Chipmaking stocks opened 2026 with sharp gains as investors continued to favor companies tied to artificial intelligence infrastructure, extending a multi-year rally driven by sustained datacenter demand and heavy spending from large technology firms.
Micron Technology rose about 10% in early trading, while Dutch chip equipment maker ASML gained roughly 9%. Lam Research and Intel advanced more than 6% each, and Marvell Technology climbed around 5%.
Advanced Micro Devices added about 4%, while Nvidia gained around 1%. During 2025, AMD shares rose 77%, and Nvidia increased about 39%.
The sector benefited throughout 2025 from continued investment in AI-related infrastructure. Hyperscalers such as Amazon and Google expanded capital spending to support datacenter growth, helping sustain demand for advanced chips and manufacturing equipment.
Last year marked a third consecutive year of gains for chipmaking stocks, even as investors debated whether AI-driven valuations could be sustained. Concerns over a potential bubble intensified in recent months as share prices continued to climb.
In November, Michael Burry disclosed a short position in Nvidia and AI-focused software company Palantir. Burry later criticized hyperscalers, saying they were artificially inflating earnings.
The broader rally lifted the VanEck Semiconductor ETF about 4% at the start of 2026, building on a nearly 49% gain in 2025. The ETF has posted gains for three consecutive years and recorded its strongest performance in 2023, when it rose more than 72%.
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