"Advanced Micro Devices (AMD) Was Terrific," Says Jim Cramer

We recently published Jim Cramer Discussed These 25 Stocks In An Important Show About AI Spending. Advanced Micro Devices, Inc. (NASDAQ:AMD) is one of the stocks Jim Cramer recently discussed.

Advanced Micro Devices, Inc. (NASDAQ:AMD) reported its third-quarter earnings last week that smashed analyst revenue estimates out of the park. During the quarter, the firm’s revenue sat at $9.25 billion while analysts had penciled in $8.74 billion. Advanced Micro Devices, Inc. (NASDAQ:AMD)’s earnings per share of $1.20 also beat estimates of $1.16. More recently, investment bank Morgan Stanley reiterated its Equalweight rating on the shares and a $260 share price target as it commented that Advanced Micro Devices, Inc. (NASDAQ:AMD)’s MI450 AI chip would need to gain market share to justify its valuation. Cramer discussed the earnings and the broader sentiment surrounding chip stocks:

“I talked to. . .AMD was terrific, I [inaudible] to Lisa, it was just an amazing quarter. It was an amazing quarter, but that cohort’s, cohort’s down. Well because if you need backstop and then you take away the backstop, and when you say China and then you take back China, then you’re like, you’re taking it back.”

While we acknowledge the potential of AMD as an investment, our conviction lies in the belief that some AI stocks hold greater promise for delivering higher returns and have limited downside risk. If you are looking for an extremely cheap AI stock that is also a major beneficiary of Trump tariffs and onshoring, see our free report on the best short-term AI stock.

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Disclosure: None. This article is originally published at Insider Monkey.