Advanced Micro Devices, Inc. (NASDAQ:AMD) is seeing a strong rebound in 2025, with its stock up 49% year-to-date. The gains come as investors grow more confident in AMD’s ability to compete in the artificial intelligence (AI) chip market. After initially trailing Nvidia due to the latter\u2019s early dominance in AI accelerators, AMD is now viewed as a credible challenger, particularly with the rollout of its own AI-focused GPUs and CPUs.<\/p>\n\n\n\n
Investor sentiment has been supported by comments from market observers and analysts who believe AMD could gain meaningful market share in the AI segment. The company\u2019s recent momentum is attributed to both strong product demand and broader bullishness around the AI sector.<\/p>\n\n\n\n
CNBC’s Jim Cramer pointed to investor enthusiasm around AI chips as a key factor behind AMD’s stock performance. \u201cIt\u2019s the AI-related chips that are on fire today… AI is just moving along,\u201d he noted during a recent market segment, emphasizing that the current rally reflects strong optimism across technology stocks, especially those tied to AI infrastructure.<\/p>\n\n\n\n
In earlier remarks, Cramer acknowledged that while AMD\u2019s stock has rallied sharply from its lows, further gains are possible. He cited the leadership of CEO Lisa Su and the company\u2019s competitive GPU offerings as signs of long-term strength. \u201cThere\u2019s a GPU shortage everywhere,\u201d he said. \u201cShe\u2019s got what it takes to take that stock much higher.\u201d<\/p>\n\n\n\n
AMD’s approach to AI centers on developing efficient, scalable accelerators that can challenge Nvidia\u2019s dominance in data centers and enterprise-grade applications. Its MI300 chip series is gaining attention for its performance and integration capabilities, positioning the firm to win contracts from hyperscalers and cloud providers.<\/p>\n\n\n\n
The broader semiconductor landscape remains favorable, as global demand for AI compute continues to rise. GPU shortages persist across the market, and AMD\u2019s ability to scale production and offer cost-effective alternatives may give it a strategic edge over the next 12 to 24 months.<\/p>\n\n\n\n
Despite strong performance, AMD is still considered more affordable than Nvidia by many analysts, offering investors an entry point into the AI boom without paying peak valuations. However, some investors argue that there are even more undervalued AI plays with significant upside potential and lower perceived risk.<\/p>\n\n\n\n
One such opportunity involves AI firms that are directly benefiting from President Trump\u2019s new tariff policies and the broader trend of onshoring U.S. tech production. These companies, often overlooked by mainstream investors, may provide faster returns in the short term due to favorable policy shifts and expanding domestic demand.<\/p>\n\n\n\n
<\/p>\n","protected":false},"excerpt":{"rendered":"
Shares surge 49% YTD as AI chips boost sentiment Advanced Micro Devices, Inc. (NASDAQ:AMD) is seeing a strong rebound in 2025, with its stock up 49% year-to-date. The gains come as investors grow more confident in AMD’s ability to compete in the artificial intelligence (AI) chip market. After initially trailing Nvidia due to the latter\u2019s<\/p>\n","protected":false},"author":5,"featured_media":6911,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[22],"tags":[4525,3138,4524,4523,4527,4529,4528,4531,4526,4530],"class_list":{"0":"post-6910","1":"post","2":"type-post","3":"status-publish","4":"format-standard","5":"has-post-thumbnail","7":"category-tech","8":"tag-ai-accelerators","9":"tag-ai-chips","10":"tag-amd-stock","11":"tag-gpu-shortage","12":"tag-jim-cramer-amd","13":"tag-lisa-su","14":"tag-nvidia-rival","15":"tag-onshoring-ai","16":"tag-semiconductor-stocks","17":"tag-trump-tariffs-tech"},"_links":{"self":[{"href":"https:\/\/guardianglobe.org\/index.php?rest_route=\/wp\/v2\/posts\/6910"}],"collection":[{"href":"https:\/\/guardianglobe.org\/index.php?rest_route=\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/guardianglobe.org\/index.php?rest_route=\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/guardianglobe.org\/index.php?rest_route=\/wp\/v2\/users\/5"}],"replies":[{"embeddable":true,"href":"https:\/\/guardianglobe.org\/index.php?rest_route=%2Fwp%2Fv2%2Fcomments&post=6910"}],"version-history":[{"count":1,"href":"https:\/\/guardianglobe.org\/index.php?rest_route=\/wp\/v2\/posts\/6910\/revisions"}],"predecessor-version":[{"id":6912,"href":"https:\/\/guardianglobe.org\/index.php?rest_route=\/wp\/v2\/posts\/6910\/revisions\/6912"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/guardianglobe.org\/index.php?rest_route=\/wp\/v2\/media\/6911"}],"wp:attachment":[{"href":"https:\/\/guardianglobe.org\/index.php?rest_route=%2Fwp%2Fv2%2Fmedia&parent=6910"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/guardianglobe.org\/index.php?rest_route=%2Fwp%2Fv2%2Fcategories&post=6910"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/guardianglobe.org\/index.php?rest_route=%2Fwp%2Fv2%2Ftags&post=6910"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}