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Best Semiconductor Stocks to Buy Now (2025)

Top semiconductor stocks in 2025 ranked by overall Zen Rating. "A" Rated stocks have returned an average of +32.52% per year, and are the best semiconductor stocks to buy now. Learn More.

According to Zen Ratings, our proprietary rating system that evaluates 115 factors proven to drive growth in stocks and assigns each stock in our system an overall letter grade as well as 7 individual Component Grades for Value, Growth, Momentum, Sentiment, Safety, Financials, and proprietary AI algorithms, the 3 best semiconductor stocks to buy right now are:

Penguin Solutions (NASDAQ:PENG) is the #1 top semiconductor stock out of 67 with a Zen Rating of B. Stocks with a rating of B have had an average return of +19.88% per year. Learn more.

The Component Grade breakdown for Penguin Solutions (NASDAQ:PENG) is: Value: B, Growth: A, Momentum: D, Sentiment: B, Safety: C, Financials: C, and AI: C.

Penguin Solutions (NASDAQ:PENG) has a Due Diligence Score of 14, which is -17 points lower than the semiconductor industry average of 31. Although this number is below the industry average, our proven quant model rates PENG as a "B".

PENG passed 4 out of 33 due diligence checks and has weak fundamentals. Penguin Solutions has seen its stock lose -22.58% over the past year, underperforming other semiconductor stocks by -14 percentage points.

Penguin Solutions has an average 1 year price target of $25.43, an upside of 44.89% from Penguin Solutions's current stock price of $17.55.

Penguin Solutions stock has a consensus Strong Buy recommendation according to Wall Street analysts. Of the 7 analysts covering Penguin Solutions, 71.43% have issued a Strong Buy rating, 28.57% have issued a Buy, 0% have issued a hold, while 0% have issued a Sell rating, and 0% have issued a Strong Sell.

Marvell Technology (NASDAQ:MRVL) is the #2 top semiconductor stock out of 67 with a Zen Rating of B. Stocks with a rating of B have had an average return of +19.88% per year. Learn more.

The Component Grade breakdown for Marvell Technology (NASDAQ:MRVL) is: Value: C, Growth: A, Momentum: C, Sentiment: B, Safety: C, Financials: C, and AI: C.

Marvell Technology (NASDAQ:MRVL) has a Due Diligence Score of 22, which is -9 points lower than the semiconductor industry average of 31. Although this number is below the industry average, our proven quant model rates MRVL as a "B".

MRVL passed 8 out of 38 due diligence checks and has weak fundamentals. Marvell Technology has seen its stock return 4.03% over the past year, overperforming other semiconductor stocks by 13 percentage points.

Marvell Technology has an average 1 year price target of $124.09, an upside of 80.52% from Marvell Technology's current stock price of $68.74.

Marvell Technology stock has a consensus Strong Buy recommendation according to Wall Street analysts. Of the 23 analysts covering Marvell Technology, 78.26% have issued a Strong Buy rating, 17.39% have issued a Buy, 4.35% have issued a hold, while 0% have issued a Sell rating, and 0% have issued a Strong Sell.

Semtech (NASDAQ:SMTC) is the #3 top semiconductor stock out of 67 with a Zen Rating of B. Stocks with a rating of B have had an average return of +19.88% per year. Learn more.

The Component Grade breakdown for Semtech (NASDAQ:SMTC) is: Value: C, Growth: A, Momentum: D, Sentiment: B, Safety: C, Financials: C, and AI: C.

Semtech (NASDAQ:SMTC) has a Due Diligence Score of 6, which is -25 points lower than the semiconductor industry average of 31. Although this number is below the industry average, our proven quant model rates SMTC as a "B".

SMTC passed 2 out of 33 due diligence checks and has weak fundamentals. Semtech has seen its stock return 76.47% over the past year, overperforming other semiconductor stocks by 85 percentage points.

Semtech has an average 1 year price target of $62.91, an upside of 58.86% from Semtech's current stock price of $39.60.

Semtech stock has a consensus Strong Buy recommendation according to Wall Street analysts. Of the 11 analysts covering Semtech, 63.64% have issued a Strong Buy rating, 36.36% have issued a Buy, 0% have issued a hold, while 0% have issued a Sell rating, and 0% have issued a Strong Sell.

Out of 16 semiconductor stocks that have issued dividends in the past year, the 3 semiconductor stocks with the highest dividend yields are:

United Microelectronics (NYSE:UMC) has an annual dividend yield of 6.83%, which is 5 percentage points higher than the semiconductor industry average of 2.18%. 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.

Chipmos Technologies (NASDAQ:IMOS) has an annual dividend yield of 6.07%, which is 4 percentage points higher than the semiconductor industry average of 2.18%. Chipmos Technologies's dividend payout is not stable, having dropped more than 10% three times in the last 10 years. Chipmos Technologies's dividend has not shown consistent growth over the last 10 years.

Chipmos Technologies's dividend payout ratio of 85.9% indicates that its high dividend yield is sustainable for the long-term.

Nve (NASDAQ:NVEC) has an annual dividend yield of 4.59%, which is 2 percentage points higher than the semiconductor industry average of 2.18%. Nve's dividend payout is stable, having never dropped by more than 10% in the last 10 years. Nve's dividend has not shown consistent growth over the last 10 years.

Nve's dividend payout ratio of 129% indicates that its high dividend yield might not be sustainable for the long-term.

Semiconductor stocks were up 3.81% in the last day, and down -2.42% over the last week. Sealsq was the among the top gainers in the semiconductors industry, gaining 21.17% yesterday.

SEALSQ shares are trading higher after the company announced an expansion of its quantum-safe strategy with SEALQUANTUM.com Initiative and up To $20 million investments in Quantum & AI startups.

Based on the Valuation rating, one of the 7 components of a stocks overall Zen Ratings grade, which evaluates factors including estimated earnings yield, earnings before interest and taxes/enterprise value, cash flow yield, free cash flow to price, and price-to-earnings growth (PEG ratio), the 3 most undervalued semiconductor stocks right now are:

Qualcomm (NASDAQ:QCOM) is the most undervalued semiconductor stock based on its Valuation Rating of A. Valuation is one of 7 Component Grades used to calculate the overall Zen Rating.

Qualcomm has a valuation score of 71, which is 43 points higher than the semiconductor industry average of 28. It passed 5 out of 7 valuation due diligence checks.

Qualcomm's stock has dropped -7.05% in the past year. It has overperformed other stocks in the semiconductor industry by 2 percentage points.

Cirrus Logic (NASDAQ:CRUS) is the second most undervalued semiconductor stock based on its Valuation Rating of A. Valuation is one of 7 Component Grades used to calculate the overall Zen Rating.

Cirrus Logic has a valuation score of 71, which is 43 points higher than the semiconductor industry average of 28. It passed 5 out of 7 valuation due diligence checks.

Cirrus Logic's stock has gained 11.05% in the past year. It has overperformed other stocks in the semiconductor industry by 20 percentage points.

On Semiconductor (NASDAQ:ON) is the third most undervalued semiconductor stock based on its Valuation Rating of B. Valuation is one of 7 Component Grades used to calculate the overall Zen Rating.

On Semiconductor has a valuation score of 57, which is 29 points higher than the semiconductor industry average of 28. It passed 4 out of 7 valuation due diligence checks.

On Semiconductor's stock has dropped -44.03% in the past year. It has underperformed other stocks in the semiconductor industry by -35 percentage points.

54.39% of semiconductor stocks rated by analysts are a strong buy right now. On average, analysts expect semiconductor stocks to rise by 36.4% over the next year.

0% of semiconductor stocks have a Zen Rating of A (Strong Buy), 17.46% of semiconductor stocks are rated B (Buy), 58.73% are rated C (Hold), 12.7% are rated D (Sell), and 11.11% are rated F (Strong Sell).