To The Moon

1️⃣ Can AMD challenge Nvidia’s data centre dominance?

AMD’s partnership with Supermicro is strategically significant — it expands AMD’s footprint in hyperscale and enterprise AI infrastructure. While Nvidia still dominates with CUDA, H100/H200 chips, and an entrenched software ecosystem, AMD’s MI300 series is gaining real traction. If Supermicro’s integration scales successfully, AMD could capture 10–15% of incremental market share in AI servers by 2026. That’s not enough to dethrone Nvidia, but it meaningfully diversifies the market and solidifies AMD’s position as the credible No. 2 in AI compute.

2️⃣ Is AMD’s AI momentum just starting or priced in?

The momentum is likely just entering its second phase. Early 2024 pricing reflected optimism, but 2025 marks the beginning of commercial-scale adoption. As hyperscalers expand heterogeneous AI infrastructure (mixing Nvidia, AMD, and custom silicon), AMD’s revenue mix will increasingly tilt toward data centre and AI accelerator segments. That suggests further upside — though near-term valuation (50× forward earnings) is demanding.

3️⃣ After a +6% jump — buy or breather?

Short term, a technical cooldown is likely after hitting new highs. Momentum traders may take profits, especially if broader markets consolidate. However, long-term investors could accumulate on pullbacks near prior support levels (~5–8% lower) given AMD’s structural catalysts — AI chip ramp-up, Xilinx integration synergies, and improving gross margins.

In short: Nvidia remains king, but AMD is quietly building an empire next door.