AMD: Future AI Inference Monster

(8min)

Summary

  • The AI inference market is set for explosive 80% CAGR growth, creating massive upside for a $500 billion AI accelerator market by 2028.
  • AMD's MI355x and upcoming MI400 GPUs are well-timed for the shift from AI training to inference, offering superior performance and cost advantages.
  • If AMD captures just 10-20% of the AI accelerator market, data center sales could soar to $50-100 billion by 2028, with EPS potential of $25-40+.
  • Despite execution risks, the downside appears limited, making AMD a strong buy at current levels as it positions to challenge Nvidia in AI chips.
  • This idea was discussed in more depth with members of my private investing community, Out Fox The Street. Learn More »

AI neon letters on a digital circuit background

omilaew/iStock via Getty Images

Advanced Micro Devices, Inc. (NASDAQ:AMD) is hitting mid-2025 in full stride. The AI chip company has generally trailed Nvidia (NVDA) with the GPUs needed for AI training, but the market shift

If you'd like to learn more about how to best position yourself in under valued stocks mispriced by the market to end Q2, consider joining Out Fox The Street

The service offers a model portfolio, daily updates, trade alerts and real-time chat. Sign up now for a risk-free 2-week trial. 

This article was written by

52.53K Followers

Stone Fox Capital is an RIA from Oklahoma. Mark Holder is a CPA with degrees in Accounting and Finance. He is also Series 65 licensed and has 30 years of investing experience, including 15 years as a portfolio manager.

Mark leads the investing group

Out Fox The Street

where he shares stock picks and deep research to help readers uncover potential multibaggers while managing portfolio risk via diversification. Features include various model portfolios, stock picks with identifiable catalysts, daily updates, real-time alerts, and access to community chat and direct chat with Mark for questions.

Learn more

.

Analyst’s Disclosure:I/we have no stock, option or similar derivative position in any of the companies mentioned, and no plans to initiate any such positions within the next 72 hours. I wrote this article myself, and it expresses my own opinions. I am not receiving compensation for it (other than from Seeking Alpha). I have no business relationship with any company whose stock is mentioned in this article.

The information contained herein is for informational purposes only. Nothing in this article should be taken as a solicitation to purchase or sell securities. Before buying or selling any stock, you should do your own research and reach your own conclusion or consult a financial advisor. Investing includes risks, including loss of principal.

Seeking Alpha's Disclosure: Past performance is no guarantee of future results. No recommendation or advice is being given as to whether any investment is suitable for a particular investor. Any views or opinions expressed above may not reflect those of Seeking Alpha as a whole. Seeking Alpha is not a licensed securities dealer, broker or US investment adviser or investment bank. Our analysts are third party authors that include both professional investors and individual investors who may not be licensed or certified by any institute or regulatory body.

Recommended For You

About AMD Stock

SymbolLast Price% Chg
Market Cap
PE
Yield
Rev Growth (YoY)
Short Interest
Prev. Close
Compare to Peers

More on AMD

Related Stocks

SymbolLast Price% Chg
AMD
--
AMD:CA
--