iShares Semiconductor ETF (SOXX) Up 40% Yearly, Driven by AI Boom
Written by Emily J. Thompson, Senior Investment Analyst
Updated: 1h ago
0mins
Source: NASDAQ.COM
- AI-Driven Surge: The iShares Semiconductor ETF (SOXX) surged 40% over the past year, primarily driven by strong performances from top chip stocks like Nvidia, AMD, and Broadcom, indicating the ongoing growth potential of the AI sector.
- Outstanding Market Performance: SOXX skyrocketed 1,160% in the last year, reflecting a golden age for semiconductors, and is expected to continue leading the market into 2026 as it remains central to new technologies.
- Soaring Demand: Micron's high-bandwidth memory chip demand has surged, significantly boosting its sales and profits, with the stock tripling last year, further solidifying SOXX's market position.
- Optimistic Investment Outlook: As of January 15, SOXX is already up 11.8% year-to-date, indicating a strong potential to outperform the market again if the AI boom continues.
Analyst Views on AMD
Wall Street analysts forecast AMD stock price to rise over the next 12 months. According to Wall Street analysts, the average 1-year price target for AMD is 281.78 USD with a low forecast of 200.00 USD and a high forecast of 350.00 USD. However, analyst price targets are subjective and often lag stock prices, so investors should focus on the objective reasons behind analyst rating changes, which better reflect the company's fundamentals.
37 Analyst Rating
27 Buy
10 Hold
0 Sell
Moderate Buy
Current: 227.920
Low
200.00
Averages
281.78
High
350.00
Current: 227.920
Low
200.00
Averages
281.78
High
350.00
About AMD
Advanced Micro Devices, Inc. is a global semiconductor company. The Company is focused on high-performance computing, graphics and visualization technologies. Its segments include Data Center, Client and Gaming, and Embedded. Data Center segment includes artificial intelligence (AI) accelerators, microprocessors (CPUs) for servers, graphics processing units (GPUs), accelerated processing units (APUs), data processing units (DPUs), Field Programmable Gate Arrays (FPGAs), smart network interface Cards (SmartNICs) and Adaptive system-on-Chip (SoC) products for data centers. Client and Gaming segment includes CPUs, APUs, chipsets for desktops and notebooks, discrete GPUs, and semi-custom SoC products and development services. Embedded segment includes embedded CPUs, GPUs, APUs, FPGAs, system on modules (SOMs), and Adaptive SoC products. It markets and sells its products under the AMD trademark. Its products include AMD EPYC, AMD Ryzen, AMD Ryzen PRO, Virtex UltraScale+, and others.
About the author
Emily J. Thompson
Emily J. Thompson, a Chartered Financial Analyst (CFA) with 12 years in investment research, graduated with honors from the Wharton School. Specializing in industrial and technology stocks, she provides in-depth analysis for Intellectia’s earnings and market brief reports.
