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Best Semiconductor Stocks to Buy Now (2024)

Top semiconductor stocks in 2024 ranked by overall Zen Score. See the best semiconductor stocks to buy now, according to analyst forecasts for the semiconductors industry.

According to Zen Score, the 3 best semiconductor stocks to buy right now are:

Rambus (NASDAQ:RMBS) is the top semiconductor stock with a Zen Score of 70, which is 37 points higher than the semiconductor industry average of 33. It passed 22 out of 33 due diligence checks and has strong fundamentals. Rambus has seen its stock return 11.32% over the past year, underperforming other semiconductor stocks by -8 percentage points.

Rambus has an average 1 year price target of $85.00, an upside of 55.45% from Rambus's current stock price of $54.68.

Rambus stock has a consensus Strong Buy recommendation according to Wall Street analysts. Of the 2 analysts covering Rambus, 100% have issued a Strong Buy rating, 0% have issued a Buy, 0% have issued a hold, while 0% have issued a Sell rating, and 0% have issued a Strong Sell.

On Semiconductor (NASDAQ:ON) is the second best semiconductor stock with a Zen Score of 61, which is 28 points higher than the semiconductor industry average of 33. It passed 19 out of 33 due diligence checks and has strong fundamentals. On Semiconductor has seen its stock lose -21.07% over the past year, underperforming other semiconductor stocks by -41 percentage points.

On Semiconductor has an average 1 year price target of $82.93, an upside of 36.61% from On Semiconductor's current stock price of $60.71.

On Semiconductor stock has a consensus Buy recommendation according to Wall Street analysts. Of the 15 analysts covering On Semiconductor, 40% have issued a Strong Buy rating, 13.33% have issued a Buy, 40% have issued a hold, while 6.67% have issued a Sell rating, and 0% have issued a Strong Sell.

Qualcomm (NASDAQ:QCOM) is the third best semiconductor stock with a Zen Score of 59, which is 26 points higher than the semiconductor industry average of 33. It passed 21 out of 38 due diligence checks and has strong fundamentals. Qualcomm has seen its stock return 32.98% over the past year, overperforming other semiconductor stocks by 13 percentage points.

Qualcomm has an average 1 year price target of $169.54, an upside of 7.55% from Qualcomm's current stock price of $157.63.

Qualcomm stock has a consensus Strong Buy recommendation according to Wall Street analysts. Of the 13 analysts covering Qualcomm, 69.23% have issued a Strong Buy rating, 0% have issued a Buy, 30.77% have issued a hold, while 0% have issued a Sell rating, and 0% have issued a Strong Sell.

Out of 21 semiconductor stocks that have issued dividends in the past year, the 3 semiconductor stocks with the highest dividend yields are:

Wisekey International Holding Sa (NASDAQ:WKEY) has an annual dividend yield of 137.25%, which is 128 percentage points higher than the semiconductor industry average of 9.07%.

Wisekey International Holding Sa's dividend payout ratio of -36.3% indicates that its high dividend yield might not be sustainable for the long-term.

Himax Technologies (NASDAQ:HIMX) has an annual dividend yield of 9.94%, which is 1 percentage points higher than the semiconductor industry average of 9.07%. Himax Technologies's dividend payout is not stable, having dropped more than 10% three times in the last 10 years. Himax Technologies's dividend has shown consistent growth over the last 10 years.

Himax Technologies's dividend payout ratio of 160% indicates that its high dividend yield might not be sustainable for the long-term.

United Microelectronics (NYSE:UMC) has an annual dividend yield of 7.92%, which is -1 percentage points lower than the semiconductor industry average of 9.07%. United Microelectronics's dividend payout is not stable, having dropped more than 10% three times in the last 10 years. United Microelectronics's dividend has shown consistent growth over the last 10 years.

United Microelectronics's dividend payout ratio of 56.6% indicates that its high dividend yield is sustainable for the long-term.

Semiconductor stocks were down -4.62% in the last day, and down -9.83% over the last week. Arm Holdings was the among the top losers in the semiconductors industry, dropping -16.9% yesterday.

ARM Holdings shares are trading lower after Exane BNP Paribas downgraded the stock from Outperform to Neutral.

Based on WallStreetZen's Valuation Score, the 3 most undervalued semiconductor stocks right now are:

Himax Technologies (NASDAQ:HIMX) is the most undervalued semiconductor stock based on WallStreetZen's Valuation Score. Himax Technologies has a valuation score of 100, which is 68 points higher than the semiconductor industry average of 32. It passed 7 out of 7 valuation due diligence checks.

Himax Technologies's stock has dropped -31.59% in the past year. It has underperformed other stocks in the semiconductor industry by -51 percentage points.

Analog Devices (NASDAQ:ADI) is the second most undervalued semiconductor stock based on WallStreetZen's Valuation Score. Analog Devices has a valuation score of 86, which is 54 points higher than the semiconductor industry average of 32. It passed 6 out of 7 valuation due diligence checks.

Analog Devices's stock has dropped -2.75% in the past year. It has underperformed other stocks in the semiconductor industry by -22 percentage points.

Silicon Motion Technology (NASDAQ:SIMO) is the third most undervalued semiconductor stock based on WallStreetZen's Valuation Score. Silicon Motion Technology has a valuation score of 86, which is 54 points higher than the semiconductor industry average of 32. It passed 6 out of 7 valuation due diligence checks.

Silicon Motion Technology's stock has gained 12.78% in the past year. It has underperformed other stocks in the semiconductor industry by -7 percentage points.