Smh stock forecast forecast models for SMH stock suggest

Forecast models for SMH stock suggest sustained growth in memory chips and logic processors through 2025, which could underpin steady dividend increases for ETF holders. After a strong start to 2024, SMH has taken a beating this summer. However, for investors with a long-term time horizon, the semiconductor sector still offers plenty of promise, and SMH is a good way to gain exposure to it. Overall, FTXL is a good ETF with a solid performance track record, but I am less bullish on it due to the fact that it has significantly lagged SMH’s performance over the past three and five years and also has a higher expense ratio. I land on a neutral rating here. Macro conditions influence SMH stock forecast, with stable interest rates and softening inflation supporting capital expenditure in tech, which historically correlates with higher SMH valuations.