Advanced Micro Devices (NASDAQ: AMD) saw a surge in share prices after securing a deal to supply chips for OpenAI. With third-quarter earnings approaching, investors are eager to see the company’s growth potential. Demand for data center capacity is increasing, benefiting AMD as a top supplier of chips for data centers.

While the OpenAI deal positions AMD for long-term growth, the stock’s price has significantly increased relative to earnings. Trading at 63 times 2025 earnings estimates, investors are looking towards 2026 for accelerated earnings growth potential. The company’s MI450 Instinct GPUs are a key growth driver, with the stock poised for long-term success in the AI chip market.

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Read more at Nasdaq: Should You Buy Advanced Micro Devices Stock Before Nov. 4?