5 Best Semiconductor ETFs

4. iShares Semiconductor ETF (NASDAQ:SOXX)

5 Year Performance as of August 31: 168.43%

Next on our list of the best semiconductor ETFs is iShares Semiconductor ETF (NASDAQ:SOXX), which was introduced in July 2001. It aims to replicate the performance of the ICE Semiconductor Index, which consists of American semiconductor companies of different sizes. As of August 30, the ETF has invested in 33 companies, with net assets valued at $9.15 billion, while maintaining an expense ratio of 0.35%.

Advanced Micro Devices, Inc. (NASDAQ:AMD) is one of the significant holdings of the iShares Semiconductor ETF (NASDAQ:SOXX). Advanced Micro Devices, Inc. (NASDAQ:AMD) is one of the leading developers of processing units in the world. The company focuses on semiconductor operations. Advanced Micro Devices, Inc. (NASDAQ:AMD) has four main segments – Data Center, Client, Gaming, and Embedded. On August 1, the company announced a Q2 revenue of $5.36 billion and a non-GAAP EPS of $0.58, outperforming the market consensus by $40 million and $0.01, respectively.

According to Insider Monkey’s second quarter database, a total of 112 hedge funds were bullish on Advanced Micro Devices, Inc. (NASDAQ:AMD). In comparison, 91 hedge funds had held a similar position in the stock during the past quarter. 

L1 Capital International Fund had this to say about Advanced Micro Devices, Inc. (NASDAQ:AMD) in its second quarter 2023 investor letter:

“During the June 2023 quarter the AI bubble continued to inflate. Advanced Micro Devices, Inc. (NASDAQ:AMD), as a key challenger to Nvidia, will benefit from increased demand for its next generation semiconductor chips. AMD’s share price is reflecting very bullish sentiment and the share price has run ahead of a reasonable base case valuation. Accordingly, we divested our entire position and moved AMD to our Bench.”