As of June 16, the median semiconductor stock is 4% undervalued while the median analog stock is 13% undervalued. Digital stocks continue to be undervalued since the previous quarter, standing at a 3% discount. Amidst a rebound from the “tariff tantrum,” both types of semiconductors experienced a sharp recovery from double digit discounts.

Morningstar’s latest Digital and Analog Semiconductor Industry report highlights the demand for artificial intelligence (AI) and accelerators —a shift particularly led by Nvidia’s data center graphics processing units (GPUs). This shift is expected to continue throughout the rest of 2025. Explore our analysts’ predictions based on the AI GPU market, as well as the decline of industrial chip demand with consideration to weakening global macroeconomic factors, and the stalled electric vehicle (EV) semiconductor sector.

Download the report now to learn more about key trends in this global semiconductor industry.