Advanced Micro Devices (AMD), a designer of microchips and processors, has reached a $1 trillion U.S. market capitalization for the first time.
The milestone was reached as AMD’s stock rose 10% on Sept. 21, pushing its shares to a record high and giving the company a $1 trillion U.S. market cap.
The stock of AMD, as the company is known, has benefitted from the artificial intelligence (A.I.) boom. So far in 2026, the company’s share price has risen 175%.
The company’s stock has gained 25% in the last five trading sessions alone.
The A.I. buildout that has fueled the surge in microchip stocks is showing no sign of slowing despite a public backlash against data centres and concerns about the technology’s safety.
AMD CEO Lisa Su said in August that AMD expects to double its microchip and processor sales to data centres in 2027.
However, despite becoming the latest technology company to reach a $1 trillion U.S. market cap, AMD remains far behind rival Nvidia (NVDA).
Nvidia, which is widely seen as the global leader in A.I. microchips, boasts a market capitalization of $5.48 trillion U.S., making it the world’s largest publicly traded company.
AMD stock also looks expensive after its big rally, trading at 158 times expected earnings versus a multiple of 28 times future earnings estimates for Nvidia.
Shares of AMD have gained 285% in the past 12 months to trade at a record high of $615.52 U.S. each.
Tech Insider
