10 Best Semiconductor ETFs

Published on March 14, 2024 at 7:24 am by Hamna Asim in ETF Trading, News

In this article, we discuss 10 best semiconductor ETFs. If you want to skip our discussion on the semiconductor industry, head over to 5 Best Semiconductor ETFs.

In 2023, the semiconductor industry faced numerous challenges, including inflation, geopolitical uncertainties, supply chain disruptions, and decreased demand in PC and mobile device markets, leading to an 8.2% global revenue decline compared to the previous year. However, despite some persistent challenges, the industry’s overall outlook for 2024 is positive, with expectations of double-digit revenue growth. KPMG’s annual survey gathered insights from 172 semiconductor executives globally. Despite the revenue contraction in 2023, 83% of respondents anticipate increased revenue growth for their companies in 2024. Additionally, 85% believe the industry as a whole will experience growth, a significant increase from the previous year’s survey.

Several positive factors are expected to drive growth in 2024, including trends in generative artificial intelligence (Gen AI), cloud computing, increased semiconductor usage in automobiles, and expanding aerospace and defense budgets, which could mitigate broader economic and geopolitical risks. While 30% of semiconductor leaders perceive an excess of inventory, up from 24% last year, 19% anticipate increasing demand due to AI and emerging technologies, double the 2023 figure. Overall, 2024 is viewed as the start of another cyclical upswing for the semiconductor industry.

Also Read: ETFs in an Emerging Market: 10 Best ETFs To Buy

Deloitte reported that the semiconductor industry in 2023 faced its seventh downturn since 1990. However, projections for 2024 suggest a recovery, with global sales forecasted to reach $588 billion, marking a 13% improvement over 2023 and a 2.5% increase from the record revenues of $574 billion in 2022. The memory chip market played a significant role in the industry’s performance last year, experiencing a sharp decline of around 31%, or approximately $40 billion. However, it is expected to rebound in 2024, approaching 2022 levels. Excluding memory, the rest of the industry saw a more moderate decline of about 3% in 2023. In terms of end markets, both PC and smartphone sales are projected to grow by 4% in 2024, following declines of 14% and 3.5%, respectively, in 2023. The recovery of these key markets is crucial for the semiconductor industry, as communication and computer chip sales, including data center chips, accounted for 56% of total semiconductor sales in 2022. However, inventory levels remained high at over $60 billion in fall 2023, posing a challenge for sales in the first half of 2024 as efforts to reduce inventory continue. Additionally, fab utilization, which reached levels around the mid-90% range during the recent shortage, is expected to decline below 70% in Q4 2023. Higher utilization rates are necessary for industry profitability, suggesting a prolonged recovery period may be required.

See also: 11 Best Vanguard ETFs For 2024

Heading into 2024, the semiconductor industry is poised for a notable recovery following the challenges of Q3 2023. Analysts at International Data Corporation (IDC) foresee a considerable growth opportunity in 2024. This optimistic outlook marks a welcome departure from the recent fluctuations and is fueled by several key trends. Firstly, the demand for AI chips continues to rise steadily. These chips play a critical role in powering a diverse range of advanced technologies and services. As AI integration expands across different sectors, including big data and smart devices, there is potential for a significant surge in demand for these chips. Secondly, the smartphone market is experiencing a resurgence, partly due to advancements such as 5G and new AI capabilities. This revitalization represents a significant boost for the semiconductor industry, as smartphones remain major consumers of semiconductor chips. Lastly, the automotive sector is increasingly reliant on semiconductor technology. Advancements in Advanced Driver Assistance Systems (ADAS) and enhanced infotainment systems are making cars more technology-driven. This transformation is generating substantial demand for automotive semiconductors.

Some of the best semiconductor stocks to buy include ASML Holding N.V. (NASDAQ:ASML), NVIDIA Corporation (NASDAQ:NVDA), and Intel Corporation (NASDAQ:INTC). However, this article includes the best semiconductor ETFs to buy, which also expose investors to top stocks in the industry.

Our Methodology

We curated our list of the best semiconductor ETFs by choosing consensus picks from multiple credible websites. We have mentioned the 5-year share price performance of each ETF as of March 13, 2024, ranking the list in ascending order of the share price. We have also discussed the top holdings of the ETFs to offer better insight to potential investors.

A robotic arm holding a semiconductor chip, emphasizing the precision and quality of the company’s production equipment.

Best Semiconductor ETFs

10. Xtrackers Semiconductor Select Equity ETF (NASDAQ:CHPS)

5-year Share Price Performance as of March 13: 53.20%

Xtrackers Semiconductor Select Equity ETF (NASDAQ:CHPS) aims to mirror the performance of the Solactive Semiconductor ESG Screened Index, with net assets totaling $6.65 million as of March 12, 2024. It offers a net expense ratio of 0.15%. Xtrackers Semiconductor Select Equity ETF (NASDAQ:CHPS) is one of the best semiconductor ETFs to buy.

NVIDIA Corporation (NASDAQ:NVDA) is the largest holding of Xtrackers Semiconductor Select Equity ETF (NASDAQ:CHPS). On February 21, NVIDIA Corporation (NASDAQ:NVDA) reported a Q4 non-GAAP EPS of $5.16 and a revenue of $22.1 billion, outperforming Wall Street estimates by $0.52 and $1.55 billion, respectively.

According to Insider Monkey’s fourth quarter database, 173 hedge funds were long NVIDIA Corporation (NASDAQ:NVDA), compared to 180 funds in the prior quarter. Rajiv Jain’s GQG Partners is a prominent stakeholder of the company, with 13.90 million shares worth $6.8 billion.

SaltLight Capital stated the following regarding NVIDIA Corporation (NASDAQ:NVDA) in its fourth quarter 2023 investor letter:

“We were fortunate to have some exposure to some of the ‘Magnificent Seven’ – Amazon, NVIDIA Corporation (NASDAQ:NVDA), Meta Platforms and Google (although in aggregate, we still hold a smaller weighting than the S&P 500).

While we are cautious in AI infrastructure, we do think there are mispriced opportunities in areas of application software where AI can be infused to make a step change improvement. Posted in our office is this chart that ASML provides at each of its investor days. This chart is a little outdated from 2021, but we think illustrates how value (in operating profit) was distributed across semiconductors, hardware, and then software & services. It’s very clear that most of the economic value in the past has accrued to the software services (in gray) built on the backs of highly technical companies run by extremely smart people.

Why is this? We think it is due to a combination of distribution and network effects. Our working hypothesis right now is that this will likely remain a similar outcome in the AI epoch. One outlier right now is Nvidia which is capturing 80% margins..” (Click here to read the full text)

9. Invesco PHLX Semiconductor ETF (NASDAQ:SOXQ)

5-year Share Price Performance as of March 13: 55.80%

Invesco PHLX Semiconductor ETF (NASDAQ:SOXQ) is linked to the PHLX Semiconductor Sector Index, aiming to invest at least 90% of its assets in index securities. The index represents the 30 largest US-listed semiconductor companies, covering products like memory chips, microprocessors, and integrated circuits. Launched on June 11, 2021, Invesco PHLX Semiconductor ETF (NASDAQ:SOXQ) bears an expense ratio of 0.19% as of March 12, 2024. It is one of the best semiconductor ETFs.

Advanced Micro Devices, Inc. (NASDAQ:AMD) is one of the largest holdings of Invesco PHLX Semiconductor ETF (NASDAQ:SOXQ). On February 1, Advanced Micro Devices, Inc. (NASDAQ:AMD) increased its AI-related revenue guidance to $3.5 billion for this year, up from $2 billion. Analysts believe Advanced Micro Devices, Inc. (NASDAQ:AMD) may still be underestimating intentionally. CEO Dr. Lisa Su expressed confidence in surpassing this figure. Analysts predict even higher revenue, estimating $5 billion this year and $8 billion next year from the MI300.

According to Insider Monkey’s fourth quarter database, 120 hedge funds were bullish on Advanced Micro Devices, Inc. (NASDAQ:AMD), compared to 110 funds in the prior quarter. Ken Fisher’s Fisher Asset Management is the largest stakeholder of the company, with 28.3 million shares worth $4.17 billion.

In addition to ASML Holding N.V. (NASDAQ:ASML), NVIDIA Corporation (NASDAQ:NVDA), and Intel Corporation (NASDAQ:INTC), Advanced Micro Devices, Inc. (NASDAQ:AMD) is one of the best semiconductor plays.

Jackson Peak Capital stated the following regarding Advanced Micro Devices, Inc. (NASDAQ:AMD) in its fourth quarter 2023 investor letter:

“On the long side of the portfolio, a core theme we remain invested behind is the data center infrastructure buildout and AI chips arms race that we’ve discussed since our first letter in Q2. Some skepticism has crept into the market, and it’s understandable given the huge ramp in 2023. However, our research continues to suggest 2023 was the start of a multi-year platform shift. Value will accrue to varying segments of the AI value chain at different parts of the cycle. We continue to see value in the “boots on the ground” winners in the data center buildout (Vertiv, Modine Manufacturing, Celestica). Our positioning in AI semiconductor companies (NVDA and Advanced Micro Devices, Inc. (NASDAQ:AMD)) has ebbed and flowed given we are cognizant (perhaps too much so) that these names are crowded positions across investor style types. We’ve done well in these chip stocks since inception and NVDA is currently a long, and we’re trying to “let winners run” while using sizing to risk manage these names due to the market-wide positioning bias in semiconductors.”

8. Columbia Seligman Semiconductor & Technology ETF (NYSE:SEMI)

5-year Share Price Performance as of March 13: 70.67%

Columbia Seligman Semiconductor & Technology ETF (NYSE:SEMI) primarily invests at least 80% of its assets in semiconductor, semiconductor equipment, and related technology companies, regardless of their size. It may include small and mid-cap companies and is considered non-diversified. Columbia Seligman Semiconductor & Technology ETF (NYSE:SEMI)’s portfolio consists of 36 stocks and its net expense ratio is 0.75% as of March 1, 2024. Columbia Seligman Semiconductor & Technology ETF (NYSE:SEMI) is one of the best semiconductor ETFs to buy.

Lam Research Corporation (NASDAQ:LRCX) is the largest holding of Columbia Seligman Semiconductor & Technology ETF (NYSE:SEMI). Lam Research Corporation (NASDAQ:LRCX) manufactures semiconductor processing equipment used in integrated circuit fabrication. On February 8, Lam Research Corporation (NASDAQ:LRCX) declared a $2.00 per share quarterly dividend, in line with previous. The dividend is payable on April 3, to shareholders on record as of March 13.

According to Insider Monkey’s fourth quarter database, 67 hedge funds were bullish on Lam Research Corporation (NASDAQ:LRCX), compared to 74 funds in the last quarter.

Baron Opportunity Fund stated the following regarding Lam Research Corporation (NASDAQ:LRCX) in its fourth quarter 2023 investor letter:

“Lam Research Corporation (NASDAQ:LRCX) is a leading global supplier of wafer fabrication equipment (WFE) and services to the semiconductor industry. Lam’s products tend to focus on etch and deposition process steps and its tools are critical in the production of NAND and DRAM memory chips as well as logic devices. While the share of overall WFE spending looks relatively fragmented across the top four to five players in the industry, each of these leading companies tends to have significant share within smaller slices of the industry, creating a stable and favorable industry structure, with share shifts tending to only happen at times of technology transition in the broader industry. We purchased shares of Lam in the quarter as we believe we are at one of those key transition points in the industry that will disproportionately benefit Lam, with a move to gate-all-around transistors in logic creating an increasing need for complex deposition and etch process stops and the emergence of high-bandwidth memory and advanced packaging requiring increasingly complex high-aspect-ratio (i.e., very deep) etches, where Lam has virtually 100% market share. We also believe the market is underestimating the pent-up earnings power in the company as NAND WFE spending recovers in the coming years from one of its worst down cycles ever in 2023.”

7. Strive U.S. Semiconductor ETF (NYSE:SHOC)

5-year Share Price Performance as of March 13: 95.09%

Strive U.S. Semiconductor ETF (NYSE:SHOC) is one of the best semiconductor ETFs to buy. Strive U.S. Semiconductor ETF (NYSE:SHOC) is a passively managed ETF that aims to provide broad exposure to the US semiconductor sector. It offers concentrated exposure to this sector through a cost-efficient index product. The ETF was established on October 6, 2022, with net assets totaling $61.34 million as of March 12, 2024, and an expense ratio of 0.40%.

QUALCOMM Incorporated (NASDAQ:QCOM) is one of the top holdings of Strive U.S. Semiconductor ETF (NYSE:SHOC). Analyst Kevin Cassidy predicts that Qualcomm Snapdragon’s system-on-a-chip will dominate the market in the upcoming computing platform generation by facilitating the integration of generative AI at the edge. He maintained a Buy rating and raised the price target on QUALCOMM Incorporated (NASDAQ:QCOM) from $170 to $200 on March 11.

According to Insider Monkey’s fourth quarter database, 78 hedge funds were long QUALCOMM Incorporated (NASDAQ:QCOM), compared to 67 funds in the last quarter. John Overdeck and David Siegel’s Two Sigma Advisors is a prominent stakeholder of the company, with nearly 3 million shares worth $431.5 million.

Madison Sustainable Equity Fund stated the following regarding QUALCOMM Incorporated (NASDAQ:QCOM) in its fourth quarter 2023 investor letter:

“QUALCOMM Incorporated (NASDAQ:QCOM) also reported a solid fourth fiscal quarter with better than expected results. The company guided the first quarter ahead of expectations despite headwinds from Samsung as the inventory headwinds dissipate. Qualcomm remains well positioned in the mobile handset market and should benefit as Artificial Intelligence moves to edge devices which could drive an upgrade cycle.”

6. First Trust Nasdaq Semiconductor ETF (NASDAQ:FTXL)

5-year Share Price Performance as of March 13: 187.17%

First Trust Nasdaq Semiconductor ETF (NASDAQ:FTXL) ranks 6th on our list of the best semiconductor ETFs. First Trust Nasdaq Semiconductor ETF (NASDAQ:FTXL) was launched on September 20, 2016, with an investment objective to mirror the performance of the Nasdaq US Smart Semiconductor Index. The ETF has an expense ratio of 0.60% and holds a portfolio consisting of 32 stocks.

First Trust Nasdaq Semiconductor ETF (NASDAQ:FTXL)’s top holdings include Broadcom Inc. (NASDAQ:AVGO). Broadcom Inc. (NASDAQ:AVGO) aims to increase revenue in 2024 by leveraging its networking and artificial intelligence offerings. Analysts are optimistic about the company’s fiscal year 2024 guidance. Mizuho reiterated a Buy rating on Broadcom and raised the price target from $1,550 to $1,625 on March 8.

According to Insider Monkey’s fourth quarter database, 91 hedge funds were long Broadcom Inc. (NASDAQ:AVGO), compared to 87 funds in the last quarter. Ken Fisher’s Fisher Asset Management is the largest stakeholder of the company.

In addition to ASML Holding N.V. (NASDAQ:ASML), NVIDIA Corporation (NASDAQ:NVDA), and Intel Corporation (NASDAQ:INTC), hedge funds are piling into Broadcom Inc. (NASDAQ:AVGO) for exposure to the semiconductor industry.

Carillon Eagle Growth & Income Fund stated the following regarding Broadcom Inc. (NASDAQ:AVGO) in its fourth quarter 2023 investor letter:

“Broadcom Inc. (NASDAQ:AVGO) traded higher after closing on its acquisition of VMware. The company also announced earnings that were relatively in line with estimates with some benefit of better operating expenses. The stock appears to be one of the first real beneficiaries of generative artificial intelligence (AI) with meaningful revenue expected to show up in 2024.”

Click to continue reading and see 5 Best Semiconductor ETFs.

AI, Tariffs, Nuclear Power: One Undervalued Stock Connects ALL the Dots (Before It Explodes!)

Published on June 23, 2025 at by Inan Dogan, PhD

Artificial intelligence is the greatest investment opportunity of our lifetime. The time to invest in groundbreaking AI is now, and this stock is a steal!

AI is eating the world—and the machines behind it are ravenous.

Each ChatGPT query, each model update, each robotic breakthrough consumes massive amounts of energy. In fact, AI is already pushing global power grids to the brink.

Wall Street is pouring hundreds of billions into artificial intelligence—training smarter chatbots, automating industries, and building the digital future. But there’s one urgent question few are asking:

Where will all of that energy come from?

AI is the most electricity-hungry technology ever invented. Each data center powering large language models like ChatGPT consumes as much energy as a small city. And it’s about to get worse.

Even Sam Altman, the founder of OpenAI, issued a stark warning:

“The future of AI depends on an energy breakthrough.”

Elon Musk was even more blunt:

“AI will run out of electricity by next year.”

As the world chases faster, smarter machines, a hidden crisis is emerging behind the scenes. Power grids are strained. Electricity prices are rising. Utilities are scrambling to expand capacity.

And that’s where the real opportunity lies…

One little-known company—almost entirely overlooked by most AI investors—could be the ultimate backdoor play. It’s not a chipmaker. It’s not a cloud platform. But it might be the most important AI stock in the US owns critical energy infrastructure assets positioned to feed the coming AI energy spike.

As demand from AI data centers explodes, this company is gearing up to profit from the most valuable commodity in the digital age: electricity.

The “Toll Booth” Operator of the AI Energy Boom

It owns critical nuclear energy infrastructure assets, positioning it at the heart of America’s next-generation power strategy.
It’s one of the only global companies capable of executing large-scale, complex EPC (engineering, procurement, and construction) projects across oil, gas, renewable fuels, and industrial infrastructure.
It plays a pivotal role in U.S. LNG exportation—a sector about to explode under President Trump’s renewed “America First” energy doctrine.

Trump has made it clear: Europe and U.S. allies must buy American LNG.

And our company sits in the toll booth—collecting fees on every drop exported.

But that’s not all…

As Trump’s proposed tariffs push American manufacturers to bring their operations back home, this company will be first in line to rebuild, retrofit, and reengineer those facilities.

AI. Energy. Tariffs. Onshoring. This One Company Ties It All Together.

While the world is distracted by flashy AI tickers, a few smart investors are quietly scooping up shares of the one company powering it all from behind the scenes.

AI needs energy. Energy needs infrastructure.

And infrastructure needs a builder with experience, scale, and execution.

This company has its finger in every pie—and Wall Street is just starting to notice.

Wall Street is noticing this company also because it is quietly riding all of these tailwinds—without the sky-high valuation.

While most energy and utility firms are buried under mountains of debt and coughing up hefty interest payments just to appease bondholders…

This company is completely debt-free.

In fact, it’s sitting on a war chest of cash—equal to nearly one-third of its entire market cap.

It also owns a huge equity stake in another red-hot AI play, giving investors indirect exposure to multiple AI growth engines without paying a premium.

And here’s what the smart money has started whispering…

The Hedge Fund Secret That’s Starting to Leak Out

This stock is so off-the-radar, so absurdly undervalued, that some of the most secretive hedge fund managers in the world have begun pitching it at closed-door investment summits.

They’re sharing it quietly, away from the cameras, to rooms full of ultra-wealthy clients.

Why? Because excluding cash and investments, this company is trading at less than 7 times earnings.

And that’s for a business tied to:

The AI infrastructure supercycle
The onshoring boom driven by Trump-era tariffs
A surge in U.S. LNG exports
And a unique footprint in nuclear energy—the future of clean, reliable power

You simply won’t find another AI and energy stock this cheap… with this much upside.

This isn’t a hype stock. It’s not riding on hope.

It’s delivering real cash flows, owns critical infrastructure, and holds stakes in other major growth stories.

This is your chance to get in before the rockets take off!

Disruption is the New Name of the Game: Let’s face it, complacency breeds stagnation.

AI is the ultimate disruptor, and it’s shaking the foundations of traditional industries.

The companies that embrace AI will thrive, while the dinosaurs clinging to outdated methods will be left in the dust.

As an investor, you want to be on the side of the winners, and AI is the winning ticket.

The Talent Pool is Overflowing: The world’s brightest minds are flocking to AI.

From computer scientists to mathematicians, the next generation of innovators is pouring its energy into this field.

This influx of talent guarantees a constant stream of groundbreaking ideas and rapid advancements.

By investing in AI, you’re essentially backing the future.

The future is powered by artificial intelligence, and the time to invest is NOW.

Don’t be a spectator in this technological revolution.

Dive into the AI gold rush and watch your portfolio soar alongside the brightest minds of our generation.

This isn’t just about making money – it’s about being part of the future.

So, buckle up and get ready for the ride of your investment life!

Act Now and Unlock a Potential 100+% Return within 12 to 24 months.

We’re now offering month-to-month subscriptions with no commitments.

For a ridiculously low price of just $9.99 per month, you can unlock our in-depth investment research and exclusive insights – that’s less than a single fast food meal!

Here’s why this is a deal you can’t afford to pass up:

Access to our Detailed Report on our AI, Tariffs, and Nuclear Energy Stock with 100+% potential upside within 12 to 24 months
BONUS REPORT on our #1 AI-Robotics Stock with 10000% upside potential: Our in-depth report dives deep into our #1 AI/robotics stock’s groundbreaking technology and massive growth potential.
One New Issue of Our Premium Readership Newsletter: You will also receive one new issue per month and at least one new stock pick per month from our monthly newsletter’s portfolio over the next 12 months. These stocks are handpicked by our research director, Dr. Inan Dogan.
One free upcoming issue of our 70+ page Quarterly Newsletter: A value of $149
Bonus Content: Premium access to members-only fund manager video interviews
Ad-Free Browsing: Enjoy a month of investment research free from distracting banner and pop-up ads, allowing you to focus on uncovering the next big opportunity.
Lifetime Price Guarantee: Your renewal rate will always remain the same as long as your subscription is active.
30-Day Money-Back Guarantee: If you’re not absolutely satisfied with our service, we’ll provide a full refund within 30 days, no questions asked.

Space is Limited! Only 1000 spots are available for this exclusive offer. Don’t let this chance slip away – subscribe to our Premium Readership Newsletter today and unlock the potential for a life-changing investment.

Here’s what to do next:

1. Head over to our website and subscribe to our Premium Readership Newsletter for just $9.99.

2. Enjoy a month of ad-free browsing, exclusive access to our in-depth report on the Trump tariff and nuclear energy company as well as the revolutionary AI-robotics company, and the upcoming issues of our Premium Readership Newsletter.

3. Sit back, relax, and know that you’re backed by our ironclad 30-day money-back guarantee.

Don’t miss out on this incredible opportunity! Subscribe now and take control of your AI investment future!

Subscribe Now!

No worries about auto-renewals! Our 30-Day Money-Back Guarantee applies whether you’re joining us for the first time or renewing your subscription a month later!

Insider Monkey Ads

A New Dawn is Coming to U.S. Stocks

Published on June 13, 2025 at by Insider Monkey Staff

I work for one of the largest independent financial publishers in the world – representing over 1 million people in 148 countries.

We’re independently funding today’s broadcast to address something on the mind of every investor in America right now…

Should I put my money in Artificial Intelligence?

Here to answer that for us… and give away his No. 1 free AI recommendation… is 50-year Wall Street titan, Marc Chaikin.

Marc’s been a trader, stockbroker, and analyst. He was the head of the options department at a major brokerage firm and is a sought-after expert for CNBC, Fox Business, Barron’s, and Yahoo! Finance…

But what Marc’s most known for is his award-winning stock-rating system. Which determines whether a stock could shoot sky-high in the next three to six months… or come crashing down.

That’s why Marc’s work appears in every Bloomberg and Reuters terminal on the planet…

And is still used by hundreds of banks, hedge funds, and brokerages to track the billions of dollars flowing in and out of stocks each day.

He’s used this system to survive nine bear markets… create three new indices for the Nasdaq… and even predict the brutal bear market of 2022, 90 days in advance.

Click to continue reading…

Insider Monkey Ads

Markets

Insider Trading

Hedge Funds

Retirement

Opinion

Log In

Sign Up