VanEck Semiconductor ETF Sees Positive Performance and Fund Flows

VanEck Semiconductor ETF ( $SMH ) has risen by 0.01% in the past week. It has experienced a 5-day net inflow of $513.24 million.
This is due, in part, to market sentiment on some of the ETF’s largest holdings. For example:

• Nvidia Corporation is navigating through significant challenges due to stringent export controls on AI chips to China, prompting the company to exclude the Chinese market from its future sales forecasts. Despite this, Nvidia is making substantial progress in Europe, securing partnerships with several European governments to develop AI infrastructure. This includes the establishment of Europe’s first industrial AI cloud in Germany and a major GPU deployment in France. Analysts remain optimistic about Nvidia’s prospects, with a strong consensus rating of ‘Buy’ and an average price target suggesting a potential 21% increase in stock value, making it an attractive option for investors looking to benefit from the AI boom.
• Taiwan Semiconductor Manufacturing Company Limited (TSMC) has shown robust year-over-year growth, with May 2025 revenue marking a 39.6% increase compared to May 2024. Despite a slight month-over-month decline, TSMC’s strong market position is evident, supported by strategic expansion plans. The stock has a ‘Buy’ rating from analysts with a price target of $200.00. TSMC’s financial performance and optimistic future guidance contribute to its strong position in the semiconductor industry, making it a noteworthy stock for investors.
• Broadcom Inc. is positioned as a strong investment opportunity, driven by its strategic focus on AI and enterprise software. The company reported impressive quarterly results with significant growth in AI semiconductor sales and infrastructure software revenue. Broadcom’s role as a key enabler of AI infrastructure, coupled with its disciplined financial management, makes it a compelling choice for investors. Analysts have a ‘Strong Buy’ consensus on Broadcom, with an average price target indicating a potential return of 18% over the next 12 months, highlighting its appeal as a high-quality opportunity in the technology sector.