Zacks Highlights Analog Devices and Peers as Global Chip Sales Reach Record

Zacks highlights four semiconductor stocks

Zacks.com said on November 5 that its Analyst Blog had recently featured Analog Devices, Taiwan Semiconductor Manufacturing Co. Ltd., Texas Instruments and NVIDIA Corp. The article presented the four stocks as attractive investment options with strong growth potential, based on continued heavy investment in artificial-intelligence infrastructure and elevated semiconductor demand. The disclosure was a selection of stocks discussed by Zacks analysts, not a new company announcement from Analog Devices or the other businesses.

Third-quarter semiconductor sales reached a record

Global semiconductor sales totaled $517.7 billion in the third quarter, up 24.1% from the second quarter, according to the Semiconductor Industry Association. September sales reached $172.6 billion, a year-over-year increase of 146.8%, and rose 7.9% from August's $159.7 billion.

The third-quarter figure followed global sales of $403.3 billion in the second quarter and $298.5 billion in the first quarter of 2026. The reported sequential changes were 33.1% and 25%, respectively. Semiconductor Industry Association President and CEO Michael Robbins said worldwide sales increased by more than 20% quarter to quarter for the third consecutive quarter.

AI investment and automotive demand supported the market

Zacks said continued investment in AI infrastructure was expected to create significant growth opportunities for the semiconductor industry. It also cited rising automotive-industry demand as another source of momentum and described AI as being at an early stage of its growth cycle, prompting major technology companies to allocate billions toward research, development and infrastructure.

The article also noted that AI-related chip stocks had recently come under pressure as investors moved away from riskier assets amid concerns about stretched valuations and the sustainability of rapid AI-sector expansion. Against that backdrop, Zacks characterized Analog Devices, TSMC, Texas Instruments and NVIDIA as appearing well positioned to benefit from growing demand. That was the analysts' investment view, not a disclosed order, procurement agreement or company forecast.

Broader market concerns remained unresolved

The reviewed coverage said major chipmakers had reported strong quarterly earnings and issued optimistic guidance, helping ease investor concerns. It also reported that semiconductor sales had posted year-over-year growth in each of the first nine months of 2026 and that sales had surpassed the $1 trillion mark for the first time through August. The evidence did not provide Analog Devices-specific sales, earnings, guidance or manufacturing updates.