From Nasdaq: 2025-04-17 11:15:00

Investing $1,000 in AMD a decade ago would now be worth over $33,500, thanks to its market share improvements in CPUs. AMD’s recent decline is due to missed opportunities in the AI data center GPU market. Still, AMD’s revenue grew by 14% in 2024, with strong growth in Q4.

AMD’s growth potential lies in gaining more market share in the CPU market, especially as Intel faces challenges. AMD plans to use TSMC’s 2nm chip for its next-gen CPUs, offering more computing power and less power consumption. Analysts expect AMD’s earnings to grow by 40% this year and 34% next year.

AMD doesn’t need to dominate the data center GPU market to see substantial growth. With upcoming catalysts like the gaming console cycle, AI PC market growth, and improving prospects in the embedded chip business, analysts project healthy growth for AMD. With a low valuation and strong earnings growth potential, AMD is a top growth stock to consider.

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Read more at Nasdaq: Is AMD Stock Your Ticket to Becoming a Millionaire?