Direct Answer
60 SEC filers are classified under the Standard Industrial Classification code that describes the cpu & processor semiconductors industry, and their latest annual reports show $542.8 billion of combined revenue and a median operating margin of -2.3%. Investors should still evaluate its revenue model, industry-specific KPIs, valuation framework and the risks that can change the group's economics.
Industry Overview
CPU and processor makers design the general-purpose and specialized processors that run personal computers, servers and devices, and compete on performance, power and software ecosystems. A few companies dominate, and product transitions drive share. The first numbers to compare across companies here are revenue by segment, client and data center; gross margin; market share.
Key Industry Metrics
- Revenue by segment, client and data center: Sales split between PC chips and server or data center chips. The two follow different cycles, with servers tied to cloud and AI spending and PCs to consumer and business refresh.
- Gross margin: Revenue left after design, wafer and packaging costs. Richer server products, process advantage and high utilization lift it, while price competition and underused fabs reduce it.
- Market share: The portion of units or revenue held versus rivals in each market. Small shifts matter because the market has few players, and gains usually follow product launches.
- Process node and roadmap: Where the company's manufacturing technology and upcoming products stand versus competitors. Delays can cost share for years, so execution on the roadmap often matters more than any single quarter.
- Capital spending or foundry spending: Money spent on fabs and tools, or on buying wafers from outside foundries. It shows how much the model depends on owned plants, with heavy spending raising risk and cash needs.
Primary Macro Drivers
- PC and server demand: Shipments of personal computers and servers set the unit base for processor sales, appearing in client and data center segment revenue.
- AI and cloud workloads: Training and running AI and cloud applications requires more processing power per server, raising data center revenue and average selling price.
- Product cycles: New processor generations with better performance or efficiency trigger upgrade purchases and shift market share, visible in segment revenue and gross margin.
- Foundry capacity: Access to leading-edge manufacturing, either owned or outsourced, decides which products can ship on time, affecting market share, margin and capital or foundry spending.
Major Risks
- Share shifts: Rivals winning key platforms or buyers can move revenue and gross margin quickly; watch reported segment share and pricing commentary.
- Execution on roadmaps: Delays or performance misses in new designs let competitors gain ground and force price cuts; watch roadmap timing disclosures and gross margin.
- Cyclical PC demand: Consumer and business PC purchases swing with the economy and replacement timing, hitting client revenue; watch client segment trends and channel inventory.
- Capital intensity: Design, manufacturing and process development costs are large and fixed, so weak sales reduce margin and cash flow; watch capital spending and gross margin together.
Industry Characteristics
| Characteristic | Profile |
|---|---|
| Cyclicality | Cyclical |
| Capital Intensity | Medium |
| Regulatory Intensity | Low |
| Industry Maturity | Mature |
| Geographic Importance | Global |
CPU & Processor Semiconductors Filers in the SEC Record
60 companies with annual reports in the dataset are classified by the SEC in the Standard Industrial Classification code 3674. Their latest fiscal years end between 2025 and 2026, and together they reported $542.8 billion of revenue. Median revenue growth over the prior year was 20.3%. Median operating margin was -2.3% and median net margin -1.7%. Median total liabilities were 34% of total assets, and 27 of 60 reported a profit in their latest year.
| Company | Revenue | Growth | Operating margin | Net margin | Year |
|---|---|---|---|---|---|
| Nvidia Corp | $215.9 billion | 65.5% | 60.4% | 55.6% | FY 2026 |
| Broadcom Inc. | $63.9 billion | 23.9% | 39.9% | 36.2% | FY 2025 |
| Intel Corp | $52.9 billion | -0.5% | -4.2% | -0.5% | FY 2025 |
| Micron Technology Inc | $37.4 billion | 48.9% | 26.1% | 22.8% | FY 2025 |
| Advanced Micro Devices Inc | $34.6 billion | 34.3% | 10.7% | 12.5% | FY 2025 |
| Applied Materials Inc | $28.4 billion | 4.4% | 29.2% | 24.7% | FY 2025 |
| Texas Instruments Inc | $17.7 billion | 13.0% | 34.1% | 28.3% | FY 2025 |
| Nxp Semiconductors N.V. | $12.3 billion | -2.7% | 24.8% | 16.5% | FY 2025 |
The 8 largest of 60 by revenue. Source: each company's own annual report as filed with the SEC (XBRL data), figures in U.S. dollars. A company's SIC code reflects its main business as the SEC records it, so it can differ from how an index provider or analyst classifies the company, and a diversified group appears under only one code.
Where to Go Next
The CPU & Processor Semiconductors guide describes how the industry earns money, what to measure and what can go wrong. To see how it compares, read the neighbouring industries in the same sector, then apply the same checks to a specific company.
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Frequently Asked Questions
What are the main KPIs for the CPU & Processor Semiconductors industry?
Key performance indicators for the CPU & Processor Semiconductors industry include: Revenue by segment, client and data center; Gross margin; Market share; Process node and roadmap; Capital spending or foundry spending. Which matter most depends on the company's model, so compare them across several companies rather than relying on one.
How cyclical is the CPU & Processor Semiconductors industry?
The CPU & Processor Semiconductors industry is cyclical, meaning its revenues and earnings tend to expand during economic expansions and contract during downturns. Investors should monitor leading economic indicators and interest rate trends when evaluating timing.
What are the biggest risks in the CPU & Processor Semiconductors industry?
The primary risks for CPU & Processor Semiconductors companies include: Share shifts, Execution on roadmaps, Cyclical PC demand, Capital intensity. Investors should assess each company's exposure to these factors and its track record of navigating them.