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Semiconductor stocks are having yet another banner year. Gartner (IT) estimates that the global semiconductor industry would grow its revenue by 64% in 2026 to reach $1.32 trillion, with artificial intelligence (AI) processors and networking components doing most of the heavy lifting. Against this backdrop, Advanced Micro Devices (AMD) is a company worth watching closely.
Advanced Micro’s latest quarterly report makes a compelling case for its growing footprint in the AI infrastructure ecosystem. Its data center Graphics Processing Units (GPUs) are now pulling in strong customer demand, and the server Central Processing Unit (CPU) business has genuinely started to hit its stride on the back of rising AI inference workloads. As a result, its stock has gained 108.16% in the last three months.