For most investors, how much a stock's price changes over time is important. Not only can it impact your investment portfolio, but it can also help you compare investment results across sectors and industries.
The fear of missing out, or FOMO, also plays a factor in investing, especially with particular tech giants, as well as popular consumer-facing stocks.
What if you'd invested in Advanced Micro Devices (AMD) ten years ago? It may not have been easy to hold on to AMD for all that time, but if you did, how much would your investment be worth today?
Advanced Micro Devices' Business In-Depth
With that in mind, let's take a look at Advanced Micro Devices' main business drivers.
Advanced Micro Devices has strengthened its position in the semiconductor market on the back of its strong product portfolio. Santa Clara, CA-based AMD generated revenues of $25.79 billion in 2024. The company reports operations under four segments – Data Center, Client, Gaming, and Embedded – which accounted for 48.7%, 27.4%, 10.1% and 13.8% of revenues, respectively.
AMD has emerged as a strong challenger to NVIDIA’s dominance in the data center market based on Instinct MI200X, MI300X and MI325X graphic processing unit (GPUs) accelerators (based on AMD CDNA architecture), EPYC family of server processors and ROCm open software stack. AMD’s visual cloud GPU offerings include Radeon PRO V families.
AMD offers Virtex and Kintex, Artix, and Spartan field programmable gate arrays (FPGAs) as well as System-on-Chip (SoC) like Zynq, Zynq UltraScale+ Multi-Processing System-on-a-Chip (MPSoC), Versal Adaptive SoC, Alveo accelerator cards, and Pensando data processing units (DPUs).
In the consumer-PC market, AMD has become a key challenger to Intel, courtesy of AMD Ryzen and AMD Ryzen Threadripper processors. Ryzen 9000 series processors feature “Zen 5” cores, along with X3D models featuring second-generation AMD 3D V-Cache technology. AMD’s 7000-series Ryzen desktop processors include first-generation AMD 3D V-Cache technology.
For AI-powered PCs, AMD launched Ryzen AI 300 series processors based on “Zen 5” architecture and featuring a next-generation neural processing unit (NPU). AMD Ryzen 8000 Series mobile processors are built on the “Zen 4” and feature a first-generation NPU. AMD Ryzen 6000 and 5000 series mobile processors are powered by both “Zen 2” and “Zen 3+” core architectures.
AMD Ryzen AI PRO 300 series brings top-notch security, productivity, battery life, and AI capabilities to business notebooks and mobile workstations. AMD Ryzen PRO 200 series mobile processors have expanded the commercial CPU portfolio. AMD Ryzen PRO 8000G series desktops offer an integrated AI desktop solution for enterprises, while AMD Ryzen Threadripper PRO CPU powers premium workstations.
AMD offers semi-custom SoC products that power the Sony PlayStation 5, the Microsoft Xbox Series S and X game consoles, as well as the Valve Steam Deck PC.
Bottom Line
Anyone can invest, but building a successful investment portfolio requires research, patience, and a little bit of risk. So, if you had invested in Advanced Micro Devices, ten years ago, you're likely feeling pretty good about your investment today.
A $1000 investment made in January 2016 would be worth $121,405.80, or a gain of 12,040.58%, as of January 27, 2026, according to our calculations. This return excludes dividends but includes price appreciation.
Compare this to the S&P 500's rally of 265.10% and gold's return of 331.52% over the same time frame.
Going forward, analysts are expecting more upside for AMD.
AMD's prospects are benefiting from strong demand for EPYC processors that power cloud and enterprise workloads. Emerging AI use cases and rapid adoption of agentic AI are generating demand for general-purpose compute infrastructure, benefiting EPYC demand. Adoption of EPYC by the largest cloud hyperscalers is increasing significantly. Apart from EPYC, AMD's prospects are driven by strong demand for Instinct accelerators. The launch of the Instinct MI350 series that supports deployments powered by AMD CPUs, GPUs and NICs has strengthened AMD's system-level capabilities. A rich partner base that includes the likes of OpenAI, HPE, Dell, Lenovo, Super Micro, AWS, Oracle, Cisco, IBM, Cohere, Vultr, DigitalOcean and others is driving AMD's prospects. However, stiff competition from NVIDIA and Intel doesn't bode well for AMD.
Shares have gained 16.56% over the past four weeks and there have been 2 higher earnings estimate revisions for fiscal 2025 compared to none lower. The consensus estimate has moved up as well.
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Advanced Micro Devices, Inc. (AMD): Free Stock Analysis ReportThis article originally published on Zacks Investment Research (zacks.com).
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