Intel (INTC) vs. AMD: Which Chip Stock Is the Better Buy Ahead of Q1 Earnings?

Intel (INTC) and Advanced Micro Devices (AMD) are at a crossroads in 2026 as both chipmakers prepare to report first-quarter earnings. Intel is trying to prove its turnaround is working, while AMD is racing to grab more of the AI market from Nvidia (NVDA). With chip stocks under close watch, investors will be looking at earnings and guidance for clues on demand, costs, and how each company is set up for the rest of the year. Using TipRanks’ Stock Comparison Tool, we compare these two rivals to see which one looks more attractive right now.

Intel (NASDAQ:INTC) 

Intel has become one of the biggest comeback stories of 2026, with the stock up more than 85% this year. The rally is driven by its shift toward becoming a global chip foundry, progress on its 18A process, and new partnerships, including work linked to Tesla’s (TSLA) Terafab project. The momentum got another boost after Intel introduced its Core Series 3 processors, offering better performance, longer battery life, and AI-ready features.

At the same time, Intel’s foundry push is gaining traction, with reports suggesting potential customers like Apple (AAPL), Alphabet (GOOGL), and even rivals such as AMD and Nvidia (NVDA) are exploring deals. This signals rising demand for its manufacturing business. Still, with competition in advanced chips remaining strong, investors will look to upcoming earnings for clearer signs that the turnaround can hold.

Looking ahead, Intel is set to report its first-quarter fiscal 2026 results after the market close on Thursday, April 23. Analysts expect earnings of $0.01 per share, up 92% from the year-ago quarter, and revenues of about $12.39 billion, reflecting a 2.2% year-over-year decrease. While Intel’s foundry business is still losing money, the market is focused on whether those losses are shrinking.

Is Intel a Buy, Hold or Sell?

Ahead of the report, Mizuho analyst Vijay Rakesh raised his price target on Intel to $59 from $48 and maintained a Neutral rating. He expects strong server CPU demand, driven by rising adoption of agentic AI, to support growth. However, PC demand is likely to stay weak in 2026, though some capacity could shift to servers. He added that Intel’s foundry business remains a longer-term growth driver, supported by new technologies and potential external customers.

At the same time, top Bernstein analyst Stacy Rasgon also lifted the price target on Intel to $60 from $36, while maintaining Market Perform rating. He turned more positive on Intel’s outlook, mainly due to improving demand in its data center business. The firm now expects Xeon server sales to grow about 36% year-over-year in 2026, supported by higher pricing and better product mix. This has also led to higher gross margin estimates.

Turning to Wall Street, analysts have a Hold consensus rating on INTC stock based on six Buys, 24 Holds, and four Sells assigned in the past three months, as indicated by the graphic below. The average INTC price target of $53.72 per share implies 21.58% downside risk.

Advanced Micro Devices (NASDAQ:AMD)

AMD stock has climbed more than 30% year-to-date, driven by strong demand for its AI chips and a series of key partnerships. The rally picked up pace recently, with shares rising for 12 straight sessions—its longest winning streak in over two decades—and hitting record highs. Investor interest has been fueled by record data center revenue and surging demand for its Instinct GPUs, along with major deals, including a large agreement with OpenAI and a partnership with Meta Platforms (META).

Momentum remains strong as AMD expands its global footprint and deepens its AI push. The company is working with governments like France to boost AI infrastructure, while its close ties with Taiwan Semiconductor (TSM) highlight continued demand for high-end chips. Looking ahead, investors are focused on the upcoming MI400 series, expected in the second half of 2026, which could further strengthen its competitive position.

Looking ahead, AMD will report its Q1 FY26 earnings on Tuesday, May 5, after the market close. Analysts expect earnings of $1.27 per share, up 32% from a year ago, and revenue of about $9.85 billion, reflecting a 32% year-over-year increase. Investors are looking for strong guidance, especially as the company rolls out new chips designed to compete directly with Nvidia’s latest hardware.

Is AMD Stock a Buy, Sell, or Hold?

Ahead of its earnings, Erste Group analyst Hans Engel upgraded AMD from Hold to Buy. He expects strong growth in the first quarter of 2026, driven by rising demand for high-performance CPUs and GPUs in data centers, with revenue projected to grow about 32% year over year. Engel also highlighted improving margins and said AMD’s product lineup remains competitive. He pointed to the upcoming Instinct MI450 series, expected in the second half of 2026, which could compete with Nvidia’s next-generation chips and drive solid demand due to higher memory capacity.

Likewise, Bernstein analyst Stacy Rasgon raised his price target on AMD to $265 from $235 and maintained a Market Perform rating. He lifted his estimates on the back of stronger server demand and now expects EPYC sales to grow about 50% year over year in 2026, driven by cloud and AI workloads. Rasgon also factored in AMD’s recent deal with Meta Platforms (META), which he believes is not fully priced in. As a result, he now sees 2026 revenue reaching $45.8 billion, including about $14.2 billion from AI.

Turning to Wall Street, the analysts’ consensus rating for AMD is Moderate Buy, based on 20 Buy and eight Hold ratings over the past three months. With that comes an average AMD stock price target of $285.67, representing a potential 2.66% upside for the shares.

Conclusion

Based on the data, AMD appears to be the more favorable pick for investors looking for steady growth. The stock carries a Moderate Buy rating and has a price target of $285.67, suggesting further room to run.

In comparison, Intel has seen a massive 85% rally this year, but it now carries more risk. Despite its successful turnaround efforts and new foundry deals, analysts have a Hold consensus on the stock. INTC’s average price target of $53.72 implies a 21% downside from current levels.