10 Most Profitable Semiconductor Stocks to Buy

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1. NVIDIA Corporation (NASDAQ:NVDA)

Net Income (TTM): $86.6 billion

Operating Margin (TTM): 60.84%

Number of hedge fund holdings: 235

Ahead of NVIDIA Corporation (NASDAQ:NVDA)’s earnings report on November 19, several analysts have reinforced their confidence in the stock over the past couple of days. While BofA analyst Vivek Arya reiterated his Buy rating on November 4, analysts from Loop Capital and Jefferies have not only reaffirmed their optimistic Buy ratings but also raised their price targets, with Loop Capital increasing its target by approximately 40% the day before.

Separately, on November 8, 2025, NVIDIA Corporation (NASDAQ:NVDA) CEO Jensen Huang expressed his confidence in the company, stating that the semiconductor giant is witnessing what he called a “very strong demand” for its innovative Blackwell chips, as its appetite for wafers from TSMC grows.”

At an event hosted by Taiwan Semiconductor Manufacturing, Nvidia’s long-established partner, in Hsinchu, Huang stated,

“Nvidia builds the GPU (graphics processing units), but we also build the CPU (central processing units), the networking, the switches, and so there are a lot of chips associated with Blackwell.”

The “five-trillion-dollar man”, as called by TSMC’s Wei, further acknowledged the support of SK Hynix, Samsung, and Micron in scaling up capacity, while labelling them “incredibly good memory makers.” NVIDIA Corporation (NASDAQ:NVDA) has now obtained the most advanced chip samples from these memory makers, Huang added.

NVIDIA Corporation (NASDAQ: NVDA) is a California-based company that delivers graphics, high-performance computing, and networking solutions. Founded in 1993, the giant operates through Compute & Networking and Graphics segments.

While we acknowledge the potential of NVDA 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 NVDA and that has 100x upside potential, check out our report about this cheapest AI stock.

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