Semiconductor leaders are coming into June 2026 with a fresh dent in the chart after a spring run that pushed valuations to uncomfortable levels. The trigger was Broadcom’s Q3 AI revenue guide, which came in at $16 billion versus analyst expectations near $17.2 billion and dragged the entire AI chip complex lower.
The PHLX chip index dropped 10% on June 5, the deepest one-day loss since March 2020, wiping roughly $1.3 trillion in sector market value. The structural AI infrastructure thesis is unchanged. Here are three names worth researching while they trade below recent highs.
NVIDIA (NVDA)
NVIDIA (NASDAQ:NVDA | NVDA Price Prediction) trades at $200.42 as of June 10, sitting 26% below its 52-week high of $236.26. The stock is down 9% over the past month and down 7% over the past week, even as it remains up 39% over the past year.
The bull case is the Q1 FY27 report on May 20, 2026. Revenue hit $81.615 billion, up 85% year over year, with non-GAAP EPS of $1.87 versus a $1.7738 estimate. Data Center revenue reached $75.246 billion, up 92% YoY, with Networking up 199%. Free cash flow printed at $48.554 billion, and management guided Q2 to $91.0 billion in revenue at a 75% non-GAAP gross margin. CEO Jensen Huang framed the demand backdrop bluntly: “The buildout of AI factories, the largest infrastructure expansion in human history, is accelerating at extraordinary speed.” Analyst sentiment skews heavily bullish, with 48 Buy and 10 Strong Buy ratings against just 1 Sell, and a consensus target of $298.42.
Risk: The Q2 guide explicitly assumes zero Data Center compute revenue from China, and management flagged a substantial cash tax increase in Q2. Export controls remain the swing factor.
Advanced Micro Devices (AMD)
Advanced Micro Devices (NASDAQ:AMD) closed at $452.40 on June 10, down 17% over the past week from $542.52. Shares sit 12% below the 52-week high of $546.44, though the name remains up 111% year to date. The recent gap from highs is meaningful even after the strong YTD run.
Q1 2026 revenue came in at $10.253 billion, up 38% YoY, with non-GAAP EPS of $1.37 versus a $1.29 estimate. The Data Center segment carried the quarter at $5.775 billion, up 57% YoY, and free cash flow expanded 253% to $2.566 billion. Management guided Q2 to roughly $11.2 billion in revenue, about 46% YoY growth, at a 56% gross margin. CEO Lisa Su pointed to the MI450 pipeline: “Customer engagement around MI450 Series and Helios is strengthening, with leading customer forecasts exceeding our initial expectations.” The signed agreement to deploy up to 6 gigawatts of AMD Instinct GPUs with Meta, including a first 1-GW custom MI450 build, anchors the multi-year thesis.
Risk: Valuation runs hot at a P/E near 179 and a forward implied P/E of 99. Export controls and hyperscaler capex digestion remain live risks.
Broadcom (AVGO)
Broadcom (NASDAQ:AVGO) is the most aggressive pullback of the three. Shares trade at $372.10 as of June 10, down 22% over the past week from $479.23 and off 13% over the past month. The stock sits 5% below its 52-week high of $495 after the post-earnings reset.
The fundamentals behind that selloff are strong. Q2 FY26 revenue was $22.187 billion, up 48% YoY, and non-GAAP EPS of $2.44 marked the eighth consecutive EPS beat. AI semiconductor revenue reached $10.80 billion, up 143% YoY, with free cash flow of $10.262 billion at 46% of revenue. CEO Hock Tan guided forward growth: “In Q3 we expect semiconductor revenue from AI to grow over 200 percent year-over-year to $16.0 billion.” Consolidated Q3 revenue guidance of $29.4 billion implies 84% YoY growth. Analyst targets average $522.06 with 92% bullish sentiment, and Benzinga noted that single-session declines of over 15% have occurred only three times in company history, each preceding strong 6-12 month returns.
Risk: The June selloff hinged on the AI guide coming in below the $17.2 billion whisper number, alongside declining gross margin outlook. Post-VMware leverage and hyperscaler concentration amplify any miss.
What to Watch Next
The June pullback compressed valuations across the three primary AI compute, accelerator, and custom silicon plays without breaking the demand curve. With NVIDIA guiding to $91 billion in Q2 revenue, AMD to 46% YoY growth, and Broadcom to 84% YoY consolidated growth in Q3, the next leg depends on hyperscaler capex commentary and whether export policy on China data center compute shifts before fiscal year ends.
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