SOXX - ETF AI Analysis

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iShares Semiconductor ETF (SOXX)

Rating:74Outperform

Price Target:―

SOXX, the iShares Semiconductor ETF, earns a solid overall rating driven by several high-quality chip leaders with strong financial performance and powerful tailwinds from AI, such as Micron and ASML, which benefit from robust revenue growth and strategic positions in advanced memory and chipmaking equipment. Other major holdings like Nvidia, Broadcom, and Lam Research also support the rating through their focus on AI and data center growth, though many trade at high valuations that could limit upside. A key risk for the fund is its heavy concentration in the semiconductor sector, where rich valuations, export controls, and China-related regulatory and demand challenges could increase volatility, and weaker names like Teradyne add some drag due to profitability and operational concerns.

Positive Factors

Strong Recent Performance

The ETF has shown strong gains over the past month, three months, and year to date, indicating solid recent momentum.

Leading Semiconductor Holdings

Many of the largest positions, such as Micron, Applied Materials, Lam Research, Intel, KLA, ASML, and others, have delivered strong year-to-date results, helping drive the fund’s returns.

Large Asset Base

The fund manages a very large pool of assets, which can support liquidity and trading efficiency for investors.

Negative Factors

High Industry Concentration

Almost all of the ETF’s exposure is in the technology sector, specifically semiconductors, which increases sensitivity to downturns in this single industry.

Heavy U.S. Focus

The portfolio is almost entirely invested in U.S.-listed companies, offering very limited geographic diversification.

Mixed Top-Holding Performance

Some major positions like Nvidia and Broadcom have shown weak year-to-date performance, which can weigh on the fund if this continues.

SOXX vs. SPDR S&P 500 ETF (SPY)

AUM20.75B

RegionNorth America

Expense Ratio0.34%

Beta1.90

IssueriShares

Inception DateJul 10, 2001

Dividend Yield0.52%

Asset ClassEquity

Index TrackedNYSE Semiconductor Index - Benchmark TR Gross

Share Statistics

EPS (TTM)N/A

Shares OutstandingN/A

10 Day Avg. Volume8,948,821

30 Day Avg. Volume6,756,434

Financial Highlights & Ratios

PEG RatioN/A

Price to Book (P/B)N/A

Price to Sales (P/S)N/A

P/FCF RatioN/A

Enterprise Value/Market CapN/A

Enterprise Value/RevenueN/A

Enterprise Value/Gross ProfitN/A

Enterprise Value/EbitdaN/A

Forecast

1Y Price Target

422.76

Price Target Upside― Downside

Rating ConsensusStrong Buy

Number of Analyst Covering30

EPS Forecast (FY)N/A

Revenue Forecast (FY)N/A

SOXX Summary

SOXX is the iShares Semiconductor ETF, which follows the NYSE Semiconductor Index and focuses on U.S. technology companies that design and make computer chips. It holds many well-known names such as Nvidia and Intel, giving you a simple way to invest in the chip industry that powers AI, 5G, smartphones, and more. Investors might consider SOXX for potential long-term growth and to get diversified exposure across many semiconductor companies instead of picking single stocks. However, it is heavily concentrated in the tech and semiconductor sector, so its price can be very volatile and can rise or fall sharply with chip industry cycles.

How much will it cost me?The iShares Semiconductor ETF (SOXX) has an expense ratio of 0.34%, meaning you’ll pay $3.40 per year for every $1,000 invested. This cost is slightly higher than average because it is a specialized ETF focused on the semiconductor industry, which requires more active management compared to broad market index funds.

What would affect this ETF?The iShares Semiconductor ETF (SOXX) could benefit from growing demand for semiconductors driven by trends like artificial intelligence, 5G, and the Internet of Things, which are fueling innovation in its top holdings like Nvidia and AMD. However, it may face challenges from potential regulatory changes, geopolitical tensions affecting supply chains, or economic slowdowns that could reduce technology spending. Its heavy focus on U.S.-based companies and the technology sector makes it sensitive to these factors.

SOXX Top 10 Holdings

SOXX is a pure play on the chip world, with all its eggs firmly in the semiconductor basket and almost entirely tied to U.S. names. Micron, Applied Materials, Lam Research, and Teradyne are doing the heavy lifting lately, with rising share prices powered by AI and chip-equipment demand. Nvidia is still a star, but its momentum looks more cautious, while AMD and Broadcom are more mixed and occasionally drag on the fund. Overall, this is a high-conviction bet on the semiconductor cycle rather than a broad tech sampler.

Name	Company Name	Weight %	Market Value	Market Cap	Yearly Gain	Overall Rating
MU	Micron	9.46%	$1.97B	$479.61B	322.79%	79 Outperform
NVDA	Nvidia	7.26%	$1.51B	$4.38T	48.15%	76 Outperform
AMAT	Applied Materials	7.11%	$1.48B	$271.04B	119.41%	77 Outperform
AMD	Advanced Micro Devices	6.34%	$1.32B	$315.31B	91.53%	73 Outperform
AVGO	Broadcom	5.70%	$1.19B	$1.53T	64.75%	76 Outperform
LRCX	Lam Research	4.85%	$1.01B	$264.99B	169.66%	77 Outperform
KLAC	KLA	4.30%	$895.51M	$185.95B	98.97%	77 Outperform
ASML	ASML Holding	4.25%	$885.98M	$516.71B	88.47%	81 Outperform
ADI	Analog Devices	4.11%	$855.94M	$149.42B	46.62%	78 Outperform
TER	Teradyne	4.08%	$850.63M	$44.84B	230.20%	71 Outperform

SOXX Technical Analysis

Technical Analysis Sentiment

Negative

Last Price―

Price Trends

50DMA

342.42

Negative

100DMA

319.84

Positive

200DMA

283.47

Positive

Market Momentum

MACD

-3.23

Positive

RSI

43.28

Neutral

STOCH

52.86

Neutral

Evaluating momentum and price trends is crucial in ETF analysis to make informed investment decisions. For SOXX, the sentiment is Negative. The current price of undefined is equal to the 20-day moving average (MA) of 347.32, equal to the 50-day MA of 342.42, and equal to the 200-day MA of 283.47, indicating a neutral trend. The MACD of -3.23 indicates Positive momentum. The RSI at 43.28 is Neutral, neither overbought nor oversold. The STOCH value of 52.86 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for SOXX.

SOXX Peer Comparison

Comparison Results

Name	Price	Price Target	AUM	Expense Ratio	Overall Rating
SOXX	―	―	$20.75B	0.34%	74 Outperform
VGT	―	―	$108.40B	0.09%	74 Outperform
XLK	―	―	$88.07B	0.08%	76 Outperform
XLF	―	―	$45.07B	0.08%	72 Outperform
IYW	―	―	$18.74B	0.38%	76 Outperform
FTEC	―	―	$15.55B	0.08%	74 Outperform

Performance Comparison

SOXX

iShares Semiconductor ETF

331.32

128.31

63.20%

VGT

Vanguard Information Technology ETF

―

XLK

Technology Select Sector SPDR Fund

―

XLF

Financial Select Sector SPDR Fund

―

IYW

iShares U.S. Technology ETF

―

FTEC

Fidelity MSCI Information Technology Index ETF

―

Glossary

BuyAn ETF rated as a "Buy" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the ETF is likely to deliver higher returns compared to other ETFs in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.

HoldAn ETF rated as a "Hold" s expected to perform in line with the overall market or a specific benchmark. This rating indicates that the ETF is neither particularly compelling nor unfavorable for investment. Note: This is not investment advice; please consult a financial advisor before making investment decisions.

SellAn ETF rated as a "Sell" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the ETF may deliver lower returns compared to other ETFs in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.

Disclaimer

This AI Analyst ETF Report is automatically generated by our AI systems using advanced algorithms and publicly available financial, technical, and market data. While the information provided aims to be accurate and insightful, it is intended for informational purposes only and should not be considered financial advice. Any content created by an AI (Artificial Intelligence) system may contain inaccuracies and/or contain errors. Investing in ETFs carries inherent risks, and past performance is not indicative of future results. This report does not account for your personal financial circumstances, objectives, or risk tolerance. Always conduct your own research or consult with a qualified financial advisor before making investment decisions. The analysis and recommendations provided are based on historical and current data and may not fully reflect future market conditions or unexpected developments. Neither the creators of this report nor its affiliated entities guarantee the accuracy, completeness, or reliability of the information presented. Use this report at your own discretion and risk.Date of analysis: ―

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