Hyperscaler capital expenditure is driving strong demand in the semiconductor sector, with market growth expected to reach 27% and hyperscaler spending potentially increasing 29% by 2027. Despite recent fatigue in the market and pullbacks in semiconductor ETFs, the VanEck Semiconductor ETF (SMH) remains attractive due to its low volatility and reasonable valuation at 26 times earnings. The current market pullback is seen as a buying opportunity for long-term investors, especially through dollar-cost averaging into high-quality semiconductor ETFs. This trend is supported by ongoing earnings growth from hyperscalers, even as they increase aggressive capital spending.
The VanEck Semiconductor ETF (SMH) is currently priced at USD 509.40 on Pluang, showing a 2.57% decline as of Nov 03, 2026, 04:35 WIB. Despite this pullback, the ETF maintains a strong market cap of $66.44 billion. Pluang investors hold SMH for an average of 104 days, with buying activity at 81%, indicating continued interest in the sector.
Over the past year, the First Trust Nasdaq Semiconductor ETF (FTXL) returned 67.35%, outperforming the popular VanEck Semiconductor ETF (SMH), which returned 44.09%. However, over longer periods like five and ten years, SMH has significantly outperfo...
Mike Zaccardi upgrades Direxion Daily Semiconductor Bull 3X ETF (SOXL) to buy, anticipating a rally in AI semiconductor stocks by year-end. SOXL is highly volatile and best for short-term trades due to negative compounding risks. Technical analysis s...
Intel shares dropped 4% ahead of its Q3 2026 earnings report, pressured by a setback in its foundry business and weak Big Tech results. Terafab's talks with Taiwan Semiconductor undermine Intel's foundry ambitions, which still operates at a loss desp...
