Top semiconductor stocks to watch in 2026
The semiconductor industry powers everything from smartphones to artificial intelligence. Learn how to trade and invest in these stocks from Singapore, including which companies to watch and how to manage risks.
Important to know
This article is intended for educational and informational purposes only and does not constitute any form of investment advice. Please ensure that you understand the risks and consider your specific investment objectives, financial situation or particular needs before making a commitment to trade.
Key takeaways
- Semiconductor stocks benefit from AI growth and tech trends but are highly volatile
- Key risks include supply chain disruptions, trade restrictions, and cyclical demand
- Trade these stocks via share CFDs with IG Singapore, or invest in them via the IG Markets Singapore app
What are semiconductor stocks?
Semiconductor stocks are shares in companies that design, manufacture or sell microchips. These chips power almost every piece of modern technology – from smartphones and cars to AI systems and data centres.
Think of it as three main types of companies:
- Chip designers like Nvidia create the blueprints
- Manufacturers like Taiwan Semiconductor Company build the actual chips
- Equipment makers like ASML build the machines that make chips possible
Why are semiconductor stocks popular?
Semiconductor stocks are popular because they power the technologies shaping our future.
Their appeal comes from:
- Strong demand: chips are essential in nearly every digital device and system.
- AI and tech growth: companies like Nvidia and AMD benefit directly from the AI boom.
- Limited suppliers: a small group of global players dominates, making it easier for traders to follow the market.
- Global relevance: geopolitical and economic shifts can move these stocks quickly, creating frequent trading opportunities.
With so many industries relying on semiconductors, traders and investors see this sector as a gateway to long-term trends and short-term momentum.
Possible risks of trading and investing in semiconductor stocks
Semiconductor stocks can be sensitive to global events and market dynamics. Here are a few key risks to consider:
- Supply chain concentration: A large portion of global chip manufacturing is concentrated in just a few companies and regions. Any disruption in production or logistics can affect availability and pricing.
- Trade and export controls: Changes in international trade policy or export regulations can impact the flow of semiconductor technology.
- Sector volatility: The semiconductor industry is cyclical, with sharp fluctuations tied to demand from sectors like smartphones, PCs, and cloud computing.
Top 5 semiconductor stocks to watch
These semiconductor stocks offer exposure to AI, high-performance computing, and the chipmaking supply chain. Whether you're trading or investing on momentum, volatility, or major earnings catalysts, these companies are available for trading and investing on IG Singapore. All information is correct as of January 2026.
Company
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52-week low share price*
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52-week high share price*
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Available for CFD trading with IG?
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Available for investing with IG Markets Singapore app?
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US$86.63
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US$212.19
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✅
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✅
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US$17.66
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US$45.73
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✅
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✅
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Taiwan Semiconductor Manufacturing Company (TSMC)
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US$134.25
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US$333.08
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✅
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✅
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Advanced Micro Devices Inc (AMD)
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US$76.48
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US$267.08
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✅
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✅
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US$138.10
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US$414.61
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✅
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✅
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*As of 12 January 2026
1. Nvidia Corporation (NASDAQ: NVDA)
Sub-sector: GPUs and AI computing
Market cap: US$4.5 trillion
Latest earnings: Nvidia reported ‘record’ revenue of US$57.0 billion for the third quarter (Q3) of FY2026, up 22% quarter-on-quarter (QoQ) and 62% year-on-year (YoY). Net income surged to US$31.9 billion, compared to US$19.3 billion a year ago. Gross margin fell to 73.4% from 75.0% a year ago.
Cash flow: Cash and cash equivalents rose to US$11.5 billion from US$9.1 billion a year ago, as of 26 October 2025. Free cash flow rose to US$22.1 billion for the quarter from US$13.5 billion a year ago.
Analyst ratings and share price targets: As of January 2026, 90% of analysts polled by FactSet rated Nvidia a ‘buy’, alongside an average 12-month price target of US$260 per share. The price target equates to a 41% upside from Nvidia’s latest share price.
Business outlook: Management guided Q4 FY2026 revenue to be around US$65 billion, citing ‘off the charts’ demand for Blackwell GPUs and exponential AI compute growth.
2. Intel Corporation (NASDAQ: INTC)
Sub-sector: CPUs, foundry services, AI chips
Market cap: US$215 billion
Latest earnings: Intel reported Q3 FY2025 revenue of US$13.7 billion, up 3% YoY. Net income attributable to Intel was US$4.1 billion, compared to a loss of US$16.6 billion in Q3 FY2024. Diluted earnings per share (EPS) rose significantly to US$0.90 (unadjusted), while adjusted diluted EPS also rose to US$0.23. Gross margin improved significantly to 38.2% (unadjusted).
Cash flow: Intel generated US$2.5 billion in operating cash flow during Q3 FY2025. Cash and equivalents stood at US$11.1 billion as of 27 September 2025, supported by US$5.7 billion in US government funding and strategic investments from Nvidia (US$5.0 billion) and SoftBank (US$2.0 billion).
Analyst ratings and share price targets: Intel shares have an overall rating of ‘hold’, with 72% of analysts polled by FactSet rating it as such, 13% rating it a ‘buy’, and 15% rating it a ‘sell’. The stock also has a 12-month average price target of US$38.70.
Business outlook: Intel guided for Q4 FY2025 revenue to be in the range of US$12.8 billion to US$13.8 billion. Unadjusted EPS is expected to be -US$0.14 with adjusted EPS to be US$0.08. Management also emphasised accelerating AI demand across x86 CPUs, custom ASICs, and foundry services.
3. Taiwan Semiconductor Manufacturing Company (NYSE: TSM)
Sub-sector: Contract manufacturing (foundry)
Market cap: US$1.7 trillion
Latest earnings: TSMC reported consolidated Q3 2025 revenue of NT$989.9 billion (US$33.1 billion), up 30.3% YoY and 6.0% QoQ. Net income and diluted EPS rose 39.1% and 39.0% YoY respectively. Gross margin improved to 59.5% from 57.8% in Q3 2024, operating margin improved to 50.6%, and net profit margin improved to 45.7%.
Cash flow: Operating cash flow for Q3 FY2025 totaled NT$427 billion as of 30 September 2025, up from NT$392 billion a year ago. Cash and cash equivalents was NT$2.47 trillion at the end of Q3 FY2025, versus NT$1.89 trillion at the end of Q3 FY2024.
Analyst ratings and share price targets: TSMC shares have a near-consensus rating of ‘buy’ (98%) based on FactSet insights published on the IG Markets Singapore app. The stock also has a 12-month average price target of US$367, equating to an upside of 13%.
Business outlook: Management guided Q4 FY2025 revenue to be between US$32.2 billion and US$33.4 billion, with gross margin expected to be between 59% and 61%. –57%. Operating profit margin is also guided to be between 49% and 51%.
4. Advanced Micro Devices (NASDAQ: AMD)
Sub-sector: CPUs, GPUs, and AI accelerators
Market cap: US$361 billion
Latest earnings: AMD posted ‘record’ Q3 revenue of US$9.2 billion, up 36% YoY and 20% QoQ. Net income was US$1.24 billion (unadjusted), compared to US$771 million a year ago. Diluted EPS came in at US$0.75 (unadjusted) and US$1.20 (adjusted). Gross margin improved to 52% (unadjusted) and 54% (adjusted).
Cash flow: AMD generated free cash flow of US$1.53 billion in Q3 FY2025, up from US$496 million a year prior. Cash and equivalents stood at US$4.8 billion as of 27 September 2025, up from US$3.9 billion a year prior.
Analyst ratings and share price targets: AMD shares have a majority ‘buy’ rating from analysts polled by FactSet as of mid-January 2026. The stock also received a 12-month average price target of US$288 per share, indicating a potential upside of over 30%.
Business outlook: Management guided for Q4 FY2025 revenue to approximately US$9.6 billion, plus or minus US$300 million, with non-GAAP (adjusted) gross margin expected at ~54.5%.
5. Broadcom Inc. (NASDAQ: AVGO)
Sub-sector: Networking and AI infrastructure
Market cap: US$1.7 trillion
Latest earnings: Broadcom saw Q4 FY2025 grow 28% YoY to US$18.0 billion. Net income burgeoned 97% YoY to US$8.5 billion (unadjusted) from US$4.3 billion a year ago. Adjusted EBITDA reached US$12.2 billion, representing 68% of revenue. For FY2025, total revenue was US$65.0 billion, up 42% YoY, driven by strong demand for AI accelerators and networking semiconductors.
Cash flow: Broadcom generated US$7.7 billion in operating cash flow during Q4 FY2025. Free cash flow grew 36% YoY to US$7.5 billion after capital expenditures of ~US$237 million. The company ended FY2025 (2 November 2025) with ~US$16 billion in cash and equivalents.
Analyst ratings and share price targets: As of January 2026, 94% of analysts rated Broadcom stocks a ‘buy’, with an average 12-month stock price target of US$461 per share (30% upside).
Business outlook: Management guided for Q1 FY2026 revenue to be around US$19.1 billion with adjusted earnings before interest, taxes, depreciation, and amortisation (EBITDA) at around 67% of the projected revenue.
How to trade and invest in semiconductor stocks with IG Singapore
CFD share trading
- Create a live or demo account
- Find an opportunity among one of our 10,000+ stocks with our stock screener
- Click ‘buy’ to go long or ‘sell’ to short
- Set your position size
- Take steps to manage your risk
- Open and monitor your position
Investing
- Open an account via IG Markets Singapore app
- Search for semiconductor stocks on the app
- Choose the shares you want to buy
- Determine how many shares you want to purchase
- Place your order
- Monitor your investment and collect any dividends
FAQs about semiconductor stocks
What are semiconductor stocks and why are they important?
Semiconductor stocks are shares of companies that design, manufacture or supply microchips used in electronic devices. They’re important because semiconductors power everything from smartphones and laptops to AI systems and electric vehicles. Traders often follow this sector closely due to its link to tech innovation and high-growth potential.
Are semiconductor stocks a good trading opportunity in 2025?
Many traders see strong potential in semiconductor stocks in 2025, driven by AI growth, data centre demand and the rise of edge computing. However, the sector is also cyclical and can be highly volatile, so it's important to manage risk and stay updated on key catalysts and earnings.
What risks should I consider when trading semiconductor stocks?
Key risks include:
Supply chain disruptions (especially in Taiwan and Asia)
Changes in global trade policies or export bans
Cyclical demand tied to tech spending
Intense competition and pricing pressure
Traders should watch for earnings surprises, regulatory news and sector-wide sentiment shifts.
Can I trade semiconductor stocks on IG Singapore?
Yes. IG Singapore offers semiconductor stocks as CFDs, allowing you to go long or short with leverage. You can trade major names like NVIDIA, TSMC, AMD and local SGX-listed companies such as UMS, AEM and Micro-Mechanics. Remember that CFDs are complex instruments and carry a high risk of rapid losses.
Which Singapore-listed semiconductor stocks should I watch?
Traders in Singapore often monitor:
UMS Holdings (SGX: 558) – chip equipment supplier
AEM Holdings (SGX: AWX) – test and validation solutions
Micro-Mechanics (SGX: 5DD) – precision tooling for chipmakers
These companies offer regional exposure to the global chipmaking supply chain and may show strong movement during semiconductor cycles.
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