Qualcomm and Advanced Micro Devices are leading chip manufacturers in mobile, PC, and data center markets, with a focus on AI and advanced chip technologies. Qualcomm offers high-performance chip designs for various applications, while AMD has evolved into an enterprise-focused company with innovative products like FPGAs and ACAPs. Both are advancing in the AI space to stay competitive.

Qualcomm’s revenue targets are on track with a focus on 5G and diversified revenue streams. The company is transitioning to a connected processor company with innovative product launches and strategic collaborations. However, tough competition from Intel and Samsung, as well as geopolitical tensions, pose challenges for Qualcomm in the AI and smartphone markets.

AMD is expanding its AI market presence with new accelerator families and cloud deployments. Strong adoption of EPYC processors in the data center market and steady growth in various sectors are boosting AMD’s position. Yet, competition from Intel in traditional computing and NVIDIA in GPUs remains a challenge, while mobile segment success continues.

Zacks estimates show Qualcomm’s expected revenue growth of 2.7% and EPS growth of 1% for fiscal 2026, while AMD anticipates 31.6% revenue growth and 19.6% EPS growth for 2025. Qualcomm’s stock has seen minimal growth compared to AMD’s impressive surge. Qualcomm appears more attractively valued than AMD based on forward earnings.

Both Qualcomm and AMD hold a Zacks Rank #3 (Hold). While AMD has shown steady growth, Qualcomm faces challenges in the AI and smartphone markets. AMD’s stronger price performance and Qualcomm’s favorable valuation make them both interesting options, with Qualcomm slightly edging out AMD for investment potential. Consider the latest Zacks Top 10 Stocks for potential investment opportunities in 2026.

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