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AMD Continues to Gain CPU Market Share Over Intel, Says Bank of America

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A Bank of America report noted that Advanced Micro Devices continues to gain share over rival Intel in the CPU market.

AMD Continues to Gain CPU Market Share Over Intel, Says Bank of America

In a research note reviewing the CPU (central processing unit) market for the second quarter, Bank of America noted that Advanced Micro Devices (AMD) continues to gain market share over Intel Corporation (INTC) across the board, while Arm Holdings (ARM) is winning strongly in the servers category. The bank’s observations were based on Market Research data. AMD stock has rallied 53% year-to-date, while ARM and INTC stocks have risen about 15% and 11%, respectively.  

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AMD Grabs CPU Market Share from Intel

Bank of America analyst Vivek Arya noted that AMD continued its robust CPU revenue share gain in the second quarter, up 120 basis points quarter-over-quarter to 29.5% and extending its 300 basis points increase in 2024.

For calendar year 2025, average selling price (ASP) gains are expected to drive the major portion of the market share upside at a 25% year-over-year growth, helping AMD achieve a 30%/31% value share in calendar year 2026/2027. These estimates reflect a notable rise compared to the 21% market share in 2023 and 24% in 2024. 

ARM Gains Market Share in Servers

Meanwhile, Arm Holdings’ units declined by 4% quarter-over-quarter in PCs, but increased 15% in servers. Arya noted that ARM’s PC unit share is now 13.2%, down 700 basis points quarter-over-quarter, while the company’s server unit share increased 150 basis points to 13%.

The analyst expects strong adoption of Arm Holdings’ servers to continue, driven by faster hyperscale adoption, with unit share likely reaching 15% by 2027. This reflects more than a 2x rise in ARM’s unit share compared to 6.8% in 2024.

Ratings on AMD, ARM, and INTC Stocks

Overall, Arya reiterated a Buy rating on AMD stock, noting PC and server share gains and growth in its accelerators. He also reaffirmed a Buy rating on ARM stock, noting content/share gains in server, PCs, and mobile.

Meanwhile, Arya has a Neutral rating on Intel stock, as he contends that the expected CPU share loss could be offset by potential turnaround under CEO Lip-Bu Tan, and as the company sources more wafers in-house in 2026, presenting a gross margin tailwind.

Is AMD Stock a Buy, Sell, or Hold?

Overall, Wall Street has a Moderate Buy consensus rating on Advanced Micro Devices stock based on 25 Buys and 12 Holds. The average AMD stock price target of $183.97 indicates that the stock is fully priced at current levels.  

See more AMD analyst ratings

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