The theoretical study of magnetic semiconductors using the dynamical coherent potential approximation (dynamical CPA) is briefly reviewed. First, we give the results for ferromagnetic semiconductors (FMSs) such as EuO and EuS by applying the dynamical CPA to the s-f model. Next, applying the dynamical CPA to a simple model for A1−xMnxB-type diluted magnetic semiconductors (DMSs), we show the results for three typical cases to clarify the nature and properties of the carrier states in DMSs. On the basis of this model, we discuss the difference in the optical band edges between II-V DMSs and III-V-based DMSs, and show that two types of ferromagnetism can occur in DMSs when carriers are introduced. The carrier-induced ferromagnetism of Ga1−xMnxAs is ascribed to a double-exchange (DE)-like mechanism realized in the magnetic impurity band/or in the band tail.