217;s strategic shift.
VanEck Semiconductor ETF (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/SMH#NASDAQ">SMH</a>)
VanEck Semiconductor ETF offers focused exposure to semiconductor leaders, including shares of Intel. The fund is a good choice for investors who want to ride the tide of Intel&#8217;s foundry plans and next-generation packaging technologies that will challenge Taiwan Semiconductor Manufacturing Co. (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/TSM#NYSE">TSM</a>).
Intel is accelerating its 18A process node and securing United Microelectronics Corp. (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/UMC#NYSE">UMC</a>) for late 2026 production collaborations. This may cause SMH investors to eventually realize an upside if the moves win over heavy-duty tech customers such as Broadcom (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/AVGO#NASDAQ">AVGO</a>).
SPDR S&amp;P Semiconductor ETF (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/XSD#NYSE">XSD</a>)
The SPDR S&amp;P Semiconductor ETF has a similar equal-weighted strategy to semiconductor stocks, with broad-based sector exposure without compromising on its holdings of Intel stock. Investors get a chance to bet on Intel&#8217;s turnaround while hedging single-stock risk, via this ETF.
Intel&#8217;s leadership restructuring, with <a href="https://www.benzinga.com/tech/25/03/44532562/intel-board-shake-up-continues-as-three-directors-exit-amid-leadership-overhaul-under-ceo-lip-bu-tan">three members stepping down</a>, indicates that the company is leaning more toward <a href="https://www.benzinga.com/25/03/44355124/intels-new-ceo-charts-bold-revival-plan-warns-of-tough-decisions-ahead-reports">Tan&#8217;s vision of maximizing chip design</a> and manufacturing. ETFs like XSD could benefit from Intel&#8217;s potential recovery in the semiconductor space.
See Next: 
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<li><a href="https://www.benzinga.com/25/03/44541164/vanguard-expands-fixed-income-offerings-with-global-government-bond-ucits-etf">Vanguard Launches Global Government Bond ETF, Expanding Fixed-Income Options For European Investors</a></li>
</ul>
Photo: Shutterstock

Big Moves At Intel: These 3 ETFs Stand To Benefit

Microchip Technology Incorporated (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/MCHP#NASDAQ">MCHP</a>) shares are trading lower premarket on Thursday. On Wednesday, the company disclosed the launch of&nbsp;a public offering of <a target="_blank" href="https://www.benzinga.com/pressreleases/25/03/g44405834/microchip-technology-announces-launch-of-offering-of-depositary-shares-representing-interests-in-s" rel="noreferrer noopener">$1.35 billion of depositary shares</a>.
Each share represents a 1/20th interest in newly issued Series A Mandatory Convertible Preferred Stock.
The company has also granted underwriters a 13-day option to purchase up to an additional $135 million in depositary shares to cover over-allotments.
Microchip plans to allocate part of the net proceeds to fund capped call transactions and, if the over-allotment option is exercised, additional capped call transactions.
The remaining funds will be used to repay existing debt, including outstanding notes under its commercial paper program.
In conjunction with the pricing of the depositary shares, Microchip plans to enter into privately negotiated capped call transactions with one or more underwriters, their affiliates, or other financial institutions.
As of December 31, cash and short-term <a target="_blank" href="https://www.benzinga.com/pressreleases/25/02/g43545040/microchip-technology-announces-financial-results-for-third-quarter-of-fiscal-year-2025" rel="noreferrer noopener">investments stood at $586 million</a>.
In a separate release, Microchip Technology disclosed the AVR SD family of microcontrollers (MCUs), designed with integrated functional safety features to support <a target="_blank" href="https://www.benzinga.com/pressreleases/25/03/g44394174/entry-level-microcontrollers-reduce-system-cost-and-complexity-in-safety-critical-applications" rel="noreferrer noopener">applications requiring strict safety assurance</a>.
Investors can gain exposure to the stock via&nbsp;First Trust S&amp;P 500 Diversified Dividend Aristocrats ETF (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/KNGZ#NASDAQ">KNGZ</a>)&nbsp;and SPDR S&amp;P Semiconductor ETF (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/XSD#NYSE">XSD</a>).
Price Action: MCHP shares are down 7.44% at $50.51 premarket at the last check Thursday.
Read Next:
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<li><a href="https://www.benzinga.com/25/03/44356648/microchip-launches-e2w-ecosystem-to-boost-efficiency-and-safety-in-electric-scooters" target="_blank" rel="noreferrer noopener">Microchip Launches E2W Ecosystem To Boost Efficiency And Safety In Electric Scooters</a></li>
</ul>
Photo via Shutterstock.

Offerings

Movers

KNGZ

MCHP

What's Going On Microchip Technology Stock Premarket on Thursday?

Allegro MicroSystems, Inc. (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/ALGM#NASDAQ">ALGM</a>) shares are trading higher premarket on Thursday after it disclosed receiving a proposal&nbsp;from ON Semiconductor Corporation (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/ON#NASDAQ">ON</a>) for $35.10 per share, with an implied <a target="_blank" href="https://www.benzinga.com/pressreleases/25/03/b44157898/onsemi-proposes-to-acquire-allegro-microsystems-for-35-10-per-share-in-cash" rel="noreferrer noopener">enterprise value of $6.9 billion</a>.
The all-cash offer reflects a 57% premium over Allegro&#8217;s closing price on February 28, 2025, the last trading day before reports of <a target="_blank" href="https://www.benzinga.com/25/03/44084024/on-semiconductor-moves-to-acquire-allegro-sparking-investor-interest" rel="noreferrer noopener">onsemi&#8217;s acquisition interest surfaced</a>.
Allegro&#8217;s Board, after consulting independent financial and legal advisors, <a target="_blank" href="https://www.benzinga.com/pressreleases/25/03/g44158580/allegro-confirms-receipt-of-unsolicited-proposal-from-onsemi" rel="noreferrer noopener">deemed onsemi&#8217;s proposal inadequate</a>.
Notably, onsemi has repeatedly sought to engage Allegro MicroSystems in discussions over the past six months.
The latest proposal, submitted on February 12, 2025, raised the offer to $35.10 per share, up from an initial $34.50 per share proposal as of September 2, 2024.
Read: <a target="_blank" href="https://www.benzinga.com/media/25/02/43971798/on-semiconductor-focuses-on-ai-chip-growth-to-cut-2400-jobs-to-stay-competitive" rel="noreferrer noopener">ON Semiconductor Focuses On AI Chip Growth, To Cut 2,400 Jobs to Stay Competitive</a>
Hassane El-Khoury, President and Chief Executive Officer of onsemi said, &#8220;The Allegro team has built an impressive leadership position in magnetic sensing and power ICs for the automotive and industrial end-markets.&#8221;
&#8221;Together, Allegro&#8217;s unique product portfolio and onsemi&#8217;s differentiated intelligent power and sensing technologies would create a diversified leader in automotive, industrial and AI data center applications.&#8221;
As of December 31, 2024, ON Semiconductor&nbsp;held <a target="_blank" href="https://www.benzinga.com/25/02/43592322/on-semiconductor-q4-earnings-q4-revenue-drops-15-weak-demand-in-auto-and-industrial-sectors-lower-utilization-hits-margins-ceo-warns-of-continued-challenges-in-2025" rel="noreferrer noopener">$2.99 billion in cash and equivalents</a>.
Investors can gain exposure to ALGM stock via&nbsp;iShares Breakthrough Environmental Solutions ETF (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/ETEC#NASDAQ">ETEC</a>) and SPDR S&amp;P Semiconductor ETF (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/XSD#NYSE">XSD</a>).
Price Action: ALGM shares are up 9% at $29.19 premarket at the last check Thursday.
Read Next:
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<li><a href="https://www.benzinga.com/news/earnings/earnings-misses/25/02/43631471/on-semiconductors-q4-revenues-down-15-as-automotive-industry-hits-massive-speed-bump-7-analysts-cut-forecasts-on-continued-demand-weakness" target="_blank" rel="noreferrer noopener">ON Semiconductor&#8217;s Q4 Revenues Down 15% As Automotive Industry Hits Massive Speed Bump, 7 Analysts Cut Forecasts On Continued Demand 10.Weakness</a></li>
</ul>
Photo via Shutterstock.

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Allegro MicroSystems Board Deems ON Semiconductor's $6.9B Offer 'Inadequate'

JX Advanced Metals, a subsidiary of oil titan Eneos, is planning to raise an estimated ¥460 billion ($3 billion) through an initial public offering (IPO). This IPO is anticipated to be the largest in Japan since 2018.
What Happened: The firm has proposed a tentative price of ¥862 ($5.65) per share, as per a submission to the Finance Ministry. The final price will be determined on March 10, with JX Advanced Metals slated for its Tokyo Stock Exchange listing on March 19, <a href="https://www.japantimes.co.jp/business/2025/02/14/companies/jx-advanced-metals-ipo/">reported</a> The Japan Times on Friday.
If the IPO goes as planned, it will outshine last year&#8217;s significant IPO of subway operator&nbsp;Tokyo Metro and will be the most significant since SoftBank&#8216;s listing in December 2018.
SEE ALSO: <a href="https://www.benzinga.com/content/43690698/broadcom-stock-why-the-upside-is-too-good-to-ignore">Broadcom Stock: Why the Upside Is Too Good to Ignore</a>
Why It Matters: The move by JX Advanced Metals comes at a time when the semiconductor industry is under pressure. JX holds approximately 60% of the global market share for sputtering target materials, critical for semiconductor circuitry. Thus, the IPO will also serve as an indicator of global demand for chips, a crucial element in the rapidly advancing AI sector. 
On Wednesday, U.S. President Donald Trump warned of potential tariffs of up to 100% on <a href="https://www.benzinga.com/markets/25/02/43685791/taiwan-semiconductor-could-be-the-lifeline-intel-needs-as-rumors-swirl-of-a-us-backed-joint-venture">semiconductor exports from Taiwan to the U.S</a>., aiming to incentivize chip manufacturers to relocate their production facilities to the United States. However, Bob O'Donnell, chief analyst and founder of TECHnalysis Research told the Central News Agency&nbsp;that economic sanctions won't instantly enhance chip manufacturing in the U.S., as constructing a chip fabrication facility takes billions of dollars and several years to complete. "It will have a huge negative impact on every tech-related industry," cautioned O'Donnell.
Meanwhile, a report by Reuters today suggests that The White House is looking to revise U.S. CHIPS and Science Act awards and has indicated potential delays in upcoming semiconductor funding distributions. The event is likely to have a major impact on the operations of U.S. chip makers like Nvidia (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/NVDA#NASDAQ">NVDA</a>), Qualcomm Inc. (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/QCOM#NASDAQ">QCOM</a>), and Broadcom Inc. (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/AVGO#NASDAQ">AVGO</a>).
The iShares Semiconductor ETF (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/SOXX#NASDAQ">SOXX</a>) gained over 6% over the past year. 
<ul>
<li>READ MORE: <a href="https://www.benzinga.com/media/25/02/43719655/arm-takes-on-its-own-customers-poaches-talent-competes-with-qualcomm-and-nvidia-for-ai-and-data-center-chip-deals-report">Arm Takes On Its Own Customers — Poaches Talent, Competes With Qualcomm And Nvidia For AI And Data Center Chip Deals: Report</a></li>
</ul>
Image via Shutterstock
Disclaimer:&nbsp;This content was partially produced with the help of AI tools and was reviewed and published by Benzinga editors.

Markets

General

Major Japanese Chip Material Supplier Eyes Record-Breaking $3 Billion IPO—Japan's Largest Since SoftBank's 2018 Debut

The emergence of DeepSeek, a Chinese artificial intelligence startup <a href="https://www.benzinga.com/25/01/43232316/deepseek-jitters-shatter-us-tech-stocks-wipe-out-12-trillion-on-wall-street-analyst-eyes-four-chinese-giants-set-to-benefit">rattled the markets</a> on Monday. However, as AI demand continues to rise many described the reaction to be "overdramatic" and suggested to "buy the dip". Here is a list of top semiconductor exchange-traded funds, with the lowest expense ratios that investors could consider. 
What Happened: As DeepSeek boasts of high performance at a significantly lower cost, semiconductor stocks which are the backbone of AI development, bore the brunt of the selloff.
"To me, it's an overreaction," Fundstrat Global Advisors‘ head of research Tom Lee <a href="https://www.cnbc.com/2025/01/27/tom-lee-calls-market-sell-off-overreaction-nvidia-falls-on-deepseek-news.html?taid=67980792a96d920001c44f58&amp;utm_campaign=trueanthem&amp;utm_medium=social&amp;utm_source=twitter%7Cmain">told </a>CNBC's "Closing Bell," comparing the drop to Nvidia Corp.&#8217;s (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/NVDA#NASDAQ">NVDA</a>) March 2020 decline that proved to be a significant <a href="https://www.benzinga.com/markets/equities/25/01/43259288/fundstrats-tom-lee-sees-nvidias-17-plunge-as-an-opportunity-calls-nasdaqs-over-600-points-plunge-drop-a-market-overreaction">entry point</a> for investors.
Similarly, Subho Moulik, the founder and CEO of Appreciate said, "The sudden emergence of DeepSeek is a Sputnik-like moment for the U.S. and potentially undermines U.S. AI exceptionalism, but we see yesterday's panic selling to be overdramatic."
As Nvidia shares <a href="https://www.benzinga.com/markets/equities/25/01/43259288/fundstrats-tom-lee-sees-nvidias-17-plunge-as-an-opportunity-calls-nasdaqs-over-600-points-plunge-drop-a-market-overreaction">plunged</a> 17% on Monday, eroding $593 billion in <a href="https://x.com/charliebilello/status/1884009665597690125">market capitalization</a>, Moulik said, "It's not just Nvidia, the other semicaps that took a battering in the markets – Broadcom Inc. (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/AVGO#NASDAQ">AVGO</a>) and Micron Technology Inc. (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/MU#NASDAQ">MU</a>) – can be an interesting buy on dip."
Investors could consider buying ETFs with a low expense ratio to "buy on dip." An expense ratio is a percentage that represents the annual cost of owning a fund or an ETF which is calculated by dividing a fund&#8217;s operating expenses by its net assets.
According to <a href="https://www.schwab.com/learn/story/etfs-how-much-do-they-really-cost#:~:text=Investors%20should%20consider%20the%20impact,significantly%20erode%20returns%20over%20time.">Charles Schwab</a>, &#8220;ETFs with lower expense ratios and lower trading costs typically offer better value to investors, because higher expense ratios and/or steeper trading costs may significantly erode returns over time.&#8221; 
<figure class="wp-block-table is-style-stripes"> 
<table>
<tbody>
<tr>
<td>ETF Name</td>
<td>AUM (In Billion)</td>
<td>Expense Ratio</td>
<td>Six Month Returns</td>
</tr>
<tr>
<td>SPDR S&amp;P Semiconductor ETF (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/XSD#NYSE">XSD</a>)</td>
<td>$1.28</td>
<td>0.35%</td>
<td>-0.29%</td>
</tr>
<tr>
<td>VanEck Semiconductor ETF (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/SMH#NASDAQ">SMH</a>)</td>
<td>$23.60</td>
<td>0.35%</td>
<td>-1.17%</td>
</tr>
<tr>
<td>iShares Semiconductor ETF (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/SOXX#NASDAQ">SOXX</a>)</td>
<td>$13.86</td>
<td>0.35%</td>
<td>-7.14%</td>
</tr>
<tr>
<td>First Trust Nasdaq Semiconductor ETF (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/FTXL#NASDAQ">FTXL</a>)</td>
<td>$1.32</td>
<td>0.60%</td>
<td>-9.11%</td>
</tr>
<tr>
<td>ProShares Ultra Semiconductors (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/USD#NYSE">USD</a>)</td>
<td>$1.24</td>
<td>0.95%</td>
<td>-7.38%</td>
</tr>
</tbody>
</table>
<figcaption class="wp-element-caption">Source: <a href="https://www.etf.com/topics/semiconductors">ETF.com</a> </figcaption></figure>
See Also: <a href="https://www.benzinga.com/25/01/43259969/microsoft-ai-revenue-poised-to-surpass-10-billion-fueling-explosive-growth-says-piper-sandler-as-it-maintains-overweight-rating-on-msft">Microsoft&#8217;s AI Revenue Set To Surpass $10 Billion: Piper Sandler Maintains Overweight Rating </a>
Why It Matters: According to Moulik, DeepSeek&#8217;s claim of lower training costs of $6 million vs ChatGPT&#8217;s $100 million plus, remains unverified. The Chinese firm's reliance on less-advanced Nvidia chips, due to U.S. chip export restrictions, could also hinder its ability to maintain a competitive edge in AI development.
Even if DeepSeek&#8217;s cost claims hold, it&#8217;s still positive for Big Tech, said Moulik, as AI extends beyond Large Language Models. Cost-effective LLM training allows U.S. companies to prioritize <a href="https://www.benzinga.com/markets/25/01/43222744/verizon-launches-ai-connect-as-mckinsey-predicts-that-60-70-of-ai-workload-will-shift-from-training-to-inferencing-by-2030">LLM inferencing</a> – the next stage. Inferencing involves applying pre-trained LLMs for real-world tasks, optimizing AI investments by shifting focus from costly training to scalable, practical applications, ultimately driving long-term growth.
"For industry leaders like Microsoft Corp. and Alphabet Inc., this means redirecting massive spending from training infrastructure to real-world applications such as search, customer service, and automation," added Moulik. Cloud servers like Amazon.com Inc.&#8217;s Amazon Web Service could benefit too.
Although the short-term will be bumpy, the long-term runway appears stable, added Moulik, "Unless DeepSeek drops another Chinese New Year gift to the world later&nbsp;this&nbsp;year.&#8221;
Read Next:
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<li><a href="https://www.benzinga.com/government/regulations/25/01/43258090/gamestop-short-seller-wants-freedom-of-speech-for-millions-having-stock-market-conversations-questioning-sec-on-what-protects-honest-opinions">Gamestop Short Seller Wants Freedom Of Speech For &#8216;Millions&#8217; Having Stock Market Conversations, Questioning SEC On &#8216;What Protects Honest Opinions?&#8217;</a></li>
</ul>
Photo courtesy: Shutterstock

DeepSeek Buzz Batters Big Tech But This Analyst Says 'Buy The Dip:' Here's Are Top 5 Semiconductor ETFs With The Lowest Expense Ratios That You Can Consider

The U.S. <a href="https://www.benzinga.com/topic/semiconductors">semiconductor </a>sector is going through nail-biting times as further <a href="https://www.benzinga.com/government/regulations/25/01/42897081/nvidia-and-ai-chip-stocks-brace-for-impact-as-biden-administration-considers-new-china-export-ban-report">potential sanctions on the export of artificial intelligence chips</a> to China loom.
What Happened: Nvidia (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/NVDA#NASDAQ">NVDA</a>) was recently left with a bitter taste after its big tech customers <a href="https://www.benzinga.com/25/01/42970112/nvidia-order-delays-and-ai-sanctions-threaten-global-sales-offer-growth-opportunity-for-us-tech-giants">deferred billions of dollars in orders</a>.
As geopolitics shakes up the industry, investors are monitoring the ramifications for exchange-traded funds, or ETFs, tied to the sector. Here are three such ETFs, among many others, that are caught in the crosshairs:
<ul>
<li>VanEck Semiconductor ETF (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/SMH#NASDAQ">SMH</a>): This ETF&#8217;s top holdings include Nvidia, Broadcom (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/AVGO#NASDAQ">AVGO</a>), Taiwan Semiconductor Manufacturing Company (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/TSM#NYSE">TSM</a>) and Advanced Micro Devices (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/AMD#NASDAQ">AMD</a>). Each company is deeply involved in AI chip production and data center infrastructure. This makes the ETF particularly vulnerable to regulatory changes in this space.</li>
</ul>
<ul>
<li>iShares Semiconductor ETF (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/SOXX#NASDAQ">SOXX</a>): This ETF boasts holdings in Nvidia, Intel (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/INTC#NASDAQ">INTC</a>), and Broadcom. Potential export restrictions could disrupt these companies' revenue streams, naturally causing ripples in the ETF's performance.</li>
</ul>
<ul>
<li>SPDR S&amp;P Semiconductor ETF (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/XSD#NYSE">XSD</a>): This ETF has an equal-weighted structure that diversifies the exposure across semiconductor firms. Its significant allocations in Nvidia, AMD, and Micron Technology (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/MU#NASDAQ">MU</a>) make it vulnerable to export restrictions.</li>
</ul>
Also Read: <a href="https://www.benzinga.com/news/25/01/43013412/whats-going-on-with-marvell-technology-mrvl-stock">What&#8217;s Going On With Marvell Technology (MRVL) Stock?</a> 
<h3 class="wp-block-heading">Nvidia Faces Double Whammy</h3>
The Biden administration is reportedly considering a new set of sanctions over the next few days. According to a Bloomberg report, the new sanctions may include a three-tier framework targeting AI chip exports, aiming to curb China's access to advanced technology. These restrictions could take effect before Donald Trump assumes office on Jan. 20.
Nvidia, a sector heavyweight, faces a double whammy. In addition to the potential export restrictions, Nvidia's hyperscaler customers — Microsoft (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/MSFT#NASDAQ">MSFT</a>), Amazon&#8217;s (NADAQ: AMZN) AWS, Alphabet (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/GOOGL#NASDAQ">GOOGL</a>), and Meta (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/META#NASDAQ">META</a>) — recently postponed $10 billion worth of orders for its Blackwell GB200 data center racks due to overheating issues. This disruption adds to the challenges Nvidia faces, as up to 50% of its chips may be destined for markets that could fall under the new export rules, according to D.A. Davidson&#8217;s Gil Luria, as reported by Reuters.
According to Defiance ETFs CEO Sylvia Jablonski, &#8220;Geopolitical tensions, particularly between the U.S. and China, have significantly impacted the semiconductor industry. Each time we've heard a report about a potential US ban on semiconductors from the White House we've seen NVDA and all other semiconductor stocks fall.&#8221;
<h3 class="wp-block-heading">Long-Term Outlook For ETFs</h3>
While the short-term outlook for semiconductor ETFs remains uncertain, the long-term prospects offer significant opportunities. AI, quantum computing and other technological advancements are expected to drive substantial demand for advanced semiconductors. Despite geopolitical headwinds, semiconductor-focused ETFs could benefit from the ongoing innovation and market growth.
Summing up the sector's potential, Jablonski said: "Any kind of high tech, innovative trend has its risks and rewards. Investors should understand that innovation takes time, and that price action is often volatile proceeding it. However, if the innovations like AI, Quantum computing come to fruition, the opportunities for investors are endless!"
Read Next: 
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<li><a href="https://www.benzinga.com/etfs/sector-etfs/25/01/43027627/blackrocks-etf-business-excels-in-2024-with-record-390-billion-net-inflows">BlackRock&#8217;s ETF Business Excels In 2024 With Record $390 Billion Net Inflows</a></li>
</ul>
Photo: Shutterstock.

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Global

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MSFT

Nvidia Suffers $10 Billion Setback, AI Chip Sanctions Spell Trouble For 3 ETFs

Taiwan Semiconductor Manufacturing Co (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/TSM#NYSE">TSM</a>) is all set for <a target="_blank" href="https://www.benzinga.com/topic/tsmc" rel="noreferrer noopener">full-capacity production</a> in the U.S. and Germany after commercializing its debut Japanese chip plant in Kikuyo, Kumamoto Prefecture, last December.
Nvidia Corp&#8217;s (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/NVDA#NASDAQ">NVDA</a>) $3 trillion valuation and Taiwan Semiconductor&#8217;s 2nm progress testify to <a target="_blank" href="https://www.benzinga.com/25/01/42813592/ai-chip-stocks-nvidia-broadcom-amd-taiwan-semi-micron-super-micro-surge-on-monday-whats-going-on" rel="noreferrer noopener">AI-driven chip industry growth</a>. Reportedly, Microsoft Corp (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/MSFT#NASDAQ">MSFT</a>) eyes&nbsp;$80 billion in&nbsp;developing AI data centers in fiscal 2025, marking a big win for the sector.&nbsp;
Also Read: <a target="_blank" href="https://www.benzinga.com/24/12/42721526/taiwan-semiconductors-kaohsiung-expansion-to-boost-jobs-and-2-nm-chip-production" rel="noreferrer noopener">Taiwan Semiconductor&#8217;s Kaohsiung Expansion To Boost 2-nm Chip Production</a>
The contract chipmaker aims to complete production of plants in Arizona in 2025 and Dresden in 2027. Construction of Taiwan Semiconductor&#8217;s second Japanese factory will likely begin near the Kikuyo plant, the Japan News <a target="_blank" href="https://japannews.yomiuri.co.jp/business/companies/20250106-231710/" rel="noreferrer noopener">reports</a>.
Taiwan commanded 67% of the global market share in contracted semiconductor manufacturing and nearly 80% in cutting-edge products in 2023, the Japan News cites TrendForce.
Taiwan attempted to shield itself from geopolitical tension by concentrating production on the island. Still, it also remains focused on its geographical diversification to help the world boost its semiconductor base by reducing its dependence on China, whose semiconductor supply chain was disrupted during the 2020 pandemic.
Kumamoto Gov. Takashi Kimura shared with Japan Times the country&#8217;s hopes to attract Taiwan Semiconductor&#8217;s third plant in the prefecture.
The new plant, located in Kikuyo, began commercializing 12-28 nm technology last December. It caters to Sony Group Corp (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/SONY#NYSE">SONY</a>), which produces camera sensors for Apple Inc (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/AAPL#NASDAQ">AAPL</a>).
Taiwan Semiconductor is proficient in making general-purpose chips between 12 and 28 nm. However, chip plants in Japan failed to produce semiconductors thinner than 40 nm, prompting them to tap the Taiwanese chipmaker.
Taiwan Semiconductor is building a new plant in Arizona, where commercialization of 4-nm chips will likely begin between January and March. It aims to complete its debut European plant in Dresden in 2027. The plant targets a quadrupolar production plan with principal plants in Taiwan, Japan, the U.S., and Germany.
Meanwhile, some concerns loom in the form of President-elect Donald Trump taking charge on January 20.
The U.S. posted a significant trade deficit with Taiwan in 2023, prompting Trump to verbally attack the country during his presidential campaigns for allegedly depriving the U.S. of the semiconductor industry.
He suggested redemption by slapping tariffs on Taiwan, which can increase the contract chipmaker&#8217;s production costs since labor costs in the U.S. are about 30% higher than in Taiwan.
Taiwan Semiconductor stock surged over 115% in the last 12 months.
Goldman Sachs&#8216; Bruce Lu projected <a target="_blank" href="https://www.benzinga.com/25/01/42825523/taiwan-semi-likely-for-upside-backed-by-ai-demand-and-advanced-node-pricing-analyst-says" rel="noreferrer noopener">another year of </a>robust revenue growth for Taiwan Semiconductor in 2025E, 26.8%, following 29.4% revenue growth in 2024E (all in USD terms). Demand in leading-edge nodes, mainly supported by AI, backed this growth.
Investors can gain exposure to companies that manufacture semiconductors through ProShares UltraShort Semiconductors (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/SSG#NYSE">SSG</a>) and ProShares UltraShort Semiconductors (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/XSD#NYSE">XSD</a>).
Price Action: TSM stock is up 0.08% to $220.19 premarket at last check Tuesday.
Also Read:
<ul>
<li><a href="https://www.benzinga.com/media/24/12/42721414/nvidia-targets-robotics-as-next-big-opportunity-amid-rising-ai-rivalry" target="_blank" rel="noreferrer noopener">Nvidia Targets Robotics as Next Big Opportunity Amid Rising AI Rivalry</a></li>
</ul>
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Taiwan Semiconductor Ramps Up Production in Japan, US, and Germany to Diversify Away from China

China responded swiftly on Tuesday to new U.S. restrictions on semiconductor technology exports by imposing tighter controls on critical minerals used in <a href="https://www.benzinga.com/topic/semiconductors">chip manufacturing</a>.
The move targets gallium, germanium, and antimony — essential materials for advanced electronics and defense applications, The Wall Street Journal <a href="https://www.wsj.com/world/asia/china-tightens-curbs-on-exports-of-materials-with-chip-making-applications-to-u-s-4348a02c?mod=latest_headlines">reports</a>.
What Happened: A day after the U.S. blacklisted 140 Chinese entities and restricted exports of memory chips vital to artificial intelligence, Beijing retaliated with export bans and reviews for U.S.-bound shipments of these minerals. The Chinese Ministry of Commerce justified the measures as necessary for national security.
China also cautioned its businesses against purchasing American chips due to reliability and safety concerns. 
The restricted minerals are critical to the U.S. economy and defense supply chains, with Beijing accounting for a significant portion of imports between 2019 and 2022. For instance, the U.S. relied on China for 80% of its antimony needs during this period, WSJ reports.
Also Read: <a href="https://www.benzinga.com/economics/macro-economic-events/24/12/42299957/feds-kugler-sees-inflation-progress-but-warns-policy-is-not-on-a-preset-course">Fed&#8217;s Kugler Sees Inflation Progress But Warns: &#8216;Policy Is Not On A Preset Course&#8217;</a>
The new U.S. export controls, which <a href="https://www.benzinga.com/government/regulations/24/12/42265847/biden-targets-china-with-new-chip-restrictions-nvidia-slides">took effect Monday</a>, primarily target Chinese firms such as Naura Technology Group, Huawei-linked companies and equipment manufacturers. These measures also extend restrictions to non-U.S. chip suppliers reliant on American technologies, sparking concern among global players like Taiwan Semiconductor Manufacturing Co. (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/TSM#NYSE">TSM</a>).
Why It Matters: The clash underscores the fragility of global supply chains and the geopolitical stakes tied to semiconductor dominance. With China tightening its grip on critical materials, the U.S. faces mounting pressure to diversify its supply sources. 
Experts warn these developments could reshape the global semiconductor landscape as companies and governments navigate new trade barriers. U.S. firms such as Nvidia Corp. (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/NVDA#NASDAQ">NVDA</a>), Lam Research Corp. (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/LRCX#NASDAQ">LRCX</a>), and KLA Corp. (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/KLAC#NASDAQ">KLAC</a>) may feel the ripple effects alongside international players exempt from these restrictions, including Dutch firm ASM International (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/ASML#NASDAQ">ASML</a>).
ETFs such as the Invesco Semiconductors ETF (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/PSI#NASDAQ">PSI</a>) and the SPDR S&amp;P Semiconductor ETF (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/XSD#NYSE">XSD</a>) could also feel the effects of these trade restrictions, given their exposure to impacted companies.
Read Next:
<ul>
<li><a href="https://www.benzinga.com/news/global/24/12/42301885/south-korea-etfs-won-pare-losses-as-yoon-makes-u-turn-on-martial-law-declaration">South Korea ETFs, Won Pare Losses As Yoon Makes U-Turn On Martial Law Declaration</a></li>
</ul>
Photo by Fahroni via Shutterstock

KLAC

LRCX

PowerShares Exchange-Traded Fund Trust Dynamic Semiconductor Portfolio

China Retaliates Against US Chip Sanctions, Tightens Mineral Exports

On Monday, the outgoing Biden administration will implement its third crackdown on China&#8217;s <a target="_blank" href="https://www.benzinga.com/topic/semiconductors" rel="noreferrer noopener">semiconductor industry</a> within three years, citing the same national security threats as reasons it mentioned for its prior sanctions, intensifying geopolitical tensions between the countries.
The initiative, launching Monday, will impose export restrictions on 140 Chinese entities, including chip equipment manufacturers such as Naura Technology Group and other firms, targeting advanced memory chips and chipmaking tools.
Nvidia Corp (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/NVDA#NASDAQ">NVDA</a>) stock is trading lower on Monday. Prior reports indicated Nvidia&#8217;s potential to earn <a target="_blank" href="https://www.benzinga.com/government/24/10/41204521/nvidias-gpu-sales-at-risk-as-china-pushes-local-ai-chips-in-retaliation" rel="noreferrer noopener">$12 billion in sales</a> from 1 million H20 GPUs in China in 2024.&nbsp;
Also Read: <a target="_blank" href="https://www.benzinga.com/24/11/42244371/stellantis-to-suspend-production-of-fiat-500-ev-at-turin-plant-again-whats-going-on" rel="noreferrer noopener">Stellantis To Suspend Production Of Fiat 500 EV At Turin Plant Again: What&#8217;s Going On?</a>
Reuters reports that the restrictions will also affect Chinese chip toolmakers Piotech and SiCarrier Technology and shipments from nations like Singapore and Malaysia.
The package includes new controls on 24 additional chipmaking tools, software, and high-bandwidth memory chips essential for AI training and high-end applications.
Lam Research Corp (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/LRCX#NASDAQ">LRCX</a>), KLA Corp (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/KLAC#NASDAQ">KLAC</a>), and Applied Materials Inc (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/AMAT#NASDAQ">AMAT</a>) could face significant impacts alongside non-U.S. firms such as Dutch company ASM International (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/ASML#NASDAQ">ASML</a>). These controls are part of a broader strategy to limit Beijing&#8217;s access to advanced technologies critical for its semiconductor sector.
<a target="_blank" href="https://www.benzinga.com/24/11/42244387/nvidia-lam-reasearch-applied-materials-stocks-gain-as-biden-government-eyes-softer-semiconductor-sanctions-against-china" rel="noreferrer noopener">Prior reports indicated</a> that the U.S. proposed to go softer on China for the third semiconductor embargo following intense negotiations with allies like Japan and the Netherlands and American chip equipment makers.
Chinese entities added to the list include over 100 semiconductor and chipmaking toolmakers, two investment companies, and others linked to Huawei Technologies, a telecom giant pivotal to China&#8217;s chip advancements.
Companies on the list will require special licenses to receive shipments from U.S. suppliers, with most license requests likely to be denied.
The new rules also expand the foreign direct product rule, restricting exports from U.S., Japanese, and Dutch manufacturers to essential Chinese chip plants.
Due to agreements with the U.S., Japan and the Netherlands are exempt, which relieves ASML Holding N.V. (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/ASML#NASDAQ">ASML</a>)&nbsp;and&nbsp;Tokyo Electron Ltd. (OTC:<a class="ticker" href="https://www.benzinga.com/stock/TOELY#OTC">TOELY</a>).
However, manufacturers in other nations, such as Israel, South Korea, and Taiwan, are affected, to the dismay of Taiwan Semiconductor Manufacturing Co (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/TSM#NYSE">TSM</a>) and Samsung Electronics Co (OTC:<a class="ticker" href="https://www.benzinga.com/stock/SSNLF#OTC">SSNLF</a>).
Investors can gain exposure to semiconductor stocks through the Invesco Semiconductors ETF (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/PSI#NYSE">PSI</a>) and the SPDR S&amp;P Semiconductor ETF (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/XSD#NYSE">XSD</a>).
Price Actions: At the last check on Monday, NVDA stock was down 0.53% at $137.52 in premarket trading. LRCX is down 0.31%, and AMAT is down 0.32%. ASML is up 0.32%, TSM is up 2.32%.
Also Read:
<ul>
<li><a href="https://www.benzinga.com/24/11/42241689/taiwan-semiconductors-advanced-2nm-chips-to-hit-us-market-by-2028" target="_blank" rel="noreferrer noopener">Taiwan Semiconductor&#8217;s Advanced 2nm Chips To Hit US Market By 2028: Report</a></li>
</ul>
Photo courtesy: Shutterstock

Emerging Markets

AMAT

SSNLF

TOELY

Biden Targets China With New Chip Restrictions, Nvidia Slides

Nvidia Corp (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/NVDA#NASDAQ">NVDA</a>) is advancing technology beyond the digital space, pushing the boundaries of spatial artificial intelligence (AI) and robotics to bring the focus back to the physical world.
Nvidia&#8217;s Vice President of Omniverse and Simulation Technology, Rev Lebaredian, <a target="_blank" href="https://www.cnbc.com/2024/10/02/nvidia-spatial-ai-the-omniverse-next-big-thing.html" rel="noreferrer noopener">told</a> CNBC the real revolution lies in how AI interacts with the physical world.
At the core of Nvidia&#8217;s efforts is the Omniverse platform, where Lebaredian and his team develop precise digital replicas of real-world environments.
Also Read: <a target="_blank" href="https://www.benzinga.com/news/24/10/41139084/nvidia-expands-ai-offerings-with-new-open-source-models-and-unreal-engine-5-plugins" rel="noreferrer noopener">Nvidia Expands AI Offerings with New Open-Source Models and Unreal Engine 5 Plugins</a>
Lebaredian told CNBC creating intelligent robots starts by accurately representing the physical world inside a computer.
Nvidia is applying the technology in autonomous driving, visual assistance, and warehouse automation, where robots can simulate real-world scenarios in virtual spaces.
The stock is trading upwards on Thursday after the U.S. enacted reforms to boost the semiconductor sector.
<a target="_blank" href="https://www.benzinga.com/markets/equities/24/10/41158922/biden-signs-law-to-exempt-certain-us-chipmaking-facilities-from-federal-environmental-reviews-un" rel="noreferrer noopener">Under a fresh ruling</a>, the U.S. government fast-tracked the progress of particular U.S. Chips Act beneficiaries by exempting them from federal environmental reviews. The legislation followed the U.S. Fed rate cut to spur discretionary spending.
Nvidia chief Jensen Huang debunked Wall Street concerns by <a target="_blank" href="https://www.benzinga.com/news/24/10/41156900/nvidia-ceo-jensen-huang-says-demand-for-next-gen-blackwell-gpu-platform-insane-everyone-wants-to-hav" rel="noreferrer noopener">acknowledging huge demand</a> for Nvidia&#8217;s Blackwell&nbsp;GPU, which is in full production and progressing as planned.
Nvidia stock is up over 173% in the last 12 months despite losing over 6% in the previous five days.
Investors can gain exposure to Nvidia through Invesco Semiconductors ETF (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/PSI#NYSE">PSI</a>) and SPDR S&amp;P Semiconductor ETF (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/XSD#NYSE">XSD</a>).
<h2 class="wp-block-heading">Will Nvidia Stock Go Up?</h2>
When trying to assess whether or not NVIDIA will trade higher from current levels, it's a good idea to take a look at analyst forecasts. 
Wall Street analysts have an average 12-month price target of $152.69 on NVIDIA. The Street high target is currently at $200.0 and the Street low target is $90.0. Of all the analysts covering NVIDIA, 33 have positive ratings, 2 have neutral ratings and no one has negative ratings.
In the last month, 2 analysts have adjusted price targets. Here's a look at recent price target changes <a href="https://www.benzinga.com/quote/NVDA/analyst-ratings">[Analyst Ratings]</a>. Benzinga also tracks Wall Street's most accurate analysts. Check out how analysts covering NVIDIA have performed in recent history. 
Stocks don't move in a straight line. The average stock market return is approximately 10% per year. NVIDIA is 155.38% up year-to-date. The average analyst price target suggests the stock could have further upside ahead.
For a broad overview of everything you need to know about NVIDIA, visit <a href="https://www.benzinga.com/quote/NVDA">here</a>. If you want to go above and beyond, there's no better tool to help you do just that than <a href="https://pro.benzinga.com/">Benzinga Pro</a>. Start your free trial today.
Price Action:&nbsp;NVDA stock is up 3.54% at $123.07 at the last check Thursday.
Also Read:
<ul>
<li><a href="https://www.benzinga.com/news/24/09/40980388/amd-chief-predicts-custom-chips-will-outperform-gpus-sees-shift-in-ai-chip-demand-report" target="_blank" rel="noreferrer noopener">AMD Chief Predicts Custom Chips Will Outperform GPUs, Sees Shift in AI Chip Demand: Report</a></li>
</ul>
Image via Shutterstock

What's Going On With Nvidia Stock On Thursday?

Struggling chipmaker Intel Corp (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/INTC#NASDAQ">INTC</a>)&nbsp;continues to receive <a target="_blank" href="https://www.benzinga.com/news/24/09/40968128/qualcomm-reportedly-eyes-potential-takeover-of-intel-amid-60-stock-decline-but-antitrust-concerns-lo" rel="noreferrer noopener">takeover proposals from</a> chip companies, the latest being Arm Holdings Plc (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/ARM#NASDAQ">ARM</a>) following Qualcomm Inc&#8216;s (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/QCOM#NASDAQ">QCOM</a>) proposal earlier.
Arm Holdings recently proposed to acquire Intel&#8217;s product unit. However, Bloomberg <a target="_blank" href="https://www.bloomberg.com/news/articles/2024-09-27/arm-rejected-by-intel-after-approaching-it-about-buying-product-unit?sref=TBDibEcD" rel="noreferrer noopener">reports</a> that Intel is not looking to sell the business division.
Intel stock plunged 31% as it failed to capitalize on the artificial intelligence shift, which is something that contract chipmaker Taiwan Semiconductor Manufacturing Co (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/TSM#NYSE">TSM</a>) excelled at.
Also Read: <a target="_blank" href="https://www.benzinga.com/news/24/09/41012678/super-micro-unveils-next-gen-servers-powered-by-intels-latest-xeon-chips" rel="noreferrer noopener">Super Micro Unveils Next-Gen Servers Powered by Intel&#8217;s Latest Xeon Chips</a>
<figure class="wp-block-image size-full"><img loading="lazy" decoding="async" width="750" height="650" src="https://editorial-assets.benzinga.com/wp-content/uploads/2024/09/27091711/newplot-1-7.png" alt="" class="wp-image-569782" srcset="https://editorial-assets.benzinga.com/wp-content/uploads/2024/09/27091711/newplot-1-7.png 750w,https://editorial-assets.benzinga.com/wp-content/uploads/2024/09/27091711/newplot-1-7-300x260.png 300w" sizes="(max-width: 750px) 100vw, 750px" /></figure>
Meanwhile, some reports indicated Intel&#8217;s plans to convert its <a target="_blank" href="https://www.benzinga.com/news/24/09/40897994/whats-going-on-with-intel-stock-on-tuesday" rel="noreferrer noopener">foundry business into</a> an independent unit, including exploring a spinoff into a publicly traded company. The chipmaker also explored divesting stake in the programmable chip unit&nbsp;Altera.
However, Intel&#8217;s recent big wins included a&nbsp;U.S. chipmaking deal from&nbsp;Amazon.Com Inc&#8217;s (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/AMZN#NASDAQ">AMZN</a>) Amazon Web services and the U.S. Chip grant.
The chipmaker also clarified that it would not divest a majority stake in the struggling <a target="_blank" href="https://www.benzinga.com/news/24/09/40941075/whats-going-on-with-autonomous-driving-stock-mobileye-thursday" rel="noreferrer noopener">Israeli autonomous driving company</a> Mobileye Global Inc (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/MBLY#NASDAQ">MBLY</a>), whose stock is down 66% in the last 12 months.
Intel&#8217;s exploration of stake sales to companies like Qualcomm and Arm could hinder its U.S. subsidy over antitrust grounds, the Financial Times <a target="_blank" href="https://www.ft.com/content/ff0ca77d-ad35-45ba-a493-201a26932efb" rel="noreferrer noopener">reports</a>.
Multiple deals including Nvidia&#8217;s proposal to snap Arm Holdings from&nbsp;Softbank Group Corp (OTC:<a class="ticker" href="https://www.benzinga.com/stock/SFTBF#OTC">SFTBF</a>) (OTC:<a class="ticker" href="https://www.benzinga.com/stock/SFTBY#OTC">SFTBY</a>) and Intel&#8217;s&nbsp;Tower Semiconductor (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/TSEM#NASDAQ">TSEM</a>) deal have succumbed to global regulatory opposition.
The semiconductor sector had a good week, buoyed by the <a target="_blank" href="https://www.benzinga.com/news/earnings/24/09/41046485/whats-going-on-with-nvidia-braodcom-intel-and-other-chip-stocks-on-thursday" rel="noreferrer noopener">key rate cuts</a> in the U.S. and China, an upbeat quarterly print from Micron Technology, Inc (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/MU#NASDAQ">MU</a>), and continued AI investments from Big Tech companies.
Semiconductor ETFs, Invesco Semiconductors ETF (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/PSI#NYSE">PSI</a>) and SPDR S&amp;P Semiconductor ETF (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/XSD#NYSE">XSD</a>), gained 5%- 7% in the last five days.
Price Action: INTC stock is down 0.04% at $23.91 at the last check on Friday.
Photo via Shutterstock

MBLY

SFTBF

SFTBY

TSEM

What's Going On With Intel Stock On Friday?

Thursday&#8217;s trading session unfolded with semiconductor stocks surging despite a drop in Nvidia Corp.&#8217;s (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/NVDA#NASDAQ">NVDA</a>) <a href="https://www.benzinga.com/news/24/08/40620740/nvidia-etfs-split-in-pre-market-after-jensen-huang-led-chip-giant-exceeded-q2-expectations">shares.</a>
Nvidia's earnings were seen as a critical juncture for the broader stock market in August, with the potential to either boost or reverse the recent rally. However, events did not play out as many had expected.
<h3 class="wp-block-heading">Nvidia Shares Fall On Unimpressive Guidance</h3>
Nvidia&#8217;s shares failed to rebound after a negative reaction in Wednesday&#8217;s post-market hours.
The Santa Clara, California-based company reported quarterly revenue of $30 billion, beating estimates of $28.86 billion, reflecting a 15% increase from the previous quarter and an impressive 122% year-over-year growth.
Net income reached $16.6 billion, up 12% from the prior quarter and a significant 168% increase compared to the same quarter last year. Earnings per share came in at 68 cents, surpassing the expected 64 cents.
Despite surpassing Wall Street&#8217;s revenue and earnings forecasts, Nvidia&#8217;s outlook failed to meet investors' already lofty expectations for the coming quarters. The company projected this quarter's revenue at $32.5 billion, plus or minus 2%, slightly above the estimated $31.9 billion, but not enough to excite the market.
See Also: <a href="https://www.benzinga.com/news/24/08/40624703/nvidia-to-rally-over-31-here-are-10-top-analyst-forecasts-for-thursday">NVIDIA To Rally Over 31%? Here Are 10 Top Analyst Forecasts For Thursday</a>
<h3 class="wp-block-heading">7 Semiconductor ETFs Rise</h3>
Investors likely viewed Nvidia's quarterly results as a standalone event, opting for caution as the company's guidance did not significantly exceed expectations. 
Yet, they maintained a generally positive sentiment toward the broader market. Competitors of the AI giant experienced a marked rally, deviating from their usual trend of closely following Nvidia&#8217;s performance. 
&#8220;We believe Nvidia's comments on Data Center demand were constructive,&#8221; Toshiya Hari, an analyst at Goldman Sachs, stated. The company&#8217;s outlook for data center demand bodes well for other semiconductor firms involved in the AI infrastructure build-out.
Hari highlighted &#8220;ongoing tightness in High-Bandwidth Memory as a material positive for Buy-rated Micron Technology Inc. (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/MU#NASDAQ">MU</a>).&#8221;
Even exchange-traded funds (ETFs) with a significant Nvidia exposure witnessed positive performance during Thursday's trading session. Here are some notable movers:
<ul>
<li>Strive U.S. Semiconductor ETF (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/SHOC#NYSE">SHOC</a>): up 0.7%, despite Nvidia comprising 30% of the fund.</li>
<li>VanEck Semiconductor ETF (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/SMH#NYSE">SMH</a>): up 0.8%.</li>
<li>VanEck Fabless Semiconductor ETF (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/SMHX#NYSE">SMHX</a>): up 1.2%. This newly launched ETF focuses on companies that specialize in chip design and development while outsourcing production.</li>
<li>Invesco PHLX Semiconductor ETF (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/SOXQ#NYSE">SOXQ</a>): up 1.4%.</li>
<li>First Trust Nasdaq Semiconductor ETF (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/FTXL#NASDAQ">FTXL</a>): up 1.6%.</li>
<li>iShares Semiconductor ETF (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/SOXX#NYSE">SOXX</a>): up 1.7%.</li>
<li>SPDR S&amp;P Semiconductor ETF (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/XSD#NYSE">XSD</a>): up 2.7%.</li>
</ul>
<h3 class="wp-block-heading">Thursday&#8217;s Top-Performing Semiconductor Stocks</h3>
<figure class="wp-block-table is-style-stripes"> 
<table>
<tbody>
<tr>
<td>Name</td>
<td>1-Day %</td>
</tr>
<tr>
<td>Arm Holdings pic (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/ARM#NASDAQ">ARM</a>)</td>
<td>4.81%</td>
</tr>
<tr>
<td>Intel Corporation (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/INTC#NASDAQ">INTC</a>)</td>
<td>4.50%</td>
</tr>
<tr>
<td>Marvell Technology, Inc. (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/MRVL#NASDAQ">MRVL</a>)</td>
<td>4.29%</td>
</tr>
<tr>
<td>ON Semiconductor Corporation (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/ON#NASDAQ">ON</a>)</td>
<td>4.18%</td>
</tr>
<tr>
<td>Qorvo, Inc. (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/QRVO#NASDAQ">QRVO</a>)</td>
<td>3.73%</td>
</tr>
<tr>
<td>Teradyne, Inc. (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/TER#NASDAQ">TER</a>)</td>
<td>3.37%</td>
</tr>
<tr>
<td>Onto Innovation Inc. (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/ONTO#NASDAQ">ONTO</a>)</td>
<td>3.06%</td>
</tr>
<tr>
<td>Microchip Technology Incorporated (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/MCHP#NASDAQ">MCHP</a>)</td>
<td>2.98%</td>
</tr>
<tr>
<td>Analog Devices, Inc. (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/ADI#NASDAQ">ADI</a>)</td>
<td>2.82%</td>
</tr>
<tr>
<td>Skyworks Solutions, Inc. (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/SWKS#NASDAQ">SWKS</a>)</td>
<td>2.80%</td>
</tr>
</tbody>
</table>
</figure>
Now Read:
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<li><a href="https://www.benzinga.com/analyst-ratings/analyst-color/24/08/40628887/nvidia-analysts-say-pullback-is-buying-opportunity-pushing-ai-envelope-too-signific">Nvidia Analysts Say Pullback Is Buying Opportunity: &#8216;Pushing AI Envelope Too Significant To Slow Down&#8217;</a></li>
</ul>

Earnings

Mid Cap

Small Cap

MRVL

ONTO

QRVO

EA Series Trust Strive U.S. Semiconductor ETF

SHOC

SMHX

SWKS

Semiconductor ETFs Rally Despite Nvidia Dip: 10 Chipmakers Defy The AI Darling's Drop

Taiwan Semiconductor Manufacturing Co (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/TSM#NYSE">TSM</a>) continues to lead the global foundry market, holding a 62% share in the second quarter of 2024. Samsung Electronics (OTC:<a class="ticker" href="https://www.benzinga.com/stock/SSNLF#OTC">SSNLF</a>), which has a 3% market share, follows suit.
Taiwan Semiconductor&#8217;s $877 billion market cap reflects a strong demand for artificial intelligence (AI) and a robust semiconductor ecosystem.
Also Read: <a target="_blank" href="https://www.benzinga.com/government/24/08/40554768/taiwan-semiconductor-ramps-up-overseas-investments-with-1-95b-in-subsidies-eyes-long-term-growth" rel="noreferrer noopener">Taiwan Semiconductor Ramps Up Overseas Investments with $1.95B in Subsidies, Eyes Long-Term Growth</a>
It also looks to double its production capacity for Chip on Wafer on Substrate (CoWoS) technology by 2024.
Additionally, Taiwan Semiconductor intends to raise prices for its 3-nanometer and 5-nanometer process products by up to 8%, a strategic move that could further solidify its market position and enhance profitability.
Taiwan Semiconductor clocked a <a target="_blank" href="https://www.benzinga.com/markets/asia/24/07/39832197/apple-nvidia-supplier-tsmc-reports-strong-q2-results-amid-booming-demand-for-ai-chips-guides-q3-abov" rel="noreferrer noopener">second-quarter topline</a> growth of 40.1% year-over-year, quashing the analyst consensus backed by strong demand for 3-nanometer and 5-nm technologies.
Samsung Electronics also makes strategic advancements, particularly in AI and high-performance computing (HPC) applications. The company is focusing on advancing its 2nm process to meet future technologies&#8217; high-performance, low-power, and high-bandwidth requirements.
Intel Corp (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/INTC#NASDAQ">INTC</a>) announced plans to introduce 1.4nm ultra-fine processes by 2027. It clocked a <a target="_blank" href="https://www.benzinga.com/news/24/08/40528681/intel-board-member-lip-bu-tan-resigns-amid-chipmakers-struggle-with-cost-cuts" rel="noreferrer noopener">second-quarter topline</a> growth of 0.9% year-on-year, trailing the analyst estimate. It shared plans to downsize its workforce by over 15%.
Taiwan Semiconductor stock gained 80% in the last 12 months. Intel plunged over 40%.
<figure class="wp-block-image size-full"><img loading="lazy" decoding="async" width="750" height="650" src="https://editorial-assets.benzinga.com/wp-content/uploads/2024/08/27065117/newplot-1-8.png" alt="" class="wp-image-515567" srcset="https://editorial-assets.benzinga.com/wp-content/uploads/2024/08/27065117/newplot-1-8.png 750w,https://editorial-assets.benzinga.com/wp-content/uploads/2024/08/27065117/newplot-1-8-300x260.png 300w" sizes="(max-width: 750px) 100vw, 750px" /></figure>
Investors can gain exposure to the semiconductor sector through SPDR S&amp;P Semiconductor ETF (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/XSD#NYSE">XSD</a>) and ProShares Ultra Semiconductors (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/USD#NYSE">USD</a>).
Price Action:&nbsp;TSM stock traded lower by 0.81% at $167.70 premarket at the last check Tuesday.
Disclaimer: This content was partially produced with the help of AI tools and was reviewed and published by Benzinga editors.
Photo by Jack Hong via Shutterstock

Taiwan Semiconductor Leads Foundry Market, Samsung and Intel Ramp Up Advanced Process Efforts: Report

The battered tech sector continued to suffer on Monday as <a href="https://www.benzinga.com//node/40167312">a global sell-off of stocks and other assets</a> pulled markets towards bear territory.
A slight uptick in U.S. unemployment, published on Friday, <a href="https://www.benzinga.com/news/large-cap/24/08/40131214/market-turmoil-july-jobs-report-geopolitical-risks-spark-stock-sell-off-as-traders-flee-to-treasur">reignited fears of a recession that rippled across the globe</a>. Some indices saw historical drops, including Japan's Nikkei 225 stock index, <a href="https://www.benzinga.com/markets/asia/24/08/40156460/bloodbath-in-asia-and-europe-japans-index-crashes-13-gold-near-record-highs-global-markets-update-wh">which dropped more than 13.4% at its lowest point on Monday</a>.
The Nasdaq Composite has been the worst affected among the main U.S. averages.
Some Saw It Coming: The correction <a href="https://www.benzinga.com/analyst-ratings/analyst-color/24/07/39676340/market-correction-highly-likely-before-2024-election-says-morgan-stanley-cio">had been anticipated by several analysts</a> for at least a month before the downturn began. Wedbush's Daniel Ives minimized the panic, calling the sell-off <a href="https://www.benzinga.com/analyst-ratings/analyst-color/24/08/40151107/tech-sell-off-takes-qqq-to-correction-territory-nvidia-sheds-over-5-for-week-analys">"just a white knuckle moment in a multi-year bull run for tech stocks</a>."
Ives and other pundits have argued against <a href="https://www.benzinga.com/markets/equities/24/08/40165496/what-are-stock-bubbles-and-when-do-they-burst-what-to-know-as-nvidia-tech-sector-sink#google_vignette">fears of a market bubble bursting around AI-oriented stocks</a>.
Tesla Inc (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/TSLA#NASDAQ">TSLA</a>) CEO Elon Musk has said that renowned investors like Warren Buffett <a href="https://www.benzinga.com/news/24/08/40152088/elon-musk-says-warren-buffett-is-clearly-expecting-a-correction-after-berkshire-sold-nearly-half-of">were "clearly expecting a correction</a>." Tesla stock is down over 3% on Monday at the time of this writing, with the EV maker losing over 13% in the past five trading days.
On Monday, Buffett's Berkshire Hathaway Inc Class B (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/BRK#NYSE">BRK</a>) <a href="https://www.benzinga.com/top-stories/24/08/40165638/warren-buffetts-apple-sell-off-echoes-chevron-move-what-it-means-for-investors">got rid of half its stake in </a>Apple Inc (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/AAPL#NASDAQ">AAPL</a>), causing the tech giant to lose almost 10% of its value after the market bell rang on Monday morning. The company quickly recovered throughout the day, and is down 5.5% on an intraday basis at the time of writing.
<ul>
<li>Berkshire itself has also been hit by the sell-off, and is down over 5% in the last five trading days.</li>
</ul>
<ul>
<li>At its worst point on Monday, Apple&#8217;s market cap lost $364 billion in just a few minutes when compared to its closing price on Friday. That exceeds the combined market cap of 3M Co (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/MMM#NYSE">MMM</a>), Dow Inc (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/DOW#NYSE">DOW</a>), DuPont de Nemours Inc (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/DD#NYSE">DD</a>) and BASF SE (OTC:<a class="ticker" href="https://www.benzinga.com/stock/BASFY#OTC">BASFY</a>).</li>
</ul>
<ul>
<li>Amazon.com Inc (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/AMZN#NASDAQ">AMZN</a>) has also been struck by the market panic, losing over 12% in the last five trading days. The company is down 4.1% on Monday alone. At its lowest point on Monday, Amazon's market cap was down by $171 billion when compared to Friday's closing price. That's more than Intel Corp&#8216;s (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/INTC#NASDAQ">INTC</a>) entire market cap.</li>
</ul>
<ul>
<li>Microsoft Corp (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/MSFT#NASDAQ">MSFT</a>) is down by 7.3% in the last five trading days and 2.8% on Monday. The company&#8217;s market cap was down $172 billion at its lowest point on Monday, or three times the combined market caps of American Airlines Group Inc (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/AAL#NASDAQ">AAL</a>), United Airlines Holdings Inc (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/UAL#NASDAQ">UAL</a>), Delta Air Lines, Inc. (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/DAL#NYSE">DAL</a>) and Southwest Airlines Co (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/LUV#NYSE">LUV</a>).</li>
</ul>
Read also: <a href="https://www.benzinga.com//node/40166870">Google&#8217;s Bold AI Ad Backfired Amidst Olympic Fervor, Stirring Public Debate On Technology Versus Human Creativity As Shares Tumble 6.59% At Opening</a>
Nasdaq Takes The Worst Blow: The Nasdaq Composite <a href="https://www.benzinga.com/news/earnings/24/08/40157665/nasdaq-r2k-futures-tumble-over-4-vix-spikes-over-100-bitcoin-plunges-hard-as-global-sell-off-deepen">has been the worst hit among the major indices</a>. The average, which covers the tech-heavy Nasdaq exchange, has lost about 6% of its value in the last five days.
ETFs following the 100 biggest companies in the Nasdaq have also taken a hit. Invesco NASDAQ 100 ETF (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/QQQM#NASDAQ">QQQM</a>) is down 5.3% in the last five days, following a similar trajectory of its sibling fund Invesco QQQ Trust, Series 1 (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/QQQ#NASDAQ">QQQ</a>).
<a href="https://www.benzinga.com/markets/24/08/40142331/chip-stocks-staring-at-another-bloodbath-as-intel-tumbles-nvidia-dips-4-asml-crumbles-over-6-whats-a">Semiconductor stocks continued to lead the drop</a> after a months-long rally that took major players to record market caps.
<ul>
<li>Intel Corp has been one of the worst hit in the sell-off, losing more than 34% in the last five trading days, with losses of almost 6% on Monday alone. The generalized market panic was added <a href="https://www.benzinga.com/news/earnings/24/08/40136668/intels-stock-plummets-after-earnings-what-to-know">on top of the company's worse-than-expected quarterly results</a> last week.</li>
</ul>
<ul>
<li>NVIDIA Corp (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/NVDA#NASDAQ">NVDA</a>) has lost 10% of its value in the last five trading days and 6.4% on Monday alone. The company saw losses of more than 13% on Monday at the market open, quickly recovering throughout the day. Nvidia&#8217;s market cap was down by $407 billion at its lowest point on Monday, when compared to its Friday closing price. That's about half the entire government spending on Medicare for 2023.</li>
</ul>
<ul>
<li>Taiwan Semiconductor Mfg. Co. Ltd. (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/TSM#NYSE">TSM</a>) experienced a drop of over 10% at its worst point on Monday, but quickly recovered and is down 2% at the time of this writing, with losses of over 8% in the last five trading days.</li>
</ul>
<ul>
<li>VanEck Semiconductor ETF (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/SMH#NASDAQ">SMH</a>), the largest ETF following the semiconductor sector, has lost 11% of its value in the last five trading days and is down 2.1% on Monday.</li>
</ul>
<ul>
<li>iShares Semiconductor ETF (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/SOXX#NASDAQ">SOXX</a>) and SPDR S&amp;P Semiconductor ETF (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/XSD#NYSE">XSD</a>), which also follow the chips sector, have experienced a similar trend.</li>
</ul>
Read Next: 
<ul>
<li><a href="https://www.benzinga.com//node/40166877">Will Bitcoin Or Ethereum Recover More Faster From The Crash? Here&#8217;s What Technical Analysis Says</a></li>
</ul>
Image created using Shutterstock photos.

BASFY

QQQM

TSLA

Nvidia, Microsoft, Apple, Amazon Erase $1.1 Trillion In Monday Sell-Off: Bubble Burst Or Market Correction?

Taiwan Semiconductor Manufacturing Co (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/TSM#NYSE">TSM</a>) saw its shares decline Friday despite reporting substantial second-quarter profits following a verbal attack from former President Donald Trump.
Trump questioned the U.S. <a target="_blank" href="https://www.benzinga.com/government/24/07/39816230/whats-going-on-with-nvidia-amd-and-semiconductor-peer-stocks-on-wednesday" rel="noreferrer noopener">obligation to defend</a> Taiwan, flagging the lack of a formal defense treaty between the U.S. and Taiwan, unlike with South Korea and Japan, the Financial Times <a target="_blank" href="https://www.ft.com/content/2d464117-1aed-4918-8ce6-db341a59735a" rel="noreferrer noopener">reports</a>. Taiwan Semiconductor stock lost over 6% so far this week.
The key Nvidia Corp (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/NVDA#NASDAQ">NVDA</a>) supplier announced a net profit of $7.6 billion for <a target="_blank" href="https://www.benzinga.com/news/24/07/39842530/whats-going-on-with-nvidia-and-amd-stocks-on-thursday" rel="noreferrer noopener">the June quarter</a>, surpassing market expectations as continued artificial intelligence demand translates into tailwinds.
<figure class="wp-block-image size-full"><img loading="lazy" decoding="async" width="750" height="650" src="https://editorial-assets.benzinga.com/wp-content/uploads/2024/07/19054322/newplot-44.png" alt="" class="wp-image-445140" srcset="https://editorial-assets.benzinga.com/wp-content/uploads/2024/07/19054322/newplot-44.png 750w,https://editorial-assets.benzinga.com/wp-content/uploads/2024/07/19054322/newplot-44-300x260.png 300w" sizes="(max-width: 750px) 100vw, 750px" /></figure>
It also projected a more than one-third increase in third-quarter sales.
With Taiwan holding a 90% market share in AI server production, Taiwan Semiconductor&#8217;s role in the global supply chain is irreplaceable.
In 2023, the AI chip market reached $53.6 billion, as per <a target="_blank" href="https://www.statista.com/statistics/1283358/artificial-intelligence-chip-market-size/#:~:text=In%202023%2C%20the%20artificial%20intelligence,billion%20U.S.%20dollars%20in%202025." rel="noreferrer noopener">Statista</a>. Projections indicate it will rise to $71.3 billion by the end of 2024 as interest in AI applications continues to grow, with estimates suggesting the market will exceed $90 billion in 2025.
However, political risks for Taiwan Semiconductor and other Taiwanese companies are rising as China intensifies threats and military exercises around the island, FT writes. Approximately 80-90% of Taiwan Semiconductor&#8217;s production capacity is based in Taiwan.
Taiwan Semiconductor has consistently stated that it will maintain most of its manufacturing, research, and development in Taiwan while investing $65 billion in three factories in Arizona, USA.
Trump, a Republican presidential candidate, added to the uncertainty by suggesting that Taiwan should compensate the U.S. for its defense.
Consequently, AI chip stocks mainly dependent on Taiwan Semiconductor, like Nvidia and&nbsp;Advanced Micro Devices, Inc (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/AMD#NASDAQ">AMD</a>), saw a selloff this week. Nvidia lost over 5%, and AMD lost&nbsp;over 14% so far this week. AI server company and a key Nvidia supplier Super Micro Computer, Inc (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/SMCI#NASDAQ">SMCI</a>) lost 10% so far this week.
<figure class="wp-block-image size-full"><img loading="lazy" decoding="async" width="750" height="650" src="https://editorial-assets.benzinga.com/wp-content/uploads/2024/07/19060047/newplot-45.png" alt="" class="wp-image-445172" srcset="https://editorial-assets.benzinga.com/wp-content/uploads/2024/07/19060047/newplot-45.png 750w,https://editorial-assets.benzinga.com/wp-content/uploads/2024/07/19060047/newplot-45-300x260.png 300w" sizes="(max-width: 750px) 100vw, 750px" /></figure>
According to <a target="_blank" href="https://www.globenewswire.com/news-release/2024/07/17/2914745/0/en/Semiconductor-Market-Size-Expected-to-Reach-USD-1-137-57-Billion-by-2033.html" rel="noreferrer noopener">Precedence Research</a>, the global semiconductor market was valued at $584.17 billion in 2024 and is projected to grow to approximately $1.14 trillion by 2033, with a CAGR of 7.64% from 2024 to 2033. Investors can gain exposure to the semiconductor sector through Invesco Semiconductors ETF (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/PSI#NYSE">PSI</a>) and SPDR S&amp;P Semiconductor ETF (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/XSD#NYSE">XSD</a>).
Price Actions:&nbsp;TSM shares traded lower by 0.62% at $170.80 premarket at the last check Friday.
Disclaimer: This content was partially produced with the help of AI tools and was reviewed and published by Benzinga editors.
Photo via Shutterstock

SMCI

AI Chip Stocks Nvidia, AMD, Taiwan Semi Saw A Selloff This Week -  What's Going On?

June closed on a high note for the stock market, with the S&amp;P 500, tracked by the SPDR S&amp;P 500 ETF Trust (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/SPY#NYSE">SPY</a>), gaining 3.2%, despite significant disparities in <a href="https://www.benzinga.com/etfs">sector and industry performances.</a>
The technology sector, as tracked by the Technology Select Sector SPDR Fund (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/XLK#NYSE">XLK</a>), led the 11 S&amp;P 500 sectors in performance last month, surging 7.7% and achieving its strongest monthly gain this year. 
In stark contrast, utilities lagged, with the Utilities Select Sector SPDR Fund (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/XLU#NYSE">XLU</a>) dropping 6.3%, marking the worst month since September 2023.
<h3 class="wp-block-heading">Top Performing Industry ETFs In June</h3>
The iShares Expanded Tech-Software Sector ETF (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/IGV#NYSE">IGV</a>) rallied 11.3% last month, topping the rankings among industry ETFs. 
Hot on its heels was the VanEck Semiconductor ETF (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/SMH#NYSE">SMH</a>), which climbed 8.4%, showcasing strong momentum in the semiconductor sector. 
Since hitting its low in October 2023, the VanEck Semiconductor ETF has rallied by an astounding 87%, and over 200% since October 2022, reflecting the spectacular growth in AI-driven stocks.
Securing the third spot in terms of monthly performance, the SPDR S&amp;P Biotech ETF (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/XBI#NYSE">XBI</a>) gained 4%. 
Within the software sector, standout performers included Adobe Inc. (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/ADBE#NASDAQ">ADBE</a>), which surged by 24.9%, CrowdStrike Holdings, Inc. (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/CRWD#NASDAQ">CRWD</a>) with a 22.1% increase, and Oracle Corporation (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/ORCL#NYSE">ORCL</a>), up by 20%.
Broadcom Inc. (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/AVGO#NASDAQ">AVGO</a>) led chipmakers with a 21% rise. Universal Display Corporation (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/OLED#NYSE">OLED</a>) followed closely with a 19.7% increase, and Qorvo, Inc. (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/QRVO#NASDAQ">QRVO</a>) posted an 18% gain. 
Among chipmakers, Broadcom Inc. (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/AVGO#NASDAQ">AVGO</a>), Universal Display Corporation (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/OLED#NYSE">OLED</a>) and Qorvo, Inc. (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/QRVO#NASDAQ">QRVO</a>) led gains, with performances of 21%, 19.7% and 18%, respectively.
In the biotech arena, Scilex Holding Company (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/SCLX#NASDAQ">SCLX</a>) experienced a 78.8% spike, making it the top industry gainer. Alnylam Pharmaceuticals, Inc. (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/ALNY#NASDAQ">ALNY</a>) surged by 63.7%, while Avidity Biosciences, Inc. (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/RNA#NASDAQ">RNA</a>) saw a robust 52% increase.
<h3 class="wp-block-heading">Top Performing Industry ETFs By Inflows In June</h3>
Examining fund flows, the VanEck Semiconductor ETF has emerged as a top choice for investors, attracting over $1 billion according to Tradingview data, and achieving its ninth consecutive month of inflows. Year-to-date the fund has registered $4.60 billion in net inflows.
The iShares Expanded Tech-Software Sector ETF pulled in approximately $480 million in June, breaking a six-month streak of outflows and registering its highest monthly inflows since September 2022. Yet, its year-to-date net flows are still negative, down by $1.15 billion. 
The iShares Biotechnology ETF (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/IBB#NYSE">IBB</a>) collected $148 million in inflows last month, reflecting strong investor interest. Another industry witnessing robust inflows was represented by the Global X Copper Miners ETF (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/COPX#NYSE">COPX</a>), which attracted about $130 million.
Read Next:
<ul>
<li><a href="https://www.benzinga.com/analyst-ratings/analyst-color/24/07/39577080/manufacturing-contracts-more-than-expected-in-june-putting-pressure-on-profitabilit">Manufacturing Contracts More Than Expected In June, &#8216;Putting Pressure On Profitability&#8217;: Yields Rise, Stocks Fall</a></li>
</ul>
Photo: Shutterstock

Biotech

Health Care

ADBE

ALNY

COPX

CRWD

OLED

ORCL

iShares FTSE NAREIT Residential PLUS Capped Index Fund

SCLX

Top Performing Industry ETFs In June: Software Leads Returns, Chipmakers Attract Most Inflows

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