The semiconductor sector posted mixed results last week, with the VanEck Semiconductor ETF (SMH) gaining 1.5%. While equipment makers and foundries showed strength, chip designers faced headwinds as investors digested recent earnings and positioned ahead of key reports.
Let’s dive into the biggest storylines if you’re a chip investor. Winners included Applied Materials (Nasdaq: AMAT) and Taiwan Semiconductor (NYSE: TSM), while Intel (Nasdaq: INTC) dropped 7.5% and NVIDIA (Nasdaq: NVDA) declined despite news that was mostly positive for the company.
Weekly Performance Snapshot
| Stock | Ticker | 1-Week Change | YTD 2026 |
|---|---|---|---|
| Applied Materials | NASDAQ:AMAT | +10.1% | +38.1% |
| TSMC | NYSE:TSM | +5.0% | +20.6% |
| Micron | NASDAQ:MU | +4.3% | +44.2% |
| Qualcomm | NASDAQ:QCOM | +2.5% | -17.7% |
| Lam Research | NASDAQ:LRCX | +2.0% | +37.6% |
| NVIDIA | NASDAQ:NVDA | NVDA Price Prediction | -1.4% | -2.0% |
| AMD | NASDAQ:AMD | -0.5% | -3.2% |
| ASML | NASDAQ:ASML | -0.3% | +31.7% |
| Broadcom | NASDAQ:AVGO | -2.3% | -6.1% |
| Intel | NASDAQ:INTC | -7.5% | +26.8% |
Equipment Makers Lead on Strong Demand
Applied Materials (NASDAQ:AMAT) surged after reporting Q1 revenue of $7.01 billion and beating earnings estimates. CEO Gary Dickerson said on the earnings call: “Applied Materials delivered strong results in our fiscal first quarter, fueled by the acceleration of industry investments in AI computing… we expect to grow our semiconductor equipment business over 20% this calendar year.” The guidance signals sustained capital equipment spending as chipmakers race to expand AI infrastructure capacity.
Another major event this past week was January financials for Taiwan Semiconductor. Monthly revenue for the company jumped 37%, which outpaced the 30% growth rate target the company just set for 2026. Shares of Taiwan Semi are already up more than 20% year-to-date as it becomes clear demand isn’t slowing down, it’s accelerating.
Memory Surge Continues
Micron (NASDAQ:MU)’s rally extended after the company projected record Q2 revenue of $18.70 billion with 68% gross margins. The memory maker is capturing premium pricing on HBM3E chips for AI accelerators. Analysts maintain 37 buy or strong buy ratings versus just 6 hold or sell ratings, reflecting confidence in the AI memory cycle.
The big news this week was Micron speaking at the Wolfe conference, where the company said that since its last earnings call, the business has strengthened. Wall Street currently expects $18.9 billion in revenue when Micron next reports, but we’d expect the company to easily surpass that number.
Reddit sentiment turned bullish mid-week on WallStreetBets posts tracking significant gains, though weekend activity cooled.
Intel Struggles Deepen
Intel (NASDAQ:INTC) dropped sharply after guiding Q1 revenue to $11.7-12.7 billion, citing memory supply constraints affecting handset demand. Intel had rebounded in the weeks since earnings, but dropped 7.5% this week. One area that didn’t help this week was lukewarm commentary from Wall Street. D.A. Davidson initiated coverage on Intel with a neutral rating and a $45 price target, below where the company trades today.
Next week brings more equipment maker results and February sales data from Asian foundries. Watch for any updates or analyst commentary on hyperscaler capital spending plans, which remain the key variable for 2026 semiconductor demand.
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