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Best Semiconductor Stocks to Buy Now (2023)

Top semiconductor stocks in 2023 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:

Semtech (NASDAQ:SMTC) is the top semiconductor stock with a Zen Score of 66, which is 25 points higher than the semiconductor industry average of 41. It passed 21 out of 33 due diligence checks and has strong fundamentals. Semtech has seen its stock lose -53.35% over the past year, underperforming other semiconductor stocks by -44 percentage points.

Semtech has an average 1 year price target of $60.00, an upside of 82.32% from Semtech's current stock price of $32.91.

Semtech stock has a consensus Buy recommendation according to Wall Street analysts. Of the 8 analysts covering Semtech, 37.5% have issued a Strong Buy rating, 0% have issued a Buy, 62.5% have issued a hold, while 0% have issued a Sell rating, and 0% have issued a Strong Sell.

Chipmos Technologies (NASDAQ:IMOS) is the second best semiconductor stock with a Zen Score of 65, which is 24 points higher than the semiconductor industry average of 41. It passed 23 out of 38 due diligence checks and has strong fundamentals. Chipmos Technologies has seen its stock lose -28.58% over the past year, underperforming other semiconductor stocks by -19 percentage points.

Synaptics (NASDAQ:SYNA) is the third best semiconductor stock with a Zen Score of 65, which is 24 points higher than the semiconductor industry average of 41. It passed 21 out of 33 due diligence checks and has strong fundamentals. Synaptics has seen its stock lose -42.29% over the past year, underperforming other semiconductor stocks by -33 percentage points.

Synaptics has an average 1 year price target of $165.50, an upside of 34.95% from Synaptics's current stock price of $122.64.

Synaptics stock has a consensus Buy recommendation according to Wall Street analysts. Of the 10 analysts covering Synaptics, 40% have issued a Strong Buy rating, 40% have issued a Buy, 20% have issued a hold, while 0% have issued a Sell rating, and 0% have issued a Strong Sell.

Out of 20 semiconductor stocks that have issued dividends in the past year, the 3 semiconductor stocks with the highest dividend yields are:

Himax Technologies (NASDAQ:HIMX) has an annual dividend yield of 15.38%, which is 12 percentage points higher than the semiconductor industry average of 3.08%. Himax Technologies's dividend payout is not stable, having dropped more than 10% two times in the last 10 years. Himax Technologies's dividend has shown consistent growth over the last 10 years.

Chipmos Technologies (NASDAQ:IMOS) has an annual dividend yield of 12.43%, which is 9 percentage points higher than the semiconductor industry average of 3.08%. Chipmos Technologies's dividend payout is not stable, having dropped more than 10% one times in the last 10 years. Chipmos Technologies's dividend has shown consistent growth over the last 10 years.

Chipmos Technologies's dividend payout ratio of 33.1% indicates that its high dividend yield is sustainable for the long-term.

Nve (NASDAQ:NVEC) has an annual dividend yield of 5.54%, which is 2 percentage points higher than the semiconductor industry average of 3.08%. Nve's dividend payout is not stable, having dropped more than 10% one times in the last 10 years. Nve's dividend has not shown consistent growth over the last 10 years.

Nve's dividend payout ratio of 105.5% indicates that its high dividend yield might not be sustainable for the long-term.

Semiconductor stocks were down -1.48% in the last day, and up 5.53% over the last week. Intel was the among the top losers in the semiconductors industry, dropping -5.38% yesterday.

Intel shares are trading lower. Weakness may be due to layoffs from Dell, which could indicate weakness in the PC market.

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

Chipmos Technologies (NASDAQ:IMOS) is the most undervalued semiconductor stock based on WallStreetZen's Valuation Score. Chipmos Technologies has a valuation score of 100, which is 59 points higher than the semiconductor industry average of 41. It passed 7 out of 7 valuation due diligence checks.

Chipmos Technologies's stock has dropped -28.58% in the past year. It has underperformed other stocks in the semiconductor industry by -19 percentage points.

Semtech (NASDAQ:SMTC) is the second most undervalued semiconductor stock based on WallStreetZen's Valuation Score. Semtech has a valuation score of 100, which is 59 points higher than the semiconductor industry average of 41. It passed 7 out of 7 valuation due diligence checks.

Semtech's stock has dropped -53.35% in the past year. It has underperformed other stocks in the semiconductor industry by -44 percentage points.

Diodes (NASDAQ:DIOD) is the third most undervalued semiconductor stock based on WallStreetZen's Valuation Score. Diodes has a valuation score of 86, which is 45 points higher than the semiconductor industry average of 41. It passed 6 out of 7 valuation due diligence checks.

Diodes's stock has gained 1.71% in the past year. It has overperformed other stocks in the semiconductor industry by 11 percentage points.