Nvidia (NVDA) and Advanced Micro Devices (AMD) have just reported their latest quarterly results, offering investors fresh insight into how both chipmakers are riding the ongoing semiconductor and AI boom. Now that the numbers are out, one big question remains: which stock is the better buy — Nvidia or AMD?
TipRanks Black Friday Sale
- Claim 60% off TipRanks Premium for the data-backed insights and research tools you need to invest with confidence.
- Subscribe to TipRanks' Smart Investor Picks and see our data in action through our high-performing model portfolio - now also 60% off
Nvidia and AMD are major chipmakers driving the growth of AI, gaming, and high-performance computing. For long-term investors, both offer strong opportunities in the evolving AI market, each with its own advantages. Let’s break it down.
Nvidia Delivers Stellar Q3
Nvidia’s Q3 earnings made one thing clear: AI demand isn’t slowing; instead, it’s growing. The company reported 62% revenue growth in Q3 FY26 and expects another 65% jump in Q4. Meanwhile, adjusted earnings came in at $1.30 per share, rising 60% year-over-year.
The biggest highlight of Q3 was the Data Center segment, which generated $51.2 billion in revenue, up 66% from last year.
A key driver of this momentum is the surge in AI infrastructure spending. Data centers, cloud platforms, and power capacity are all operating near full load. Nvidia now projects roughly $500 billion in product visibility through 2026, signaling a long and sustained investment cycle.
Is Nvidia Still a Good Stock to Buy?
Following its Q3 results, Wall Street analysts quickly reaffirmed their confidence in Nvidia, issuing Buy ratings and raising their price targets. Among the bulls, Evercore ISI five-star-rated analyst Mark Lipacis raised his price target on NVDA to a Street-high $352, suggesting nearly 95% upside. Lipacis said Nvidia remains the clear leader in AI chips, and demand for its new Blackwell lineup is accelerating faster than expected.
He also noted that Nvidia is building inventory to support larger customer orders—up 32% quarter-over-quarter. In his view, this strengthens the case that Nvidia could easily achieve or even exceed its $500 billion data center order target for 2025–2026.
Meanwhile, Bernstein’s five-star-rated analyst Stacy Rasgon also raised his price target from $225 to $275, implying more than 50% upside. Rasgon highlighted that Nvidia’s $65 billion revenue outlook for Q4 is firmly in bullish territory, signaling strong demand and clear visibility for investors.
AMD Beats Q3 Estimates
For Q3, AMD reported earnings of $1.20 per share, beating the consensus estimate of $1.17. Revenue also came in strong at $9.2 billion, marking a 35.6% year-over-year increase and topping expectations of $8.76 billion.
A key focus for both chipmakers this quarter was data center growth. AMD also saw strength in the same category, though at a smaller scale, with its Data Center revenue climbing 22% year-over-year to $4.3 billion.
Later, AMD hosted its 2025 Analyst Day on November 11, highlighting its AI strategy and long-term plans in a $1 trillion market opportunity. Notably, the company announced new “Helios” rack-scale systems with MI450 GPUs coming in Q3 2026, early plans for the MI500 lineup, and a push to grow its data center and CPU market share against Nvidia and Intel (INTC).
Is AMD a Good Buy Right Now?
Unlike Nvidia, AMD received a more divided response from Wall Street, particularly after its recent analyst day presentation.
For instance, Seaport analyst Jay Goldberg noted that AMD shared an optimistic five-year roadmap. However, he cautioned that even a $100 billion goal would still be only about 10% of the $1 trillion chip market AMD expects by 2030. Goldberg also pointed out a risk that AMD’s near-term growth depends heavily on big customers like OpenAI (PC:OPAIQ). So while he still views AMD as one of the best-run chip companies, he remains cautious about how consistently the company can deliver on its plan. Goldberg has a Hold rating on AMD stock.
Meanwhile, Rasgon also has a Hold rating on AMD with a price target of $200, representing a potential 1% downside for the shares.
On the other hand, Raymond James’ top-rated analyst Simon Leopold initiated coverage on AMD with a Buy rating and a $377 price target. He believes AMD is the strongest competitor to Nvidia in the merchant GPU market and expects continued progress in AI accelerators and rack systems, despite ongoing investor doubt.
NVDA or AMD: Which Stock Offers Higher Upside, According to Analysts?
Using TipRanks’ Stock Comparison Tool, we have compared NVDA and AMD to see which stock offers higher upside to investors.
Nvidia stock currently holds a Strong Buy rating, with an average price target of $257.33, implying a 44% upside from current levels. On the other hand, AMD stock carries a Moderate Buy consensus among analysts. AMD’s average stock price target of $284.67 suggests an upside of almost 40%.
Year-to-date, Nvidia stock is up roughly 34%, while AMD is up 68%.
Conclusion
Both Nvidia and AMD are benefiting from the AI boom, but in different ways. Nvidia remains the clear leader with massive demand, strong pricing power, and record data center revenue. AMD is making meaningful progress with a growing AI product roadmap and improving momentum, but it’s still playing catch-up.
For now, Nvidia remains the stronger pick for investors seeking exposure to near-term AI demand, while AMD may appeal more to those betting on long-term competitive gains and valuation upside.