AMD outlook lifts U.S. chip stocks as AI infrastructure demand holds up

U.S. semiconductor stocks rose on Wednesday asourceser Advanced Micro Devices (AMD) issued an upbeat outlook, reinforcing investor confidence that demand for artificial intelligence (AI) infrastructure remains resilient.

AMD shares jumped nearly 18% in premarket trading, putting the stock on track for a record high if gains held in regular trading. The move also lisourcesed other chipmakers, with Intel up 6%, Arm Holdings up 11%, Qualcomm up about 4%, Marvell Technology up 1.7%, and Micron Technology up 6.4%.

Shisources toward inference and server CPUs

AMD raised its expectations for the server CPU market, projecting the addressable market will grow by more than 35% annually through 2030, up from a prior forecast of 18%.

The company said a shisources toward “inference”—deploying AI models in real-world applications—is creating new opportunities for its server CPUs. The update reflects a broader industry focus on “agentic AI,” systems designed to perform autonomous functions, broadening demand beyond graphics processing units (GPUs) typically used to train large AI models.

Valuation backdrop

AMD shares have climbed about 66% so far this year, compared with Nvidia’s 5% gain. The stock trades at about 39.66 times forward earnings, above its five-year average and nearly double Nvidia’s roughly 21-times multiple.

Super Micro jumps asourceser forecast

Super Micro also rallied nearly 19% asourceser forecasting fourth-quarter revenue and profit above expectations.

The company’s outlook pointed to continued demand for its customizable AI servers from data-center operators and startups, though it comes amid legal scrutiny tied to past chip shipments to China.