Stock IdeasDec. 29, 2025 5:32 PM ETAdvanced Micro Devices, Inc. (AMD) Stock, AMD:CA Stock, ZAMD:CA StockNVDA, NVDA:CA, ZNVD:CA, OPENAIThe Value PortfolioInvesting Group LeaderComment(1)Advanced Micro Devices, Inc. has significantly grown its GPU business, now boasting a $350 billion market cap.Despite outpacing the S&P 500 and improved competitiveness, I remain skeptical AMD will deliver sufficiently lofty returns.AMD's unique position as the only drop-in Nvidia GPU replacement offers potential upside if it sustains silicon innovation.Key risk: rapid competitive gains could pressure Nvidia and drive substantial revenue for AMD if replacement adoption accelerates.JHVEPhoto/iStock Editorial via Getty ImagesAdvanced Micro Devices, Inc. (AMD) has become a dramatically larger GPU company, with a market capitalization of roughly $350 billion. In our last article, we argued the company was a poor investmentThis article was written byThe Value Portfolio37.44K FollowersThe Value Portfolio specializes in building retirement portfolios and utilizes a fact-based research strategy to identify investments. This includes extensive readings of 10Ks, analyst commentary, market reports, and investor presentations. He invests real money in the stocks he recommends. He is the leader of the investing group The Retirement Forum with features including: model portfolios, macro overviews, in-depth company analysis and retirement planning information. Learn more.Analyst’s Disclosure:I/we have a beneficial short position in the shares of AMD either through stock ownership, options, or other derivatives. I wrote this article myself, and it expresses my own opinions. I am not receiving compensation for it (other than from Seeking Alpha). I have no business relationship with any company whose stock is mentioned in this article.Seeking Alpha's Disclosure: Past performance is no guarantee of future results. No recommendation or advice is being given as to whether any investment is suitable for a particular investor. Any views or opinions expressed above may not reflect those of Seeking Alpha as a whole. Seeking Alpha is not a licensed securities dealer, broker or US investment adviser or investment bank. Our analysts are third party authors that include both professional investors and individual investors who may not be licensed or certified by any institute or regulatory body.Comment(1)