2 Reasons AMD Could Be the Next Big Thing in AI Chips

InvestorPlace07-26

Advanced Micro Devices (AMD) is a top high-performance computing player many investors don’t focus enough on. Nvidia (NVDA) generates most of the attention in this space, and for good reason. However...

Source Link

Disclaimer: Investing carries risk. This is not financial advice. The above content should not be regarded as an offer, recommendation, or solicitation on acquiring or disposing of any financial products, any associated discussions, comments, or posts by author or other users should not be considered as such either. It is solely for general information purpose only, which does not consider your own investment objectives, financial situations or needs. TTM assumes no responsibility or warranty for the accuracy and completeness of the information, investors should do their own research and may seek professional advice before investing.

Comments

We need your insight to fill this gap

Leave a comment

{"i18n":{"language":"en_US"},"isChannel":false,"data":{"share":"https://ttm.financial/m/news/2454314012?lang=en_US&edition=fundamental","thumbnail":"","is_english":true,"pubTime":"2024-07-26 18:40","share_image_url":"https://static.laohu8.com/e9f99090a1c2ed51c021029395664489","id":"2454314012","market":"us","top_or_hot":-1,"title":"2 Reasons AMD Could Be the Next Big Thing in AI Chips","media":"InvestorPlace","content":"<div>\n<p>Advanced Micro Devices (AMD) is a top high-performance computing player many investors don’t focus enough on.\nNvidia (NVDA) generates most of the attention in this space, and for good reason. \nHowever...</p>\n\n<a href=\"https://investorplace.com/2024/07/2-reasons-amd-could-be-the-next-big-thing-in-ai-chips/\">Source Link</a>\n\n</div>\n","source":"investorplace_stock_picks","html":"<!DOCTYPE html>\n<html>\n<head>\n<meta http-equiv=\"Content-Type\" content=\"text/html; charset=utf-8\" />\n<meta name=\"viewport\" content=\"width=device-width,initial-scale=1.0,minimum-scale=1.0,maximum-scale=1.0,user-scalable=no\"/>\n<meta name=\"format-detection\" content=\"telephone=no,email=no,address=no\" />\n<title>2 Reasons AMD Could Be the Next Big Thing in AI Chips</title>\n<style type=\"text/css\">\na,abbr,acronym,address,applet,article,aside,audio,b,big,blockquote,body,canvas,caption,center,cite,code,dd,del,details,dfn,div,dl,dt,\nem,embed,fieldset,figcaption,figure,footer,form,h1,h2,h3,h4,h5,h6,header,hgroup,html,i,iframe,img,ins,kbd,label,legend,li,mark,menu,nav,\nobject,ol,output,p,pre,q,ruby,s,samp,section,small,span,strike,strong,sub,summary,sup,table,tbody,td,tfoot,th,thead,time,tr,tt,u,ul,var,video{ font:inherit;margin:0;padding:0;vertical-align:baseline;border:0 }\nbody{ font-size:16px; line-height:1.5; color:#999; background:transparent; }\n.wrapper{ overflow:hidden;word-break:break-all;padding:10px; }\nh1,h2{ font-weight:normal; line-height:1.35; margin-bottom:.6em; }\nh3,h4,h5,h6{ line-height:1.35; margin-bottom:1em; }\nh1{ font-size:24px; }\nh2{ font-size:20px; }\nh3{ font-size:18px; }\nh4{ font-size:16px; }\nh5{ font-size:14px; }\nh6{ font-size:12px; }\np,ul,ol,blockquote,dl,table{ margin:1.2em 0; }\nul,ol{ margin-left:2em; }\nul{ list-style:disc; }\nol{ list-style:decimal; }\nli,li p{ margin:10px 0;}\nimg{ max-width:100%;display:block;margin:0 auto 1em; }\nblockquote{ color:#B5B2B1; border-left:3px solid #aaa; padding:1em; }\nstrong,b{font-weight:bold;}\nem,i{font-style:italic;}\ntable{ width:100%;border-collapse:collapse;border-spacing:1px;margin:1em 0;font-size:.9em; }\nth,td{ padding:5px;text-align:left;border:1px solid #aaa; }\nth{ font-weight:bold;background:#5d5d5d; }\n.symbol-link{font-weight:bold;}\n/* header{ border-bottom:1px solid #494756; } */\n.title{ margin:0 0 8px;line-height:1.3;color:#ddd; }\n.meta {color:#5e5c6d;font-size:13px;margin:0 0 .5em; }\na{text-decoration:none; color:#2a4b87;}\n.meta .head { display: inline-block; overflow: hidden}\n.head .h-thumb { width: 30px; height: 30px; margin: 0; padding: 0; border-radius: 50%; float: left;}\n.head .h-content { margin: 0; padding: 0 0 0 9px; float: left;}\n.head .h-name {font-size: 13px; color: #eee; margin: 0;}\n.head .h-time {font-size: 11px; color: #7E829C; margin: 0;line-height: 11px;}\n.small {font-size: 12.5px; display: inline-block; transform: scale(0.9); -webkit-transform: scale(0.9); transform-origin: left; -webkit-transform-origin: left;}\n.smaller {font-size: 12.5px; display: inline-block; transform: scale(0.8); -webkit-transform: scale(0.8); transform-origin: left; -webkit-transform-origin: left;}\n.bt-text {font-size: 12px;margin: 1.5em 0 0 0}\n.bt-text p {margin: 0}\n</style>\n</head>\n<body>\n<div class=\"wrapper\">\n<header>\n<h2 class=\"title\">\n2 Reasons AMD Could Be the Next Big Thing in AI Chips\n</h2>\n\n<h4 class=\"meta\">\n\n\n2024-07-26 18:40 GMT+8&nbsp;&nbsp;&nbsp;<a href=https://investorplace.com/2024/07/2-reasons-amd-could-be-the-next-big-thing-in-ai-chips/><strong>InvestorPlace</strong></a>\n\n\n</h4>\n\n</header>\n<article>\n<div>\n<p>Advanced Micro Devices (AMD) is a top high-performance computing player many investors don’t focus enough on.\nNvidia (NVDA) generates most of the attention in this space, and for good reason. \nHowever...</p>\n\n<a href=\"https://investorplace.com/2024/07/2-reasons-amd-could-be-the-next-big-thing-in-ai-chips/\">Source Link</a>\n\n</div>\n\n\n</article>\n</div>\n</body>\n</html>\n","isBrief":false,"type":0,"news_type":1,"symbol":"LU1363072403.SGD","symbol_name":"Fidelity Global Financial Services A-ACC-SGD","start_time":0,"source_url":"https://investorplace.com/2024/07/2-reasons-amd-could-be-the-next-big-thing-in-ai-chips/","article_id":"2454314012","we_media_id":null,"thumbnails":[],"rights":null,"url":"https://stock-news.laohu8.com/highlight/detail?id=2454314012","pubTimestamp":1721990400,"sourceInfo":{"source_id":"investorplace_stock_picks","name":"InvestorPlace stock picks"},"weMediaInfo":null,"summary":"Let's dive into the world of semiconductor stocks for a minute, and discover why AMD could be a key long-term winner to consider.","collect":0,"end_time":0,"defaultTopTitle":"investorplace.com","property":[],"viewcount":null,"language":"en","relate_stocks":{"LU1363072403.SGD":"Fidelity Global Financial Services A-ACC-SGD","BK4566":"资本集团","LU0320765489.SGD":"FTIF - Franklin Mutual US Value A Acc SGD","BK4587":"ChatGPT概念","LU2458330243.SGD":"FRANKLIN SHARIAH TECHNOLOGY \"A-H1\" (SGDHDG) ACC","LU0081259029.USD":"UBS (LUX) EQUITY FUND - TECH OPPORTUNITY \"P\" (USD) ACC","IE00B5949003.HKD":"JANUS HENDERSON GLOBAL TECHNOLOGY AND INNOVATION \"A\" (HKD) ACC","NVDA":"英伟达","IE00BD6J9T35.USD":"NEUBERGER BERMAN NEXT GENERATION MOBILITY \"A\" (USD) ACC","LU1668664300.SGD":"Blackrock World Financials A2 SGD-H","LU0971096721.USD":"富达环球金融服务 A","AMD":"美国超微公司","IE00B19Z8W00.USD":"FTGF CLEARBRIDGE US LARGE CAP GROWTH \"A\" INC","LU1718418525.SGD":"JPMorgan Investment Funds - Global Select Equity A (acc) SGD","GFS":"GLOBALFOUNDRIES Inc.","BK4207":"综合性银行","LU1074936037.SGD":"JPMorgan Funds - US Value A (acc) SGD","IE00BKVL7J92.USD":"Legg Mason ClearBridge - US Equity Sustainability Leaders A Acc USD","LU0127658192.USD":"EASTSPRING INVESTMENTS GLOBAL TECHNOLOGY \"A\" (USD) ACC","LU2133065610.SGD":"JPMorgan Investment Funds - Global Dividend A (mth) SGD","IE00BHPRN162.USD":"BNY MELLON BLOCKCHAIN INNOVATION \"B\" (USD) ACC","LU0256863811.USD":"ALLIANZ US EQUITY \"A\" INC","IE00B4JS1V06.HKD":"JANUS HENDERSON BALANCED \"A2\" (HKD) ACC","LU1496350171.SGD":"FRANKLIN DIVERSIFIED BALANCED \"A\" (SGDHDG) ACC","LU1303367103.USD":"摩根大通多经理另类基金 A (acc)","BK4512":"苹果概念","LU2098885051.SGD":"JPMorgan Funds - Multi-Manager Alternatives A (acc) SGD","LU1880398554.USD":"AMUNDI FUNDS GLOBAL EQUITY \"A2\" (USD) INC","LU1894683264.USD":"AMUNDI FUNDS US EQUITY RESEARCH VALUE \"A2\" (USD) ACC","IE0004091025.USD":"BNY MELLON GLOBAL OPPORTUNITIES \"B\" (USD) ACC","LU1366192091.USD":"ALLIANZ US EQUITY PLUS \"AM\" (USD) INC","IE0034235295.USD":"PINEBRIDGE GLOBAL DYNAMIC ASSET ALLOCATION \"A\" (USD) ACC","LU2360106780.USD":"BGF WORLD TECHNOLOGY \"A4\" (USD) INC","BAC":"美国银行","GB00BDT5M118.USD":"天利环球扩展Alpha基金A Acc","LU0048584097.USD":"FIDELITY FUNDS  GLOBAL THEMATIC OPPORTUNITIES \"A\" (USD) INC","LU0056508442.USD":"贝莱德世界科技基金A2","IE00BZ199S13.USD":"BNY MELLON MOBILITY INNOVATION \"B\" (USD) ACC","LU0719512351.SGD":"JPMorgan Funds - US Technology A (acc) SGD","LU1162221912.USD":"FRANKLIN INCOME \"A\" (USD) ACC","IE00B1XK9C88.USD":"PINEBRIDGE US LARGE CAP RESEARCH ENHANCED \"A\" (USD) ACC","LU1242518857.USD":"FULLERTON LUX FUNDS - ASIA ABSOLUTE ALPHA \"I\" (USD) ACC","LU1803068979.SGD":"FTIF - Franklin Technology A (acc) SGD-H1","LU0640476718.USD":"THREADNEEDLE (LUX) US CONTRARIAN CORE EQ \"AU\" (USD) ACC","LU0109392836.USD":"富兰克林科技股A","IE00BFXG1179.USD":"BNY MELLON U.S. EQUITY INCOME \"B\" (USD) INC","LU0128525689.USD":"TEMPLETON GLOBAL BALANCED \"A\"(USD) ACC","BK4567":"ESG概念","BK4585":"ETF&股票定投概念","LU2458330169.SGD":"FRANKLIN SHARIAH TECHNOLOGY \"A\" (SGD) ACC"},"translate_title":"AMD可能成为人工智能芯片领域下一个大事件的2个原因","themeId":null,"isJumpTheme":false,"ttsUrl":null,"symbols_score_info":{"AMD":1,"GFS":1,"NVDA":0.7,"BAC":0.6},"content_text":"Advanced Micro Devices (AMD) is a top high-performance computing player many investors don’t focus enough on.\nNvidia (NVDA) generates most of the attention in this space, and for good reason. \nHowever, a case can be made that AMD may be the stock with the bigger opportunity.\n\n\n\n\n\n \n\nSource: Tobias Arhelger / Shutterstock.com\n\n\n\nAdvanced Micro Devices (NASDAQ:AMD) is emerging as a significant player in the world of AI chips. Indeed, Nvidia (NASDAQ:NVDA) remains the dominant player in this space. However, AMD’s recent financials show a rising trajectory, with the company’s data center revenue hitting a record $2.3 billion, reflecting an 80% year-over-year (YOY) increase. Those impressive numbers were driven by strong Ryzen and Instinct sales.\nAdditionally, AMD’s recent acquisition of Silo AI for $665 million marks a major step into artificial intelligence (AI) software, aiming to offer a complete AI solution. Despite stiff competition, AMD is gaining ground in AI chips, with growing market share and strategic partnerships. The Instinct MI300X GPU and AI accelerators are set to drive future growth in enterprise and data center markets.\nBofA Says AMD is the “Best of Breed”\nBank of America (NYSE:BAC) recently named AMD a top pick for Q3 of fiscal year 2024. Reasons for this pick include AMD’s innovation includes AI-accelerated Ryzen chips and upcoming 5th Gen Epyc CPUs.\nAnalysts estimate AMD stock could rise 17% to $187.20 per share, at least on a consensus basis. These estimates are based on expected growth rates of 33% this year and 59% next. Currently, AMD stock trades at a 28.6-times forward price-earnings ratio, with an even more eye-watering multiple of 209-times trailing earnings reflecting its high growth potential. \nOther experts following this stock continue to focus on AMD’s improved technology and competitive edge under Chief Executive Officer Lisa Su. That’s notable, since we’ve seen a very positive market reaction to the company’s new AI GPU products.\nStrategic Plans and Acquisitions\nAMD fans eagerly await the Ryzen 9000 series launch, set to take place later this month. The company announced a webinar to unveil key details, requiring registration. AMD’s August 8, 2024 webinar, led by Donny Woligroski, will cover the Ryzen 9000’s Zen 5 architecture, 4nm process and EXPO overclocking technology. Investors who are interested in the specific details that will be released are encouraged to register on the official webinar page to attend.\nWhile Nvidia dominates the semiconductor sector, AMD is emerging as a strong rival. AMD recently acquired Silo AI, Europe’s largest AI lab, for $665 million. Over the past year, AMD invested $125 million in AI and acquired startups Nod.ai and Mipsology. With past acquisitions like Xilinx for $50 billion, AMD’s aggressive strategy highlights its commitment to growth and innovation.\nAMD Stock Still Looks Like a Buy\nAMD is certainly not Nvidia, and will likely lag the top high-performance chip maker in terms of growth for some time. However, while AMD is a relative laggard, compared to other major chip makers, the company’s growth rate impresses. On a forward basis, this stock doesn’t look overly expensive. And, it could have much more room to run if its future product launches pick up.\nWith strong strategic acquisitions into key high-growth areas, this is a stock I think is worth considering at current levels. Of course, if we see a sector-wide dip, all the better. Thus, this is a stock I think is best adding over time, with dollar cost averaging being investors’ best friend right now. \nOn the date of publication, Chris MacDonald did not hold (either directly or indirectly) any positions in the securities mentioned in this article. The opinions expressed in this article are those of the writer, subject to the InvestorPlace.com Publishing Guidelines.\nOn the date of publication, the responsible editor did not have (either directly or indirectly) any positions in the securities mentioned in this article.\nChris MacDonald’s love for investing led him to pursue an MBA in Finance and take on a number of management roles in corporate finance and venture capital over the past 15 years. His experience as a financial analyst in the past, coupled with his fervor for finding undervalued growth opportunities, contribute to his conservative, long-term investing perspective.Artificial Intelligence, Semiconductor, Technology \n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\nSubmit\n\n\n\n\n\n\n\nArticle printed from InvestorPlace Media, https://investorplace.com/2024/07/2-reasons-amd-could-be-the-next-big-thing-in-ai-chips/.\n©2024 InvestorPlace Media, LLC","kind":null,"is_publish_news":true,"is_publish_highlight":false,"is_publish_live":false,"is_publish_wemedia":null,"editions":null,"column":"","sentiment":"1","news_tag":"Product Release","news_rank":0,"symbols":[],"gpt_button":0},"commentList":[],"isCommentEnd":true,"newsSizeData":{"likeSize":0,"commentSize":0,"repostSize":0,"favoriteSize":0,"likeStatus":false,"favoriteStatus":false},"APP":{"userAgent":"Mozilla/5.0 AppleWebKit/537.36 (KHTML, like Gecko; compatible; ClaudeBot/1.0; +claudebot@anthropic.com)","isDev":false,"isTTM":true,"deviceId":"web-server-community-laohu8-v3","version":"4.26.3","shortVersion":"4.26.3","platform":"web","vendor":"web","appName":"ttm","isIOS":false,"isAndroid":false,"isTiger":false,"isTHS":false,"isWeiXin":false,"isWeiXinMini":false,"isWeiBo":false,"isQQ":false,"isBaiduSwan":false,"isBaiduBox":false,"isDingTalk":false,"isToutiao":false,"isOnePlus":false,"isHuaWei":false,"isXiaomi":false,"isXiaomiWebView":false,"isOppo":false,"isVivo":false,"isSamsung":false,"isMobile":false},"href":"/m/news/2454314012"}