A global chip shortage has disrupted the semiconductor industry in the past two years as demand continues to outpace supply. Several chip stocks were hammered by the strong macroeconomic headwinds and supply chain constraints.
On the bright side, as the macro clouds clear, some potential industry players could buck the downturn and reap significant gains. Demand from cloud computing, artificial intelligence, continued digitization of industrial economies, the rapid expansion of 5G, and next-generation auto technology should help maintain the secular tailwinds and bolster the long-term growth prospects of chip stocks in the upcoming years.
