What Happened?
A number of stocks jumped in the afternoon session after the VanEck Semiconductor ETF jumped nearly 5% in response to the de-escalation of the U.S.-Iran conflict.
The sector rallied specifically because semiconductors were highly vulnerable to the supply chain disruptions that occurred during the war. The reopening of the Strait of Hormuz is a critical victory for the industry, as the waterway is essential for the transit of noble gases and materials used in chip fabrication.
The stock market overreacts to news, and big price drops can present good opportunities to buy high-quality stocks.
Among others, the following stocks were impacted:
- Analog Semiconductors company onsemi (NASDAQ: ON) jumped 7.2%. Is now the time to buy onsemi? Access our full analysis report here, it’s free.
- Memory Semiconductors company Seagate (NASDAQ: STX) jumped 6.8%. Is now the time to buy Seagate? Access our full analysis report here, it’s free.
- Analog Semiconductors company Impinj (NASDAQ: PI) jumped 5.5%. Is now the time to buy Impinj? Access our full analysis report here, it’s free.
- Semiconductor Manufacturing company Amtech (NASDAQ: ASYS) jumped 7.1%. Is now the time to buy Amtech? Access our full analysis report here, it’s free.
Zooming In On onsemi (ON)
onsemi’s shares are very volatile and have had 27 moves greater than 5% over the last year. In that context, today’s move indicates the market considers this news meaningful but not something that would fundamentally change its perception of the business.
The previous big move we wrote about was 8 days ago when the stock gained 6.5% on the news that Nvidia announced a strategic partnership and a $2 billion investment in fellow chipmaker Marvell Technology.
Following the news, Marvell's stock surged 6.9%, while Nvidia's shares also climbed, providing a lift to the broader semiconductor sector. The collaboration aims to connect Marvell to NVIDIA's AI ecosystem through its NVLink Fusion technology, giving customers more flexibility in developing advanced infrastructure. This significant investment by the AI chip leader stressed the continued rapid expansion and high-stakes competition within the artificial intelligence hardware industry, boosting investor confidence across the sector.
onsemi is up 20.5% since the beginning of the year, and at $68.33 per share, it is trading close to its 52-week high of $72.21 from February 2026. Investors who bought $1,000 worth of onsemi’s shares 5 years ago would now be looking at an investment worth $1,587.
ONE MORE THING: 3 Hidden Platforms Growing 3X Faster than Amazon, Google, and PayPal. Amazon, Google, and Meta all followed the same playbook: Dominate an ignored market. Build an unbeatable moat. Scale until you’re unstoppable.
These three platforms are running that exact playbook right now. The early investors in Amazon made fortunes. The early investors in these could do the same. Get All 3 Stocks Here for FREE.
