15 chip and semiconductor stocks to buy with +40% upside potential

Investing.com – In the midst of the global semiconductor rush, our AI-powered stock picker has updated its “Taiwan Chip Champions” strategy—available exclusive for InvestingPro members for less than $10 a month.

Based on over 25 years of data and 50+ financial indicators, the algorithm has identified four stocks with strong momentum, solid fundamentals, and upside potential of up to +40%.

Among these, one name stands out above all others: Compeq Manufacturing Co Ltd, which has gained +19.1% in just one month, becoming the poster child for Taiwan’s tech rally.

The stock shows clearly bullish technical signals, with an above average RSI and a positive MACD. All major simple and exponential moving averages, from 5 to 200, are set to “Buy”, confirming a consistent uptrend in both the short and long term.

Key indicators showing the momentum:

• RSI (63.01): positive momentum, but not yet overbought
• MACD (3.48, “Buy” signal): bullish acceleration
• Moving averages (SMA/EMA): all set to “Buy”
• ADX and CCI positive: strong trend, but watch out for profit-taking

Strength, consistency, and momentum are growing, but volatility is also increasing.

Compeq is trading at NT$88.70, with a potential upside of 11.3% according to the average analyst target and 10.1% relative to the estimated fair value.

The Ben Graham model, on the other hand, signals a 27.3% overvaluation, suggesting caution for those looking for “discounted” stocks.

• Analyst target: +11.3%
• Fair Value Pro: +10.1%
• Ben Graham: −27.3%

Key multiples

• P/E: 15.3x in line with moderate growth companies
• PEG: 1.04 balanced valuation
• Dividend yield: 2.2% solid for the sector

12-month performance: +39.6% and volatility at 50.8%: strong rally, but watch out for rapid movements.

Want to find out about the other AI-picked chip stocks with high potential?

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WarrenAI

Here’s what our GEN AI stock market analyst says about Compeq Manufacturing:

“Balanced valuation, solid trend, and pricing consistent with expected growth. Not a discount stock, but a name to keep in your portfolio if you believe in the long positive cycle for semiconductors.”

In summary:

• Solid technical trend and momentum
• Valuation not cheap, but consistent
• High volatility risk
• Moderate but sustained growth potential

ProPicks AI continues to generate ideas

Strategies such as Taiwan Chip Champions continue to generate exceptional results: +340% in 5 years and over +1000% in the last 10 years, demonstrating AI’s ability to ride trends and adapt to markets.

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NEW US strategies just launched

Thanks to feedback from over 1,500 users, 5 new thematic strategies are now available for those investing in the US market:

• Healthcare Heroes – Biotech, Pharma, MedTech - See HERE
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• Small-Cap Sprinters – Small companies with high potential - See HERE
• Quality Compounders – High ROE, solid balance sheets - See HERE

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