How Trump's One Big Beautiful Bill could be fresh fuel for the stock market's favorite AI names

Wall Street's favorite tech trade could be about to get a fresh boost.

President Donald Trump signed the One, Big, Beautiful Bill Act into law on July 4, and there are some parts of the legislation that could unleash further gains for AI semiconductor stocks.

Companies in the chip space are poised to receive a significant tax benefit as the administration intensifies its quest to incentivize chipmakers to build cutting-edge AI tech in the US.

Under a provision of the bill, companies that break ground on new chipmaking facilities in the US before 2026 may be eligible for a 35% tax credit, up from 25%.

Shay Boloor, Chief Market Strategist at Futurum Equities, said there are a handful of AI stocks that are most likely to benefit, flagging two immediate likely winners.

"Intel and Micron get the most immediate lift," he said. "Intel's turnaround is tied to Foundry Services, and this credit is oxygen for their capex model. Micron, with its US-based memory investment, is a quiet winner too."

He added that he still sees Nvidia as the sector's top name, noting that. Taiwan Semiconductor Manufacturing Company is likely to receive a boost as well.

Others echoed Baloor's optimism around the bill's impact on AI chip stocks.

"There can be little doubt that the Advanced Manufacturing Investment Credit (AMIC) under the OBBB will materially benefit the manufacturers of US fab plants, specifically for already announced investments by TSMC ($165B) and Micron ($200B), and to a lesser degree, Intel," said Scott Bickley, an advisory fellow at Info-Tech Research Group.

Eugenia Mykuliak, Founder & Executive Director of financial services provider B2PRIME Group also highlighted the benefits for chipmakers that are either building semiconductor facilities on US soil or have plans to.

"It could also boost stock performance for companies heavily invested in domestic chip fabrication plants, since investors like it when there's clear policy support for long-term growth," she said of the new policy. "It sends a strong message that the government is committed to backing the sector for the long haul, which helps companies plan with more confidence."