"The semiconductor stocks might have endured a bumpier ride in the second half of 2025, but there might be no slowing them down as 2026 kicks off and a new slate of AI trends looks to reignite enthusiasm for many of the stocks that have sold off in recent weeks. Undoubtedly, the latest Santa slump in tech stocks certainly isn't helping soothe investors' AI bubble fears, especially as the bears look to take aim at some of the bigger winners in the past two years."
"While 2026 might be an even rockier year for the top semiconductor stocks, as new entrants look to get a piece of the economic profits that have been raked in by Nvidia ( NASDAQ:NVDA), I do see the potential for up-and-coming AI chip innovators to get a jolt, perhaps at the expense of Jensen Huang's GPU empire. Nvidia poised to continue leading the pack higher in the new year Of course,"
"Regardless of what happens for the semis in the new year, as some of the top players pull the curtain on a new slate of innovators at the 2026 Consumer Electronics Show (CES), I do see the tide as being able to lift all boats across the industry, provided that AI demand strengthens further."
Semiconductor stocks experienced volatility in late 2025 but show potential for renewed momentum in early 2026 driven by new AI trends. Short-term selling pressure and a Santa slump increased bearish concern, yet continued AI adoption could reignite investor enthusiasm. Emerging AI chip innovators and ASIC developers may challenge parts of Nvidia's GPU dominance and capture economic profits. Nvidia remains well positioned to lead if major GPU launches and enterprise agentic AI adoption accelerate demand. Industry events like CES 2026 could boost multiple companies if AI demand holds; weaker demand may produce widespread declines.
Read at 24/7 Wall St.
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