Reported 11 months ago
The article discusses the rise of Nvidia in the AI market and compares it to Advanced Micro Devices (AMD). While Nvidia has seen significant growth in the past five years, AMD is positioning itself as a competitor, particularly in AI hardware, aiming to capture a market share that could reach $400 billion by 2027. AMD's advantages over Nvidia include lower GPU costs and business diversification. However, the article highlights that Nvidia's valuation and reliance on data center GPU sales may affect its risk profile. The conclusion suggests that while AMD may be appealing for some investors interested in the long-term AI opportunity, Nvidia's lower valuation makes it a better buy according to forward price-to-earnings (P/E) multiples.
Source: YAHOO