Advanced Micro Devices, Inc. (NASDAQ:AMD) is one of the stocks Jim Cramer discussed, along with market shortages. Discussing the effect of Intel’s inability to predict the CPU shortage on the company, Cramer said: Of course, that’s great news for the main competitor, AMD, which rallied nicely today because they did factor in the shortage. We wish we had not sold AMD for the Charitable Trust, but that’s would have, should have, could have. AMD_vladimir-malyutin-sw8-yizppMs-unsplash Advanced Micro Devic ...

21 January 2026 U.S. Semiconductors Intel, AMD: Here's something to take your mind off of Greenland...Q425 preview Stacy A. Rasgon, Ph.D. +1 213 559 5917 stacy.rasgon@bernsteinsg.com +1 917 344 8454 alrick.shaw@bernsteinsg.com Arpad von Nemes +1 917 344 8461 arpad.vonnemes@bernsteinsg.com Intel reports Q425 results on Thursday, January 22nd (call at 5:00pm ET; register here). AMD reports Q425 results on Tuesday, February 3rd (conference call at 5:00pm ET; dial-in 1-877-407-8037 or 201-689-8037, passcode 137 ...

Analyst IMS Investment Management Services Ltd. raised its stake in Advanced Micro Devices, Inc. (NASDAQ:AMD – Free Report) by 85.4% in the 3rd quarter, according to the company in its most recent disclosure with the Securities and Exchange Commission. The institutional investor owned 19,542 shares of the semiconductor manufacturer’s stock after purchasing an additional 9,000 shares during the period. Analyst IMS Investment Management Services Ltd.’s holdings in Advanced Micro Devices were worth $3,162,000 ...

Core Viewpoint - Advanced Micro Devices (AMD) faces significant challenges to its position as an "AI Alternative" due to recent geopolitical and market developments, particularly the reopening of the Chinese market to Nvidia and Oracle's accounting issues [3][8]. Group 1: Market Dynamics - The reopening of the Chinese market to Nvidia poses a threat to AMD's market share, as the scarcity of Nvidia products that previously benefited AMD is diminishing [9]. - Oracle's recent decline in stock price and potential reduction in capital expenditures could lead to decreased demand for AMD chips, as Oracle was a major supporter of AMD's products [10]. Group 2: Valuation and Competitive Position - AMD is currently trading at a premium valuation of 58 times its 2025 earnings, reflecting market expectations of it being a future duopoly contender alongside Nvidia [5]. - The company's AI valuation is heavily reliant on the principle of scarcity, which is now being challenged by Nvidia's renewed access to the Chinese market [4][9]. Group 3: Software and Infrastructure Challenges - AMD's software suite, ROCm, is improving but still lags behind Nvidia's CUDA, which may hinder AMD's competitiveness as developers may not feel compelled to port their applications to ROCm [10]. - The easing of Nvidia's access barriers could reduce the urgency for developers to adopt AMD's software, potentially leading to a situation where AMD's hardware is underutilized [10]. Group 4: Future Outlook - The outlook for AMD is cautious, with the potential transition from a momentum growth thesis to an evidence-based growth thesis, pending robust MI325X orders despite the Nvidia news [10]. - If Nvidia regains a significant portion of the Chinese market and hyperscalers cut back on experimental AMD budgets, AMD's stock may be re-evaluated lower, reflecting its status as a "Component Supplier" rather than an "AI Platform" [10].

Core Viewpoint - AMD's stock performance highlights investor concerns regarding potential overvaluation, with historical volatility raising questions about future declines despite recent growth driven by AI demand and data center expansion [2] Group 1: Stock Performance and Historical Volatility - AMD has experienced significant stock pullbacks, dropping more than 30% on 14 occasions in recent years, erasing billions in market value [2] - The stock fell over 83% during the Dot-Com crash and nearly 92% during the Global Financial Crisis, with a 65% decline during the inflation spike in 2022 [4] - Smaller selloffs in 2018 and during the Covid crisis resulted in decreases of about 49% and 34%, respectively, indicating vulnerability to major market downturns [4] Group 2: Current Challenges and Risks - Geopolitical tensions and export restrictions are hindering AMD's revenue streams, while competition from NVIDIA and supply chain volatility pose risks to market confidence [2][9] - The introduction of NVIDIA's Blackwell series and custom AI ASICs from hyperscalers like Google could limit AMD's market share growth despite recent export approvals [9] - Intel's aggressive roadmap and ARM's ambitions in the CPU market threaten AMD's expansion in both client and server segments [9] Group 3: Financial Metrics - AMD reported a revenue growth of 31.8% over the last twelve months and an average growth of 12.9% over the past three years [10] - The company has a free cash flow margin of nearly 17.0% and an operating margin of 9.4% for the last twelve months [10] - AMD's stock currently trades at a P/E ratio of 79.6, indicating a high valuation relative to earnings [10]

Core Viewpoint - Advanced Micro Devices (AMD) has experienced significant stock volatility in the past, raising concerns about potential future declines despite recent growth driven by AI demand and data center expansion [2][4]. Group 1: Stock Performance and Historical Context - AMD's stock has dropped over 30% on 14 occasions in recent years, erasing billions in market value [2]. - Historical data shows that AMD's stock fell more than 83% during the Dot-Com crash and nearly 92% during the Global Financial Crisis, with a 65% decline during the inflation spike in 2022 [4]. - Smaller selloffs, such as in 2018 and during the Covid crisis, resulted in decreases of about 49% and 34%, respectively [4]. Group 2: Current Challenges and Risks - Geopolitical tensions and export restrictions are hindering AMD's revenue streams [2]. - Intense competition from NVIDIA and the volatility of semiconductor supply chains could undermine market confidence [2]. - AMD faces pressure in the CPU market from Intel's 2025 roadmap and ARM's ambitions for a 50% market share in data center CPUs by 2025 [10]. - The global economic forecast for 2025 is deteriorating, and ongoing U.S.-China technology restrictions could negatively impact semiconductor demand [10]. Group 3: Financial Metrics - AMD reported a revenue growth of 31.8% for the last twelve months (LTM) and an average growth of 12.9% over the last three years [11]. - The company has a free cash flow margin of nearly 17.0% and an operating margin of 9.4% LTM [11]. - AMD's stock trades at a P/E ratio of 79.6 [11].

Core Viewpoint - Semiconductor stocks are at the forefront of the tech rally, primarily driven by the increasing demand for AI hardware, with investors looking for competitors to Nvidia's dominance in AI acceleration [1] Group 1: AMD's Position in the Market - Advanced Micro Devices (AMD) is emerging as a leading player in the semiconductor sector, particularly in data-center AI chips, gaining attention from Wall Street due to its strong earnings potential [2] - Following AMD's Investor Day, analysts from Citi highlighted the company's optimistic revenue and margin targets, positioning it as the strongest setup in the semiconductor group [2] Group 2: Company Overview - AMD is recognized for its high-performance CPUs and GPUs, expanding its reach from PCs and gaming into servers, data centers, and AI hardware under CEO Dr. Lisa Su's leadership [4] - The company is becoming a serious competitor to Nvidia in AI GPUs, with a growing presence in data center CPUs and networking chips [4] Group 3: Stock Performance and Valuation - AMD's market capitalization is valued at $374 billion, with shares increasing over 73% year-to-date, significantly outperforming the Nasdaq Index, which rose by 15% [5] - Despite a recent pullback of 10% after reaching an all-time high of around $267, AMD's stock remains well above early-year levels [5] - AMD's valuation is high, with a trailing P/E ratio around 100x, compared to a median of 35x for semiconductor peers, indicating high growth expectations but limited room for error if AI spending declines [6]

Core Insights - Advanced Micro Devices (AMD) is positioning itself strongly in the semiconductor industry, particularly in the AI and data center markets, with a projected total addressable market of $1 trillion by 2030, doubling from a previous estimate of $500 billion [1][2] - The company anticipates significant revenue growth in data centers, targeting billions by 2027, and aims for a double-digit market share in AI with an 80% compound annual growth rate (CAGR) over the next three to five years [2][3] - AMD has secured $45 billion in new custom design wins and its Instinct GPUs are now utilized by seven of the top 10 AI companies, enhancing its competitive position against Nvidia [3][4] Stock Performance - AMD's stock has seen a remarkable increase of approximately 13% over the past month, driven by CEO Lisa Su's announcement regarding the expanded total addressable market for AI data centers [5] - Year-to-date, AMD's stock has surged by 104%, significantly outperforming the broader market, and has delivered a 78% gain over the past 52 weeks [6] - The stock is currently trading just 7.5% below its 52-week high of $267.08, reached on October 29 [6]

Group 1 - Advanced Micro Devices, Inc. (AMD) recently held an important analyst meeting where they announced new long-term financial targets that exceeded market expectations, significantly boosting the stock price [1] - The management provided remarkable growth targets for the next three to five years, indicating strong future performance potential [1] - There has been a noticeable shift in Wall Street sentiment regarding AMD stock in recent weeks, raising questions about its continued upward momentum [1] Group 2 - AMD specializes in manufacturing processors, graphics cards, and AI chips for various applications, including computers, servers, and gaming systems [2] - Key products from AMD include the Ryzen processors, Radeon graphics cards, and EPYC server chips, highlighting the company's diverse product portfolio [2]

Summary of Advanced Micro Devices (AMD) 2025 Investor Day Company Overview - **Company**: Advanced Micro Devices (AMD) - **Event**: 2025 Investor Day - **Date**: November 11, 2025 Key Industry Insights - **Market Context**: The technology industry, particularly in AI, is experiencing rapid growth and transformation, with AMD positioned to capitalize on these trends [8][9][33] - **AI Integration**: AI is becoming integral across all market segments, including data centers, cloud services, and edge computing [10][11][17] Core Strategic Points - **High-Performance Computing**: AMD's mission focuses on high-performance computing, emphasizing its importance in addressing global challenges [9][10] - **Data Center Growth**: The data center segment is identified as the most strategic market for AMD, with significant growth from $2 billion in 2020 to an estimated $16 billion in 2025, reflecting over 50% growth [15][16] - **AI Product Portfolio**: AMD's AI product line, including the MI300 and MI400 series, is rapidly gaining traction, with seven out of the top ten AI companies utilizing AMD products [16][18] Financial Performance - **Revenue Growth**: AMD projects total revenue of approximately $34 billion for 2025, with a compound annual growth rate (CAGR) of over 35% expected [65][66] - **Market Share Goals**: AMD aims to increase its market share in various segments, including over 50% in the server market and over 40% in the client market within three to five years [62][63] Product and Technology Development - **Technological Leadership**: AMD emphasizes its commitment to technology leadership, focusing on CPU and GPU advancements, including the Zen architecture and CDNA for data centers [44][70] - **Annual Product Cadence**: AMD has shifted to an annual product development cycle to keep pace with the explosive demand for AI computing [82][84] - **Security and Integration**: Security is a critical focus, with AMD integrating security features across its AI and computing products [78][71] Strategic Partnerships - **Collaborations**: AMD has formed strategic partnerships with key players like OpenAI and Oracle to enhance its AI capabilities and ensure rapid deployment of new technologies [55][56][58] - **Open Ecosystem Commitment**: AMD is committed to an open hardware and software ecosystem, contrasting with competitors' proprietary approaches [78] Future Outlook - **Market Trends**: The demand for AI compute is expected to continue accelerating, with projections of a total addressable market (TAM) exceeding $1 trillion by 2030 [42][67] - **Growth Opportunities**: AMD sees significant growth potential across all business segments, with a focus on expanding its capabilities in AI, data centers, and embedded markets [64][66] Additional Insights - **Design Win Growth**: The embedded business, particularly post-Xilinx acquisition, has seen design wins exceeding $14 billion in 2024, with expectations to surpass $16 billion in 2025 [23] - **Semi-Custom Solutions**: AMD is expanding its semi-custom design wins beyond gaming into sectors like aerospace, automotive, and communications, totaling over $45 billion in potential revenue [26] This summary encapsulates the key points discussed during the AMD 2025 Investor Day, highlighting the company's strategic direction, financial performance, and market opportunities.