One chip (maker) to rule them all. Advanced Micro Devices is making strides, narrowing the gap with industry leader Nvidia. AMD reported breakout earnings earlier this week, with AI data center revenue doubling year-over-year to $2.8B. Originally known for PC and server microprocessors, AI now accounts for nearly half of AMD’s revenue — pumping a stock rally earlier this week as investor outlook shifts.
- After selling a record $1B in AI chips in Q2, AMD raised its annual AI chip forecast to $4.5B — a $500M bump — signaling confidence in its flagship MI300 series.
- The upcoming MI325X accelerator, launching in Q4, underscores AMD’s commitment to annual AI chip releases, mirroring Nvidia’s successful strategy.
More chips at the table:, famous for “only going up,” has lost its way — plummeting ~23% since Jul. 10. Meanwhile, Goldman Sachs analysts are maintaining a “buy” rating on AMD, despite cutting their outlook for $NVDA. Analysts project AMD’s stock could reach $245 by the end of 2026, representing a ~77% increase from current levels. If these projections hold, we’ll assume AMD stands for “Always Making Dough.”
