Top Canadian Semiconductor Stocks of 2026

Semiconductors are the foundation of nearly every modern technology from smartphones and electric vehicles to medical imaging systems, cloud servers, and AI supercomputers. These tiny chips, many no larger than a fingertip, power the digital infrastructure that keeps our economy running and are becoming even more essential as AI, automation, and advanced computing accelerate.

While Canada’s semiconductor sector is smaller than those of the U.S., Taiwan, or South Korea, it has gained renewed national priority. The federal government has expanded its support through multi-year funding programs, including hundreds of millions earmarked for R&D, domestic manufacturing, and supply chain security as part of the $250-million Semiconductor Challenge Callout. This comes at a time when global chip demand is soaring, driven by AI hardware, electric vehicles, and data centers, while geopolitical pressures continue to reshape supply chains.

Even as some chipmakers experienced short-term volatility tied to consumer electronics demand, semiconductor companies positioned in AI infrastructure, specialty materials, and automotive technologies have rebounded strongly heading into 2026. For investors looking to benefit from long-term growth in chip innovation, Canadian semiconductor stocks remain a compelling opportunity.

What are semiconductor stocks?  

Semiconductor stocks can fall into a variety of market sectors, ranging from companies that mine silicon to chemical plants that turn it into materials. However, we typically associate them with the tech sector. 

And, like other tech stocks, semiconductor stocks can be especially volatile. Companies that perform well in this sector are those that can generate sustainable revenues, keep costs low, and reinvest capital in research and new technology. 

Top semiconductor stocks for Canadian investors 

Many of the largest semiconductor companies are headquartered in the United States. That said, Canada has some exciting growth stocks in this industry. It would be foolish to overlook up-and-coming tech companies trading on the Canadian stock market. 

For diversity, let’s look at three big U.S. semiconductor stocks and one growth Canadian company. 

Nvidia 

Nvidia is globally recognized for its Graphics Processing Units (GPUs), a specialized semiconductor that remains fundamental to its operations, serving the massive gaming market. However, the company’s focus and immense financial strength are now concentrated on its Data Center segment, which eclipsed gaming years ago to become the dominant source of revenue.

The Data Center segment leverages its high-performance GPUs (like the new Blackwell platform) and its proprietary CUDA software ecosystem to accelerate a mind-numbing range of operations. This includes providing the core infrastructure for generative Artificial Intelligence (AI), large language models (LLMs), high-performance computing (HPC), and cloud networking services for tech giants and governments (Sovereign AI). This singular dominance in AI infrastructure has driven its unprecedented market cap growth.

Following exponential revenue growth, with Q3 FY2026 Data Center revenue hitting a record $51.2 billion, Nvidia has shattered valuation records. The company surpassed both Apple and Microsoft to briefly become the world’s most valuable publicly traded company in mid-2025 and has since reached a market capitalization of over $4 trillion (at the time of this writing), cementing its position as the defining force of the AI revolution.

Intel

Intel, one of the world’s largest semiconductor makers, is pushing forward with its IDM 2.0 strategy to regain process leadership while scaling its new Intel Foundry business. Its core revenue still comes from the Client Computing Group (CCG) and the Data Center & AI (DCAI) Group, which continue to anchor profitability during the transition.

In Q3 2025, Intel delivered its fourth straight quarter of operational improvement, reporting $13.7 billion in revenue and non-GAAP EPS of $0.23. CCG grew on stronger PC demand, while DCAI saw sequential gains from increasing AI-driven Xeon uptake. Intel’s financial position also improved following a major U.S. CHIPS Act commitment of over $8.5 billion in direct funding and up to $11 billion in loans to support its U.S. manufacturing expansion.

Intel Foundry remains the centerpiece of the turnaround. The unit generated $4.2 billion in Q3 2025 (still largely internal) and operated at a loss due to heavy investment in advanced nodes. The “Five Nodes in Four Years” plan remains on track, with Intel 18A set for volume production in late 2025 and early external customer interest. Looking to 2026, Intel aims to lower operating expenses, grow its core chip businesses, and advance its next node, Intel 14A. These steps are key to securing more foundry customers and becoming a top global foundry by 2030.

Texas Instruments

Texas Instruments (TI) is a global leader in analog and embedded-processing semiconductors, supplying essential components used across industrial, automotive, enterprise, and consumer electronics markets. Its analog segment—covering power management, signal processing, and real-world interface chips—remains its dominant revenue driver, accounting for nearly 80% of total sales and providing stable, long-cycle demand.

In Q3 2025, TI reported strong results with $4.74 billion in revenue, up 14% year-over-year as both analog and embedded-processing sales grew meaningfully. Gross margins held firm at roughly 57%, and operating margins remained strong at about 35%. The company also generated robust free cash flow, supported in part by U.S. CHIPS Act incentives tied to TI’s ongoing U.S. manufacturing expansion.

Looking ahead, TI is well-positioned due to its broad market exposure, focus on industrial and automotive customers, and reputation for disciplined capital management. Its consistent dividends, share buybacks, and steady cash generation underscore its role as one of the semiconductor industry’s most stable and resilient long-term performers.

5N Plus

5N Plus (TSX:VNP) is emerging as a strong contender for 2026 thanks to its specialty semiconductors and high-performance materials used in fast-growing sectors like renewable energy, space technology, optoelectronics, and advanced manufacturing. As global demand for cutting-edge materials accelerates, the company is benefiting from its leadership position and diversified end markets.

Recent results highlight this momentum: revenue jumped 33% year over year to a 10-year high, while adjusted EBITDA surged 86%, driven largely by booming demand in terrestrial and space solar applications. Strong pricing in its performance materials segment and one of the healthiest balance sheets in the industry further support its expansion plans, including scaling solar cell production for commercial, civil, and defence clients.

A key competitive advantage is 5N Plus’s ability to supply ultra-high-purity materials outside of China, an increasingly valuable position amid shifting global supply chains. With rising demand from renewable energy, space systems, and medical imaging, plus strong execution and financial flexibility, 5N Plus is well-positioned for continued long-term growth.

POET Technologies 

POET Technologies (TSXV: PTK) is a growth company based in Toronto. It designs and develops a special kind of semiconductor that integrates electronics and photonics into a wafer-level device. 

According to the company, this integrated chip will cut assembly and component costs for its clients. It will also provide them with a flexible platform that could have far-reaching applications from data centre solutions to consumer product development. 

In 2025 the company began commercial execution: in Q3 it booked its first production orders, launched a 1.6T optical receiver (in partnership with Semtech) for AI-data-center interconnects, and expanded manufacturing capacity via contract manufacturing agreements in Malaysia. At the same time, POET secured substantial funding through a private placement and institutional financing.

Although still operating at a net loss due to ramp-up costs and upfront R&D, POET is transitioning toward volume manufacturing and revenue generation. With its technology, early orders, and strong cash backing, it could become a relevant supplier of high-speed optical interconnects, especially as demand grows for bandwidth-hungry AI and hyperscale data centers.

Are semiconductor stocks right for you?  

The semiconductor sector presents an enticing investment prospect in 2025, buoyed by technological advancements in fields such as artificial intelligence, autonomous vehicles, cloud computing, and green energy solutions. This upsurge in demand, highlighted by AI-driven companies like Nvidia, accentuates the pivotal role of semiconductors in future technological progress.

However, potential investors should recognize the sector’s complexity, from the procurement of materials like silicon to the capital-heavy chip fabrication process. Additionally, the semiconductor industry is characterized by its cyclical nature, influenced by consumer demand and broader economic trends. For example, a dip in tech product sales during the 2022-2023 economic slump resulted in an oversupply, impacting giants such as Intel and AMD, though the market saw a resurgence in 2024 attributed to demands in data centers, AI, and automotive technologies.

Despite these fluctuations, the long-term outlook for semiconductor stocks is promising, especially with global efforts like the U.S. CHIPS Act promoting domestic manufacturing and major firms investing in advanced 2nm and 3nm chip technologies.

For forward-looking investors, semiconductor stocks present a lucrative growth avenue, especially for those planning to maintain their portfolios over the next decade, given the industry’s trajectory towards continuous technological innovation.