From Nasdaq: 2024-04-27 04:50:00

Nvidia is dominating the AI market with rising demand for its chips, resulting in a 239% surge in shares last year and a 60% increase in 2024. However, members of Congress are favoring Advanced Micro Devices over Nvidia, with bipartisan purchases indicating a shift in AI stock preferences.

AMD’s recent product releases, including the MI300X AI accelerator and Ryzen AI chips, position the company as a strong contender against Nvidia in the AI chip market. Despite being second to Nvidia, AMD’s offerings are gaining attention from investors and have bipartisan appeal among lawmakers.

While both AMD and Nvidia are popular AI stocks, AMD’s potential for growth and diversification make it an attractive option for investors. With a forward P/E ratio of 45.7, AMD may outperform Nvidia in the long run by providing competitive performance at a lower cost, aligning with the views of politicians favoring AMD over Nvidia.

Investors considering Advanced Micro Devices should note that it was not among the 10 best stocks recently identified by the Motley Fool Stock Advisor team. Despite this, Stock Advisor’s proven track record of outperforming the S&P 500 since 2002 provides valuable insights and recommendations for investors looking to build a successful portfolio.

Overall, the shift in congressional stock transactions towards AMD and the company’s recent product innovations suggest a favorable outlook for AMD in the AI chip market. Investors should consider the potential for growth and performance of AMD compared to Nvidia when making investment decisions in the AI sector.



Read more at Nasdaq: Forget Nvidia: Members of Congress Are Scooping Up Shares of Its Core Rival Instead