Broadcom Inc. (NASDAQ:AVGO) and Micron Technology Inc. (NASDAQ:MU) rose Friday as a broad semiconductor rally gathered pace following public praise from U.S. President Donald Trump for Intel Corp. and its chief executive, Lip-Bu Tan.
In a Truth Social post after a White House meeting, Trump said he had "just finished a great meeting with the very successful Intel CEO, Lip-Bu Tan," describing the U.S. government's investment as profitable for taxpayers and part of a push to restore leading-edge chip manufacturing in the U.S.
Intel shares jumped nearly 9%, lifting sentiment across the sector. Broadcom climbed almost 3%, Micron gained more than 3%, and Advanced Micro Devices, Inc. (NASDAQ:AMD) edged higher.
The U.S. government first took a position in Intel last August through an $8.9 billion investment tied to unpaid CHIPS Act grants and manufacturing awards.
Broadcom, Micron Seen Levered to AI Demand
Analysts at Bank of America Securities and Goldman Sachs said Broadcom remains positioned to unlock long-term value despite a recent pullback, citing a $73 billion AI backlog, expanding customer adoption, and management's view that $50–$100 billion in AI sales is achievable in fiscal 2026–2027.
They also pointed to growing exposure to Alphabet Inc. (NASDAQ:GOOGL) Google's TPU deployments and large orders from Anthropic. Broadcom crossed the trillion-dollar market-cap mark in December 2024, driven largely by AI demand.
At Micron, JP Morgan analyst Harlan Sur said an AI-driven memory shortage, particularly in DRAM and high-bandwidth memory, should keep demand ahead of supply beyond 2026, supporting pricing.
After meetings with management, Sur highlighted constrained clean-room capacity, strong GPU- and XPU-linked demand from customers such as Nvidia Corp. (NASDAQ:NVDA), and expectations for nearly 60% DRAM price growth in 2026.
Global Chip Sales Hit Records
Industry data continue to reinforce the bullish backdrop. The Semiconductor Industry Association reported global semiconductor sales rose 29.8% year over year to a record $75.3 billion in November, up 3.5% from October. SIA CEO John Neuffer said, "Looking ahead, the global chip market is projected to grow substantially in 2026, reaching nearly $1 trillion in annual sales."
Price Action: Intel shares were up 7.66% at $44.26 at the time of publication on Friday. The stock is trading near its 52-week high of $44.57, according to Benzinga Pro data. Shares of Broadcom gained 3.80%, while Micron Technology advanced 3.69%.
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