Investing.com -- The recent pullback in semiconductor stocks, driven by surging oil prices, rising bond yields and concerns over AI spending, represents a buying opportunity for the sector, Citi analysts say. The bank said data centers remain the strongest end market for chips, accounting for 34% of total semiconductor demand, and are on track to exceed the entire semiconductor total addressable market (TAM) by 2030. The bank said it prefers semiconductor capital equipment stocks over semiconductor stocks, citing "higher estimate revisions driven by capex increases." Citi flagged capital spending commentary from Intel (NASDAQ:INTC), TSMC (NYSE:TSM) and Tesla (NASDAQ:TSLA) as particularly encouraging for equipment makers. TSMC raised its 2026 capex guidance again, to $60-64 billion from nearly $56 billion, pointing to stronger-than-expected AI demand and higher equipment costs.