If you are looking for quality growth investments with compelling valuations, consider the world of semiconductor stocks. Yes, this can be an expensive area of the market, put over the past few months, shares across the industry have pulled back due to concerns of a cyclical peak in demand.
However, analysts are robust in their view that structural changes in the industry are resulting in increasingly sustainable demand. Plus, chip stocks appear to be deeply undervalued (for once), especially when you factor in strong fundamentals like cash flow, earnings and sales.
We used TipRanks’ powerful market data to source the five best semiconductor stocks to buy now. All five of these stocks score a “Strong Buy” analyst consensus rating and big upside potential from the current share price to the average analyst price target. The ratings included here are all from within the last three months to give us the latest insights into the market’s outlook.