Company Performance - Advanced Micro Devices (AMD) ended the recent trading session at $207.67, showing a +2.21% change from the previous day's closing price, outperforming the S&P 500's gain of 0.16% [1] - Over the past month, AMD shares experienced a loss of 3.61%, underperforming the Computer and Technology sector's loss of 0.85% and the S&P 500's gain of 1.89% [1] Upcoming Earnings Report - AMD is scheduled to release its earnings on February 3, 2026, with projected earnings of $1.31 per share, indicating a year-over-year growth of 20.18% [2] - The consensus estimate for revenue is $9.64 billion, reflecting a 25.88% increase from the same quarter last year [2] Annual Estimates - For the annual period, Zacks Consensus Estimates anticipate earnings of $3.96 per share and revenue of $33.94 billion, representing shifts of +19.64% and 0% respectively from the previous year [3] - Recent changes to analyst estimates suggest a favorable outlook on AMD's business health and profitability [3] Stock Performance and Valuation - The Zacks Rank system, which evaluates estimate changes, indicates that AMD currently holds a Zacks Rank of 3 (Hold) [5] - AMD's Forward P/E ratio is 32.47, which is a premium compared to the industry average of 24.02 [6] - The company has a PEG ratio of 0.75, lower than the industry average PEG ratio of 0.92 [7] Industry Context - The Computer - Integrated Systems industry, which includes AMD, has a Zacks Industry Rank of 24, placing it in the top 10% of over 250 industries [8] - Research indicates that top-rated industries outperform the bottom half by a factor of 2 to 1 [8]

Core Insights - The gaming ETF GAMR is undergoing rebalancing as it approaches its tenth anniversary, with notable adjustments in its index weights [1][2] Group 1: ETF Overview - GAMR, the Amplify Video Game Leaders ETF, charges 59 basis points to track the VGAME VettaFi Video Game Leaders Index [1] - The fund has outperformed its ETF Database Category average over three and one year periods [1] Group 2: Investment Strategy - VGAME employs a market cap-weighted approach, using factors like liquidity, size, revenue, and listing to identify its investable universe [2] - The index categorizes investments into tiers based on market cap, with the top tier weighted around 10%, the second around 5%, and the third at 2.5% [2] Group 3: Recent Changes in Holdings - Advanced Micro Devices (AMD) saw its weight decrease from 14% to 9.5%, while Nvidia (NVDA) increased its weight from 10% to 10.6% [3] - Tencent Holdings (TCEHY) rose from third to second place, increasing by 0.2%, and Sea Ltd. (SE) increased its weight from 3% to 5.5% [4]

Core Viewpoint - US stock market indices, including the Dow Jones and S&P 500, reached historical highs despite a criminal investigation into Federal Reserve Chairman Jerome Powell by the US Department of Justice. President Trump has called for a cap on credit card interest rates at 10% [1][7]. Market Performance - The Dow Jones increased by 86.13 points (0.17%) to 49,590.20, the Nasdaq rose by 62.56 points (0.26%) to 23,733.90, and the S&P 500 gained 10.99 points (0.16%) to 6,977.27. During the session, the Dow reached a peak of 49,633.35 and the S&P 500 hit 6,986.33, both marking intraday historical highs [3][9]. - The market opened lower but rebounded, driven by gains in Walmart and certain tech stocks, recovering from a drop of nearly 500 points in the Dow [3][9]. Sector Movements - Bank stocks generally declined, with Citigroup down 3%, JPMorgan and Bank of America each down about 2%, and Capital One falling 6%. This was influenced by Trump's statement that financial institutions failing to comply with the proposed credit card interest rate cap could face legal consequences [10]. - Walmart's stock rose by 2% due to optimism about its inclusion in the popular Invesco QQQ Trust ETF, which tracks the Nasdaq 100 index. This retail giant led gains in the consumer sector, which may benefit from Trump's push to lower credit card rates and rising oil prices [12]. Economic Indicators - Market focus is shifting towards the upcoming Consumer Price Index (CPI) data, with expectations that it may come in below 3%. Analysts suggest that the overall economic growth is strong, contributing to positive market sentiment [5][11]. - There is a general expectation that the Federal Reserve will pause further interest rate cuts in its upcoming meeting to assess inflation trends and economic developments [11]. Analyst Insights - Rob Williams, Chief Investment Strategist at Sage, downplayed the significance of the investigation into Powell, suggesting it is merely noise and that the focus should remain on economic data [10]. - Jim Lebenthal, Chief Market Strategist at Cerity Partners, indicated that the investigation's impact on interest rates and inflation is likely to be long-term rather than immediate. He noted that favorable market conditions and anticipated strong earnings reports are supporting market growth [11]. Stock Ratings - Palantir's stock rose by 1% following an upgrade from Citigroup, contributing to a positive trend in some tech stocks, including AMD and Oracle [13].

Group 1 - Advanced Micro Devices, Inc. (NASDAQ:AMD) launched a new family of x86 chips for AI applications called Ryzen AI Embedded, which includes the P100 and X100 Series processors [1][2] - The new series targets sectors such as automotive, industrial automation, healthcare, and humanoid robotics, featuring a high-performance CPU, GPU, and NPU integrated into a single chip [2] - Wall Street analysts remain optimistic about AMD, with Jefferies and Truist Financial both reiterating Buy ratings on the stock, the latter with a price target of $277 [3][4] Group 2 - AMD is recognized as a global semiconductor company that manufactures GPUs, microprocessors, and high-performance computing solutions, serving high-growth industries like gaming, data centers, and AI [4]

Group 1: Intel Analysis - Intel is expected to experience a slight pullback in premarket trading after a significant 10% increase on Friday, indicating strong market interest in buying on dips [1] - The market sentiment remains bullish, suggesting that further upward movement is likely as the breakout occurred with strong volume [1][2] Group 2: Advanced Micro Devices Analysis - Advanced Micro Devices is currently above a critical support level of $200, which is both structurally and psychologically significant, indicating potential for a quicker turnaround [3] - If a decline occurs, the 200-day EMA is at $181.81, which may attract buyers, reinforcing the notion that shorting is not advisable at this time [4] - Patience is advised as the upward trend is expected to reassert itself, with potential cascading effects if the stock turns around [3][4]

Core Insights - AMD has significantly improved its competitive position in the AI accelerator market, becoming a strong competitor to NVIDIA with a rich product pipeline and upcoming releases [1][2] - The company's data center business is experiencing remarkable growth, with record revenues and profits, particularly driven by the success of the MI300X accelerator [4][7] - AMD's upcoming MI400 series, set to launch in 2026, is expected to further enhance its market position and profitability [1][4][10] Group 1: Competitive Landscape - AMD's product line is expanding, with the MI400 series designed for large-scale AI training and inference, positioning it to compete directly with NVIDIA's offerings [1][6] - The AI chip market is projected to grow significantly, with IDC forecasting a 42% compound annual growth rate (CAGR) until 2029, benefiting companies like AMD [6][10] - AMD's focus on inference-optimized AI chips aligns with the increasing demand for accelerated computing, particularly in hyperscale data centers [6][10] Group 2: Financial Performance - AMD's data center business reported a record net revenue of $4.3 billion in Q3 2025, a 34% quarter-over-quarter increase, with operating profit soaring to $1.1 billion, a 793% year-over-year growth [4][7] - The company is expected to report operating profits between $6.5 billion and $7.5 billion for the full year of 2026, reflecting strong growth potential [7][10] - AMD's forward price-to-earnings (P/E) ratio is currently at 34.1, indicating a market premium compared to NVIDIA's 24.8, driven by expectations surrounding the MI400 chip [9][10] Group 3: Market Outlook - Analysts are optimistic about AMD's growth trajectory, particularly with the anticipated launch of the MI400 chip, which could significantly boost the company's performance [14][15] - Despite AMD's slower growth rate compared to NVIDIA, the market is beginning to recognize AMD as a key player in the GPU/accelerator market's next growth phase [15]

Core Viewpoint - CES 2026 showcased significant advancements in AI-driven consumer electronics, with a focus on wearable devices, automotive technology, robotics, and IoT innovations, highlighting the integration of AI across various sectors [2][5][6]. Group 1: Wearable/IOT - AI glasses and camera headphones remain focal points in wearable technology, with over 50 companies participating, primarily from mainland China, emphasizing design improvements and multi-modal interactions [2][10]. - Headphone innovations shifted from audio performance to a combination of sound quality, AI integration, and multi-modal capabilities, with products featuring cameras and environmental awareness [2][13]. - New IoT categories, including smart imaging devices and AI home products, are gaining traction, with many startups entering the market [2][16]. Group 2: Automotive - AI is driving a comprehensive upgrade in automotive technology, with high-level autonomous driving expected to scale commercially [3][19]. - NVIDIA introduced the Alpamayo series of open-source AI models, enhancing the development of autonomous driving capabilities [3][19]. - Major automotive companies like Geely and Great Wall showcased their AI systems, while international brands are partnering with AI giants to enhance their offerings [3][24][26]. Group 3: Robotics - The robotics sector is evolving from household and service robots to humanoid collaboration, with significant participation from electronic companies [4][34]. - Innovations in household robots include advanced cleaning capabilities and a broader range of applications, while humanoid robots are becoming more sophisticated in interaction and movement [4][34]. - Chinese electronic companies are increasingly showcasing key components and technologies in robotics at CES 2026 [4][34]. Group 4: PC/Smartphone - Lenovo launched its first personal super intelligent system, Lenovo Qira, and announced a partnership with NVIDIA for AI infrastructure [4][36]. - Chip manufacturers like Intel, Qualcomm, and AMD are upgrading their products to enhance AI performance and user experience in PCs [4][39]. - The focus on AI integration in smartphones and PCs is expected to drive innovation and market growth in the coming years [4][39].

Group 1 - The core viewpoint of the article highlights an unprecedented supply shortage in the global memory market driven by the rapid development of AI infrastructure, despite high demand from PC and smartphone manufacturers [1] - Major tech companies like Amazon, Google, Microsoft, and Meta are projected to have a combined capital expenditure of $407 billion in 2025, increasing to $523 billion in 2026, which is fueling demand for NAND Flash and HDD [2] - The memory industry is experiencing a generational supply-demand imbalance, with the total shipment growth rate for NAND Flash and HDD expected to reach 19% over the next four years, significantly higher than the past decade's average of 14% [2] Group 2 - Memory manufacturers are exercising extreme restraint in increasing production capacity due to past painful losses and a cautious strategy influenced by Wall Street, despite the current high prices and shortages [3] - Micron recently achieved record quarterly sales and operating profits, while Samsung anticipates a threefold increase in operating profit for Q4 2024 compared to the same period in 2023 [2] - Analysts believe that memory chip and HDD prices will remain high through 2026, and if demand continues to be strong, the current upward cycle could last for several years [4]

Investment Rating - The report rates the electronic industry as "Outperform" compared to the market [1]. Core Insights - The SW electronic industry index increased by 7.74% this week, outperforming the CSI 300 index, which rose by 2.79% [2][5]. - NVIDIA announced the full-scale production of its Rubin platform, which includes six new chips designed to meet the growing demand for AI computing power, achieving training performance 3.5 times that of the previous generation and inference performance 5 times higher [22]. - AMD introduced its latest data center chips, entering the 2nm era, emphasizing AI as a core component of next-generation computing infrastructure [23][24]. - xAI, a company founded by Elon Musk, successfully raised $20 billion to accelerate its computing infrastructure expansion [26]. - The report suggests focusing on investment opportunities in domestic high-performance GPUs, CPUs, and connectivity chips due to the advancements in AI technology [2]. Summary by Sections Market Review - The SW electronic industry index ranked 7th out of 31 sectors this week, with significant gains in semiconductor materials and equipment [2][5]. - The top-performing stocks in the electronic sector included Zhenlei Technology (+48.18%) and Kema Technology (+42.68%) [12]. Global Industry Dynamics - NVIDIA's Rubin platform is a significant technological breakthrough in AI chips, featuring advanced interconnect technology and optimized data center performance [22]. - AMD's new AI accelerators and EPYC server CPUs are designed to meet extreme AI training and inference demands, showcasing a competitive edge in the 2nm technology space [23][24]. - ByteDance's AI glasses are set for mass production, with an initial plan of 100,000 units [25]. - Domestic GPU company TianShu ZhiXin successfully went public, marking a significant milestone in the Chinese GPU market [27][28].

We recently published 10 Stocks Jim Cramer Talked About.  Advanced Micro Devices, Inc. (NASDAQ:AMD) is one of the stocks on Jim Cramer talked about. Advanced Micro Devices, Inc. (NASDAQ:AMD) crossed Jim Cramer’s radar as he discussed AI chip giant NVIDIA. Along with NVIDIA, the firm also provides AI chips that are called accelerators. On December 22nd, Rosenblatt pointed out that server shipments confirmed Advanced Micro Devices, Inc. (NASDAQ:AMD)’s server CPU total addressable market estimates of $60 bil ...