3 Chip Stocks With the Fundamentals to Survive the Bumpy Ride The best chip stocks to buy are those with the resilience to come back from a tough market. Semiconductors have gotten crushed in 2022. One of the best-known indicators, the PHLX Semiconductor Index, is down more than 33% thus far. However, things appear likely to get even worse. Citigroup (NYSE: C ) analysts Christopher Danely and Kelsey Chia expect the market is “entering the worst semiconductor downturn in a decade given the recession and inventory build.” They believe that a supply glut is going to lead to a round of cancellations beginning in mid-September as some chip companies have begun to sound excess supply warnings. This all comes as computer and video game sales decrease and the Chinese market softens. On top of that, the U.S. is tightening export restrictions directed at China and Russia. The broad warning is leading investors to consider which chip stocks to buy and which aren’t. ADI Analog Devices $154.18 MU Micron Technology $57.44 QCOM Qualcomm $132.05 Analog Devices (ADI) Source: Shutterstock Analog Devices (NASDAQ: ADI ) hasn’t been immune to the larger issues at play affecting the semiconductor industry.