An analysis suggests the VanEck Semiconductor ETF (SMH) could be a smart "buy the dip" opportunity, as it tracks the MVIS US Listed Semiconductor 25 index and provides exposure to major chip designers and manufacturers like Taiwan Semiconductor Manufacturing. While the AI trade has cooled, leading to a 20% drop from its peak a month ago, the ETF remains up 50% year-to-date in 2026. The underlying demand for chips is still seen as outstripping supply, giving chip companies pricing power, which could sustain earnings growth expectations despite investor concerns over aggressive AI spending.