25 Most Valuable Semiconductor Companies In The World
In this article, we will be looking at the 25 most valuable semiconductor companies in the world. If you want to skip our detailed analysis of the global semiconductor industry, you can go directly to the 5 Most Valuable Semiconductor Companies in the World.
Semiconductor Industry: Key Insights
According to a report by Deloitte, 2023 was a tumultuous year for the semiconductor industry as it experienced sales declining by 9.4% to $520 billion. This was the seventh downturn the industry went through since 1990. The situation was expected to be much worse, however, many semiconductor companies had stronger second and third quarters. 2024 is anticipated to be a better year with global sales predicted to reach $588 billion and surpass the record revenues of 2022, $574 billion.
The memory chip market had the worst drop in sales in 2023, 31%. It was the most significantly impacted segment of the semiconductor industry. The rest of the industry only went through a steady 3% decline in sales in 2023. In end markets, PC and smartphone sales are expected to grow by 4% in 2024 after going through a downward slump in 2023. Communication and computer chip sales, including data center chips, remain crucial, constituting 56% of overall semiconductor sales in 2022. High inventory levels and declining fab utilization pose challenges for the industry. Inventory levels remained high at over $60 billion in fall 2023. Fab utilization also remained high during the recent shortage.
Major Players In The Semiconductor Industry
NVIDIA Corp (NASDAQ:NVDA), Taiwan Semiconductor Manufacturing Company Limited (NYSE:TSMC), and Broadcom Inc. (NASDAQ:AVGO) are some of the most prominent names in the semiconductor industry.
NVIDIA Corporation (NASDAQ: NVDA) is an American semiconductor company. NVIDIA Corporation (NASDAQ: NVDA) is based in Santa Clara, California. It is a leading provider of graphics processing units and application programming interfaces. On February 6, the company announced a partnership with Cisco Systems Inc (NASDAQ:CSCO). The partnership aims to provide AI infrastructure solutions for data centers by equipping enterprises with the computing power necessary for success in the AI era. Cisco's networking expertise and NVIDIA's GPU technology combined would enable them to deliver secure and scalable Ethernet-based infrastructure.
Taiwan Semiconductor Manufacturing Company Limited (NYSE:TSMC) is a Taiwan-based semiconductor company founded in 1987. The company is also a notable supplier of artificial intelligence hardware and software. On February 6, the company announced further investment in Japan Advanced Semiconductor Manufacturing, Inc. (JASM). Sony Semiconductor Solutions Corporation (SSS), DENSO Corporation, and Toyota Motor Corporation are also investing in JASM. JASM is Taiwan Semiconductor Manufacturing Company Limited's (NYSE:TSMC) majority-owned manufacturing subsidiary in Kumamoto Prefecture, Japan, which aims to build a second fab, scheduled to start operations by the end of 2027. The investment is expected to create over 3,400 high-tech professional jobs.
Broadcom Inc. (NASDAQ:AVGO) is a notable semiconductor company headquartered in San Jose, California. The company designs, develops, and supplies semiconductor and infrastructure software solutions. On December 7, 2023, Broadcom Inc. (NASDAQ:AVGO) reported earnings for the fiscal fourth quarter of 2023. The company reported an EPS of $11.06, beating estimates by $0.1. The company's revenue for the quarter grew by 4.09% and amounted to $9.3 billion, ahead of market consensus by $18.97 million. As of February 15, the company has surged nearly 50.56% over the past six months. Here are some comments from the company's earnings call:
"In our fiscal Q4 2023, consolidated net revenue was $9.3 billion, up 4% year-on-year and very much as we had guided at the last conference call. Semiconductor solutions revenue increased 3% year-on-year to $7.3 billion, and infrastructure software revenue grew 7% year-on-year to $2 billion. Overall, while infrastructure software remains very stable, semiconductor is continuing the cyclical slowdown at enterprises and telcos that we have been seeing over the past six months. However, hyperscalers remain strong. Generative AI revenue, driven by Ethernet solutions and custom AI accelerators, represented close to $1.5 billion in Q4 or 20% of semiconductor revenue, while the rest of the semiconductor revenue continued to be rather stable at around $6 billion."
The semiconductor industry is a booming industry with prominent companies competing to meet to growing demand. We have made a list of the most valuable semiconductor companies in the world.
25 Most Valuable Semiconductor Companies In The World
Our Methodology
To make our list of the most valuable semiconductor companies in the world, we went over several sources including industry reports, our own rankings, and multiple similar rankings. We also scanned the Finviz and Yahoo Finance stock screeners. For public companies, we checked each company's market capitalization, as of February 15, 2024, on Yahoo Finance. The market caps for foreign companies were converted to US dollars based on the exchange rates of the respective country. To quantify the "value" or "size" of private companies, we selected either the estimated valuation, or the annual revenue available for the most recent fiscal year, or the number of employees, subject to availability of data. The estimated valuation was sourced from major media reports based on the private companies' latest funding round. The annual revenue or number of employees was sourced from official statements by the company and the company's website. Since no private company made it to our list, we have ranked the most valuable semiconductor companies in the world in ascending order of their market capitalization, as of February 15.
By the way, Insider Monkey is an investing website that tracks the movements of corporate insiders and hedge funds. By using a consensus approach, we identify the best stock picks of more than 900 hedge funds investing in US stocks. The top 10 consensus stock picks of hedge funds outperformed the S&P 500 Index by more than 140 percentage points over the last 10 years (see the details here). Whether you are a beginner investor or a professional one looking for the best stocks to buy, you can benefit from the wisdom of hedge funds and corporate insiders.
25 Most Valuable Semiconductor Companies In The World
25. Cirrus Logic Inc. (NASDAQ:CRUS)
Market Cap as of February 15: $4.89 Billion
Cirrus Logic Inc. (NASDAQ:CRUS) is a fabless semiconductor company. Cirrus Logic Inc. (NASDAQ:CRUS) specializes in low-power, high-precision mixed-signal processing solutions. The company also develops a range of audio products, including codec components, smart codecs, and boosted amplifiers.
24. Allegro MicroSystems Inc (NASDAQ:ALGM)
Market Cap as of February 15: $6.03 Billion
Allegro MicroSystems Inc. (NASDAQ:ALGM) is a company that specializes in the development and manufacture of sensor integrated circuits. Allegro MicroSystems Inc. (NASDAQ:ALGM) was founded on March 30, 2013, and is headquartered in Manchester.
23. Rambus Inc (NASDAQ:RMBS)
Market Cap as of February 15: $6.13 Billion
Rambus Inc. (NASDAQ:RMBS) is a semiconductor company that produces industry-leading chips and silicon IP. The company was incorporated in 1990 and is headquartered in San Jose. As of February 15, the market cap of Rambus Inc. (NASDAQ:RMBS) is $6.13 billion.
22. MACOM Technology Solutions Holdings Inc (NASDAQ:MTSI)
Market Cap as of February 15: $6.19 Billion
MACOM Technology Solutions Holdings Inc. (NASDAQ:MTSI) designs, develops, and manufactures semiconductors and modules with a focus on serving data centers, and telecommunication. MACOM Technology Solutions Holdings Inc. (NASDAQ:MTSI) was founded on March 25, 2009 and is headquartered in Lowell.
21. Lattice Semiconductor Corp (NASDAQ:LSCC)
Market Cap as of February 15: $10.53 Billion
Lattice Semiconductor Corp (NASDAQ:LSCC) is a company that designs, develops, and markets programmable logic products and related software. The company was founded in 1983 and is headquartered in Hillsboro. Lattice Semiconductor Corp (NASDAQ:LSCC) has a market cap of $10.53 billion, as of February 15.
20. Qorvo Inc (NASDAQ:QRVO)
Market Cap as of February 15: $10.97 Billion
Qorvo Inc. (NASDAQ:QRVO) is a semiconductor company that provides RF and power semiconductor solutions Qorvo Inc. (NASDAQ:QRVO) is one of the most valuable semiconductor companies in the world.
19. Skyworks Solutions Inc (NASDAQ:SWKS)
Market Cap as of February 15: $16.96 Billion
Skyworks Solutions Inc. (NASDAQ:SWKS) is a semiconductor company that designs, develops, and manufactures proprietary semiconductor products. Skyworks Solutions Inc. (NASDAQ: SWKS) was founded in 1962 and is headquartered in Irvine.
18. United Microelectronics Corp (NYSE:UMC)
Market Cap as of February 15: $19.83 Billion
United Microelectronics Corp (NYSE:UMC) is one of the most valuable semiconductor companies in the world. The company is based in Hsinchu, Taiwan. United Microelectronics Corp (NYSE:UMC) was founded in 1980.
17. Globalfoundries Inc (NASDAQ:GFS)
Market Cap as of February 15: $30.41 Billion
GlobalFoundries Inc. (NASDAQ:GFS) is a multinational semiconductor contract manufacturing and design company. GlobalFoundries Inc. (NASDAQ:GFS) manufactures integrated circuits on wafers designed for various markets, including smartphones and automobiles.
16. ON Semiconductor Corporation (NASDAQ:ON)
Market Cap as of February 15: $34.90 Billion
ON Semiconductor Corporation (NASDAQ:ON) is an American semiconductor supplier company based in Scottsdale, Arizona. ON Semiconductor Corporation (NASDAQ:ON) was founded in 1999 and is a leading semiconductor manufacturer. The company provides power and signal management, logic, discrete, and custom devices for various applications.
15. Monolithic Power Systems Inc (NASDAQ:MPWR)
Market Cap as of February 15: $35.79 Billion
Monolithic Power Systems Inc. (NASDAQ:MPWR) is a global company that manufactures and designs semiconductor-based power electronics solutions. Monolithic Power Systems Inc. (NASDAQ:MPWR) is headquartered in Kirkland, Washington.
14. STMicroelectronics NV (NYSE:STM)
Market Cap as of February 15: $40.57 Billion
STMicroelectronics NV (NYSE:STM) is a multinational semiconductor company. The company is headquartered in Plan-Les-Ouates, Switzerland, and offers a variety of semiconductor products including silicon chips and smartcards. As of February 15, the market cap of STMicroelectronics NV (NYSE:STM) is $40.57 billion.
13. Microchip Technology Inc (NASDAQ:MCHP)
Market Cap as of February 15: $43.54 Billion
Microchip Technology Incorporated (NASDAQ:MCHP) is an American semiconductor company that manufactures a variety of products including ICs. Microchip Technology Incorporated (NASDAQ:MCHP) was founded in 1989 and is headquartered in Chandler, Arizona.
12. Marvell Technology Inc (NASDAQ:MRVL)
Market Cap as of February 15: $59.62 Billion
Marvell Technology Inc (NASDAQ: MRVL) is a leading semiconductor company that provides essential technology required for a variety of technologies including 5G networks and automotive innovation. Marvell Technology Inc (NASDAQ: MRVL) is one of the most valuable semiconductor companies in the world.
11. NXP Semiconductors NV (NASDAQ:NXPI)
Market Cap as of February 15: $60.31 Billion
NXP Semiconductors NV (NASDAQ:NXPI) is a Dutch semiconductor company that designs and manufactures semiconductors including integrated circuits, power modules, and switches. NXP Semiconductors NV (NASDAQ:NXPI) is headquartered in Eindhoven, Netherlands.
10. Micron Technology Inc (NASDAQ:MU)
Market Cap as of February 15: $90.33 Billion
Micron Technology Inc (NASDAQ:MU) is one of the leading semiconductor companies that designs and manufactures a variety of products including dynamic random access memory chips (DRAMs). Micron Technology Inc (NASDAQ:MU) was founded on October 5, 1978, and is headquartered in Boise, Idaho.
9. Analog Devices Inc. (NASDAQ:ADI)
Market Cap as of February 15: $92.39 Billion
Analog Devices Inc. (NASDAQ:ADI) is an American multinational semiconductor company. As of February 15, the company has a market cap of $92.39 billion. Analog Devices Inc. (NASDAQ:ADI) is headquartered in Wilmington, Massachusetts. The company specializes in data conversion, signal processing, and power management technology.
8. Arm Holdings PLC - ADR (NASDAQ:ARM)
Market Cap as of February 15: $129.95 Billion
Arm Holdings plc (NASDAQ:ARM) is a British semiconductor and software company that designs central processing unit (CPU) cores. It is one of the most valuable semiconductor companies in the world.
7. Texas Instruments Inc (NASDAQ:TXN)
Market Cap as of February 15: $143.55 Billion
Texas Instruments Inc (NASDAQ:TXN) is an American technology company. Texas Instruments Inc (NASDAQ:TXN) is headquartered in Dallas, Texas. It designs and manufactures semiconductors, analog chips, and embedded processors
6. Qualcomm Inc (NASDAQ:QCOM)
Market Cap as of February 15: $171.80 Billion
Qualcomm Inc (NASDAQ:QCOM) is an American multinational corporation headquartered in San Diego, California. As of February 15, Qualcomm Inc (NASDAQ:QCOM) has a market cap of $171.80 billion. The company creates semiconductors, software, and services related to wireless technology.
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Disclosure: None. 25 Most Valuable Semiconductor Companies in the World is originally published on Insider Monkey.