Chip Stocks Have Soared by 157% Over the Past Year. Here Are 2 Top Stocks to Buy Before the Semiconductor Industry Soars Past $1.5 Trillion in 2027
These two semiconductor titans have delivered terrific gains over the past year, and they can continue soaring thanks to the industry's secular growth.
Overview
The semiconductor industry is playing an instrumental role in the proliferation of artificial intelligence (AI). The training and deployment of AI models and inference applications wouldn't have been possible without chips, which explains why semiconductor companies have witnessed terrific growth in revenue and earnings in recent years.
Moreover, chips are also needed to run AI workloads locally on edge devices such as smartphones, personal computers (PCs), vehicles, robots, and drones, among other things. So, it is easy to see why the semiconductor industry's revenue is anticipated to jump by 64% in 2026 to $1.32 trillion, according to Gartner. Even better, the industry's revenue is expected to cross $1.55 trillion in 2027. This phenomenal growth has led to a 157% jump in the PHLX Semiconductor Sector index over the past year, as of this writing.
Details
That's why now is a good time to take a closer look at key semiconductor stocks that are capitalizing on the industry's secular growth and appear capable of delivering healthy gains for investors.
Source
Originally published at www.fool.com.