/Semiconductor%20chip%20by%20Mykola%20Pokhodzhay%20via%20iStock.jpg)
After a difficult stretch during the pandemic era, marked by supply chain snags and perpetual inventory issues, the semiconductor industry has gotten a shot in the arm from the mainstream adoption of artificial intelligence (AI). The rapidly expanding AI market, expected to grow at a compound annual growth rate of 36.6% through 2030, requires advanced chips with higher computing power, which has generated substantial demand and created new avenues for growth in the semiconductor space.
Microchip Technology (MCHP), a large-cap semiconductor stock that's making its own push into AI, fell last week after disclosing a cyberattack that disrupted operations at several manufacturing facilities. The attack, first detected on Aug. 17, forced the company to shut down some systems and scale back operations, leading to delays in fulfilling orders. However, at least one analyst suggests that this dip in MCHP could be a buying opportunity - and with a “Strong Buy” consensus on Wall Street, it seems most would agree.
