The recent pullback in semiconductor stocks may have created opportunities for investors willing to look beyond the market’s short-term jitters. The AI complex has repriced sharply since June 22, according to UBS, marking the start of a sharp reversal across parts of the technology sector. The bank screened for technology stocks that have sold off since late June but continue to show improving fundamentals under its proprietary HOLT framework. These companies have pulled back from recent highs, but show positive cash-flow return revisions and upside based on its valuation model, suggesting buying opportunities for investors. Here are 10 stocks from the list: Through Friday’s market close, chipmaker Micron fell about 30% since June 22. Despite being one of the hardest-hit names in the recent sell-off, UBS sees it as a pullback opportunity. Micron’s revenue growth has exceeded analysts’ estimates. In the fiscal third quarter ended May 28, revenue reached $41.46 billion , a significant jump from $9.3 billion in the prior-year period. “Micron is investing at record levels in technology, products and supply to address our customers’ rapidly growing demand,” Sanjay Mehrotra, chairman, president and CEO of Micron Technology said in June. Micron continues to strike new multiyear deals with customers , especially in the AI automotive space. Earlier this month, Micron agreed to support Ford’s next-generation vehicles, a part of its broader push to secure long-term demand for its memory and storage products. Broadcom has also held up better than many semiconductor peers, according to UBS. Through Friday, shares slipped about 5% during the recent reset, while remaining 25% below its 52-week high. UBS’s screen shows the stock continues to show improving cash-flow returns and upside potential under its valuation framework. Broadcom’s revenue grew 48% to $2.19 billion year over year in the second quarter ended May 3. AI semiconductor revenue jumped 143% to $10.8 billion year over year, driven by demand for custom AI accelerators and AI networking. “The momentum continues and in Q3 we expect semiconductor revenue from AI to grow over 200 percent year-over-year to $16 billion,” Hock Tan, Broadcom’s president and CEO said the press release . Earlier this year, it expanded its multiyear partnership with Meta to develop successive generations of custom AI accelerator chips, supporting the social media company’s growing AI infrastructure. By the end of last week, Advanced Micro Devices stock had fallen about 10% since June 22, but UBS maintains an optimistic view that the chip giant’s underlying cash-flow returns will improve. In its first-quarter earnings release in May, the chipmaker had data center segment revenue of $5.8 billion, an increase of 57% year-over-year. The rise was driven by demand for its EPYC processors and the ramp-up of Instinct AI GPU shipments. At the time, AMD CEO Lisa Su said server growth was expected to accelerate “meaningfully” as the company scales supply to meet demand. “Customer engagement around MI450 Series and Helios is strengthening, with leading customer forecasts exceeding our initial expectations and a growing pipeline of large-scale deployments providing us with increasing visibility into our growth trajectory,” Su said. Helios is the chipmaker’s first rack-scale AI system and is expected to ship later this year. On Monday, Microsoft said it would deploy Helios racks at its Azure data centers for inference workloads spanning frontier models, Azure AI services and customer applications.
Tech stocks to buy after the big semiconductor pullback, according to UBS
