Amd Stock To Move Higher

last updated on

Amd Stock To Move Higher

Amd And Its $100 Billion Ai Ambition

Advanced Micro Devices (AMD) management believes that its market will be worth $1 trillion in 2030. So, if Advanced Micro Devices (AMD) manages to capture half or even less of that, it would send its revenue through the roof!

The total market for networking components, memory, CPU, and GPU is expected to reach $1 trillion. At least, that's what the Advanced Micro Devices (AMD) management believes, and they are committed to getting their share of it.

Biggest Growth Driver Is Ai Infrastructure Buildout

Advanced Micro Devices (AMD) is expecting its revenue to increase by a 35% CAGR. So by 2030, the revenue of Advanced Micro Devices (AMD) would be around $150 billion.

Right now, most of AMD's growth is coming from the data center segment. And that sector is expected to grow at a 60% CAGR. Also, the AI data center revenue of AMD is expected to grow at an 80% CAGR.

AMD also predicts that EPS will be over $20 in the next few years. That's an increase of almost 5x given that the current EPS is near $4.

So, if AMD stock can manage to have an EPS of $20, it would mean a huge upside for the stock in the next few years.

According to experts, the biggest growth engine for AMD is the AI infrastructure buildout. All the big firms like Azure, AWS, and Google Cloud are spending big to build their AI data centers.

And then there's Oracle and OpenAI, which have developed a very ambitious plan for their AI infrastructure. As a part of it, they have acquired a 10% share in the AMID.

Overall, Advanced Micro Devices (AMD) stock is a very good option, given there is a strong demand for its chips. Also, the partnership with OpenAI will do wonders for Advanced Micro Devices (AMD) stock in the long run.

Trending Stories