Zacks Investment Ideas feature highlights: JPMorgan, Sandisk, Micron Technology, Nvidia, Broadcom, AMD, Taiwan Semiconductor, Arista Networks, Meta Platforms and Microsoft - The Globe and Mail

The second quarter of 2026 marked one of the strongest periods for U.S. equities in recent memory, with the S&P 500 surging 15% amid robust corporate earnings and continued enthusiasm for artificial i... Read original →

The Q2 2026 equity surge reflects AI infrastructure demand fundamentally reshaping the semiconductor value chain. HBM and enterprise SSDs have become critical profit drivers for Micron and SanDisk, spurring upstream investments in advanced packaging and silicon interposers. However, tightening U.S. export controls compel foundries like TSMC (Taiwan, China) to accelerate overseas capacity builds, inflating capex by over 15% and pressuring margins. While NVIDIA dominates AI training chips, AMD and Broadcom are eroding its moat via custom ASICs and co-packaged optics targeting hyperscalers. Over the next 12–24 months, HBM4 ramp-up and CoWoS supply relief will lower memory bandwidth costs, enabling edge AI scaling—but with Shiller CAPE at 41x, any slowdown in corporate capex or geopolitical flare-up could trigger >30% corrections in overvalued semiconductor equities.