AMD Is Up 55% in a Month and Trouncing Intel. Should Intel Stockholders Switch to AMD Now?
AMD shares rose 55% in a month versus Intel’s 17%. In Q1 2026, AMD reported Data Center revenue of $5.78B (+57% YoY) and Q2 guidance near $11.2B (+46% YoY), while Intel’s Data Center and AI revenue grew 22% to $5.05B. Meta and OpenAI each committed 6 GW of AMD Instinct GPUs; Intel invested $5B in NVIDIA and partnered with Google on ASICs. Valuations: AMD trades at 173x P/E; analyst targets are below current prices.
Fundamentals/guidance support continued AI data-center momentum, but valuation is stretched, raising downside risk if guidance slips.
AMD reported Q1 Data Center revenue up 57% YoY and guided Q2 revenue near $11.2B, implying 46% YoY growth acceleration.
Near-term bias positive on follow-through, but expect volatility given 173x P/E and price above analyst targets.
Background
The piece compares AMD vs Intel performance and AI data-center traction, citing recent quarterly results, forward guidance, and major customer/partner commitments.
Why it matters
AMD’s faster data-center growth and stronger Q2 acceleration narrative supports momentum trading, while Intel’s turnaround is real but framed as slower versus AMD; valuation and implied downside temper chase behavior.
Market relevance
Directly informs relative-value positioning between AMD and Intel based on reported segment growth, forward guidance, and major AI compute commitments.
Market effects
Reinforces AI infrastructure capex momentum and competitive pressure in data-center accelerators/compute platforms.
Primarily US large-cap semis; no explicit regional shock beyond relative US equity sentiment.
Customer GPU/ASIC commitments (Meta/OpenAI/Google) signal ongoing global AI buildout affecting worldwide supply chains.
Alternative perspectives
AMD’s premium multiple (173x P/E) could compress quickly if MI450/Helios ramp commentary disappoints, even with strong reported growth.
The article frames divergence largely via growth rates and guidance; it doesn’t quantify margin durability, competitive pricing, or near-term inventory/channel digestion that could swing results.
Key entities
- companyAdvanced Micro Devices
Reported Q1 2026 revenue and Data Center revenue growth; provided Q2 guidance implying 46% YoY growth acceleration.
- companyIntel
Reported Q1 2026 revenue and DCAI/AI revenue growth; highlighted NVIDIA equity investment and Google ASIC collaboration.
- customer/partnerMeta Platforms
Committed up to 6 GW of AMD Instinct GPUs, supporting AMD’s AI infrastructure demand narrative.
- customer/partnerOpenAI
Announced a similar 6 GW partnership for AMD Instinct GPUs.
- partnerGoogle
Entered a multiyear ASIC collaboration with Intel, relevant to Intel’s AI/data-center platform strategy.
