10 Most Buzzing AI Semiconductor Stocks to Buy in 2026

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6. Applied Materials, Inc. (NASDAQ:AMAT)

Stock Upside Potential: 29.30%

Number of Hedge Fund Holders: 111

Applied Materials Inc. (NASDAQ:AMAT) is one of the most buzzing AI semiconductor stocks to buy in 2026. On May 20, Applied Materials Inc. (NASDAQ:AMAT) announced it is teaming up with Broadcom to enhance the development of advanced chip packaging technologies for AI systems.

Broadcom is to join the Applied Materials EPIC platform. In return, the two are to focus on the research and development needed to accelerate the introduction of packaging technologies for next-generation AI chips. They will also leverage Applied Materials’ global network of innovation centers to drive co-innovation across the ecosystem.

Ultimately, Applied Materials and Broadcom will provide system designers early access to materials and process equipment innovations. The collaboration comes amid robust adoption of advanced packaging techniques needed to boost the energy-efficient performance of AI systems.

Applied Materials’ EPIC Center in Silicon Valley is one of the largest investments in semiconductor equipment research and development. The facility strives to reduce the time to commercialization from early-stage research to full-scale manufacturing.

Applied Materials, Inc. (NASDAQ:AMAT) designs, manufactures, and services the specialized equipment and software used to build semiconductor chips (integrated circuits) and advanced displays. It is a critical foundational company for the global electronics industry, supplying the machines that allow manufacturers to create smaller, faster, and more energy-efficient microchips.

While we acknowledge the potential of AMAT to grow, our conviction lies in the belief that some AI stocks hold greater promise for delivering higher returns and have limited downside risk. If you are looking for an AI stock that is more promising than AMAT and that has 100x upside potential, check out our report about the cheapest AI stock.

Click to continue reading and see the 5 Most Buzzing AI Semiconductor Stocks to Buy in 2026.

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