Chip stocks have been in focus this year mainly due to artificial intelligence (AI)-related demand, the U.S.-China trade war, and tariff concerns. U.S. semiconductor companies have been under pressure to increase domestic production and bring down reliance on overseas manufacturers or component providers. Keeping this backdrop in mind, we used TipRanks’ Stock Comparison Tool to place Nvidia (NVDA), Intel (INTC), and Advanced Micro Devices (AMD) against each other to find the best chip stock, according to Wall Street analysts.
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Nvidia (NASDAQ:NVDA) Stock
Nvidia recently delivered better-than-expected revenue and earnings for the second quarter of Fiscal 2026, reflecting continued demand for its graphics processing units (GPUs) for powering AI models. However, investors were disappointed as the Data Center segment’s revenue fell short of expectations despite reporting a 56% year-over-year growth for Q2 FY26.
Nonetheless, Nvidia remains confident about continued demand for its AI solutions from cloud service providers, neoclouds, enterprises, and sovereigns. In fact, management expects $3 trillion to $4 trillion in AI infrastructure spending by the end of the decade, with the company well-positioned to capitalize on this massive growth opportunity.
Is Nvidia Stock a Buy, Sell, or Hold?
Following the print, Stifel analyst Ruben Roy reiterated a Buy rating on Nvidia stock with a price target of $212. Roy noted that NVDA delivered a modest beat, driven by the upside in the Gaming segment, but missed revenue expectations for the Data Center segment.
That said, Roy highlighted that NVDA’s Q3 FY26 top-line outlook of $54 billion beat consensus, with incremental sequential growth mostly driven by strength in the Data Center segment. While Q3 outlook guidance does not include China/H20 revenue, management noted the potential for $2 billion to $5 billion in H20 revenue if certain geopolitical issues are addressed.
Overall, Roy stated that his longer-term thesis remains unchanged, given that agentic AI/reasoning requires “step function increases” in compute and visibility into demand for AI infrastructure extends well into 2025. “We continue to view NVDA as best positioned to benefit,” concluded Roy.
Wall Street has a Strong Buy consensus rating on Nvidia stock based on 33 Buys, three Holds, and one Sell recommendation. The average NVDA stock price target of $210.69 implies about 23.4% upside potential. NVDA stock has risen 27% year-to-date.
Intel (NASDAQ:INTC) Stock
Intel stock has rallied 25% over the past month, bringing the chipmaker’s year-to-date gains to about 21%. The spike in INTC stock price was mainly driven by the U.S. government’s $5.7 billion investment in the company for roughly a 10% stake. Additionally, a $2 billion investment from SoftBank (SFTBY) boosted the confidence of Intel investors.
However, most Wall Street analysts remain sidelined on Intel stock, as the company has not been able to capture AI-led growth opportunities and continues to lose market share. While the beleaguered chip company is restructuring its business under the leadership of CEO Lip-Bu Tan, many analysts are still concerned about Intel’s ability to beat rivals by rapidly developing competitive chips.
Is INTC Stock a Good Buy Right Now?
Recently, Morgan Stanley analyst Joseph Moore reaffirmed a Hold rating on Intel stock with a price target of $23, stating that for him to turn more constructive, the company would need to provide clarity on its strategic direction and demonstrate its ability to regain server leadership.
The 5-star analyst believes that Intel’s turnaround will be lengthy and challenging, with no simple cures to reverse years of challenges in its core business. Moore added that INTC’s recovery has to start with an improved microprocessor roadmap. He remains doubtful about the company’s foundry strategy due to “multiple iterations and now across multiple decades.”
Even with government backing, Moore contends that Intel must first stabilize its microprocessor franchise. He argues that without regaining market share in processors, Intel will struggle to achieve the scale needed to justify investments in advanced process technology such as 14A. Moore believes that the “go or no-go” decision on the foundry business is critical and must be based on strategic or financial value, not patriotic motives.
With 26 Holds, three Sells, and one Buy recommendation, Wall Street has a Hold consensus rating on Intel stock. The average INTC stock price target of $22.34 indicates a downside risk of about 8% from current levels.
Advanced Micro Devices (NASDAQ:AMD) Stock
Advanced Micro Devices stock has risen 34% so far this year on revived hopes about the company capturing AI-led demand for chips through its innovative launches. While AMD significantly lags behind Nvidia in the AI chip race, the growing requirement for products focused on inference compared to training is expected to fuel the demand for the company’s offerings.
Specifically, AMD’s MI355 chip and the MI400 GPUs are expected to capture significant AI inference market share. Moreover, the company is seeing strong demand for its EPYC server processors to support AI workloads.
Is AMD Stock a Buy, Hold, or Sell?
Recently, Truist Securities analyst William Stein upgraded Advanced Micro Devices stock from Hold to Buy and increased the price target from $173 to $213. The 5-star analyst stated that over the last month or so, industry contacts have increasingly noted that hyperscalers are engaging with AMD in a “partnership manner,” expressing interest in deploying the company’s chips at scale. Stein highlighted that this is a shift from prior years, when customers viewed AMD largely as a “price check” against Nvidia.
Stein raised his earnings per share (EPS) estimates for calendar year 2027 to $7.89. He views AMD’s MI355 chip, launched in late June, as a key driver of growth in the quarters ahead.
Currently, Wall Street has a Moderate Buy consensus rating on Advanced Micro Devices stock based on 26 Buys and 10 Holds. The average AMD stock price target of $184.91 indicates about 14% upside potential from current levels.
Conclusion
Wall Street is highly bullish on Nvidia, cautiously optimistic on AMD, and sidelined on Intel. Analysts see higher upside potential in NVDA stock than in the other two chip stocks. Nvidia has already gained a dominant position in the AI GPU market and is well-positioned for further growth, driven by its innovative offerings and strong execution.