Group 1: Nvidia - Nvidia and AMD have seen stock rallies due to the U.S. easing chip export restrictions to China, allowing them to resume AI chip sales [1][2] - Nvidia can now sell its H20 GPUs after a sales halt in April, while AMD is set to restart shipments of its MI308 AI chips [2] - Nvidia's stock price has reached $177.44, with a year-to-date gain of 28.29% and a monthly gain of 12.31% [3] - Morgan Stanley raised Nvidia's price target to $200 from $170, citing strong demand for its Blackwell architecture [5] - The 12-month forecast for Nvidia's stock is $184.91, with bullish predictions reaching as high as $250, indicating potential gains exceeding 40% [6] Group 2: AMD - AMD has received a Moderate Buy rating from analysts, with a current stock price of $176.84, reflecting a year-to-date gain of 46.60% [7] - The average price target for AMD is $148.65, suggesting a 14.40% downside from current levels, despite recent gains [9] - The highest price predictions for AMD reach $210, while the lowest target is set at $110 [9]

The trade war between the U.S. and China recently took an unexpected turn, and the biggest beneficiaries look to be Nvidia (NVDA -0.64%) and Advanced Micro Devices (AMD 0.04%). Both stocks popped after news broke that the U.S. is set to ease chip export restrictions, potentially allowing the companies to resume selling their artificial intelligence (AI) chips to China. China is a huge market that had recently been closed off to the two companies. Nvidia will now be allowed to sell its H20 graphics processin ...

Group 1: Stock Performance and Agreements - Advanced Micro Devices (AMD) stock increased by over 4% in a single trading session and has risen nearly 20% over the past month, driven by a new $10 billion agreement with Saudi Arabian startup Humain for CPUs, GPUs, and software to enhance AI infrastructure [1] - Humain plans to construct data centers with approximately 1.9 gigawatts of power capacity by 2030, indicating a strategic move to diversify suppliers away from Nvidia, which presents an opportunity for AMD in the expanding AI market [1] - AMD's Q1 earnings surpassed expectations with a revenue growth of 36% to $7.44 billion, driven by a 57% increase in data center sales to $3.7 billion, highlighting the company's competitive position against Intel in the data center segment [2] Group 2: Regulatory Environment and Market Dynamics - New U.S. export restrictions on AMD's MI308 AI chips could potentially reduce its 2025 revenue by $1.5 billion, with an additional charge of up to $800 million related to inventory and purchasing commitments [3] - Despite these challenges, improving U.S.-China trade relations may lead to a review of chip export restrictions, which could benefit AMD as China accounts for about 24% of its revenue [3] Group 3: Stock Volatility and Market Comparison - AMD stock has exhibited significant volatility over the past four years, with annual returns of 57% in 2021, -55% in 2022, 128% in 2023, and -18% in 2024, contrasting with the more stable performance of the Trefis High Quality (HQ) Portfolio [4] - The HQ Portfolio has consistently outperformed the S&P 500, suggesting that AMD's stock may face challenges in maintaining performance amidst unpredictable macroeconomic conditions [4]