AMD · Advanced Micro Devices, Inc.Advanced Micro Devices, Inc.

AMD is undervalued compared to NVDA, with potential for significant market cap growth as it is seen as the next NVDA.

Rotating into high-growth positions: AMD (forward revenue doubling), FLY (neocloud similar to RocketLab), WLAC (neocloud IPO with high margins), MU (memory demand from Stargate/OpenAI), FLNC/SEI/DFLI (energy and battery plays, high risk high reward). Trimming laggards for tax harvesting, will repurchase later.

AMD's 8.2% drop due to a tweet is a buy opportunity as macro fears are overblown.

AMD is bullish because as a fabless company it is less impacted by rare earth export controls, and the current selloff resembles April when a trade deal resolved the downturn.

AMD is a buy on a 1-year horizon due to a $100B contract with OpenAI starting to ramp. MU is affected by China disputes due to its large DRAM/NAND exposure and is advised to hold. Overall macro risk from Trump's unpredictability tempers conviction.

Bullish on RDDT at $192, AMD at $210, VIRT at $33. VIRT seen as undervalued hedge with upcoming earnings.

Raising 1-year price target on NBIS to $450 and reiterating outperform on other stocks due to infinite energy consumption in the Neocloud space.

The author presents a broad bullish thesis on multiple growth stocks, particularly in AI/data center buildout (neoclouds), energy, and cybersecurity, citing catalysts such as rate cuts, government reopening, and seasonal trends. Key themes include the undervaluation of certain tech stocks after corrections, the importance of TSM as a central supplier, and the potential for re-rating in sectors like nuclear and memory.

Author presents a comprehensive trading plan for rate cut week, recommending longs in neocloud, semiconductors, and select other stocks while selling overvalued quantum, space, and crypto assets. Key macro view: market fear is an ideal entry point ahead of expected rate cut.

AMD has potential to reach NVDA's current market cap if frontier models use AMD effectively, as suggested by Sam Altman and Elon Musk. However, OpenAI's revenue promises to AMD are uncertain, and position sizes are small relative to TSM.

AMD has extremely high upside potential based on NVDA's market cap and endorsements from Sam Altman and Elon Musk regarding utility for frontier models. HOOD is a generational company with high conviction long-term, though short-term overvalued.

AI capex is exponentially ramping up and flowing directly to neoclouds, connectivity, energy, semi/foundries, and memory stocks, with multiple recent catalysts confirming record growth with no slowdown in sight.

Reduced bullishness on AMD due to weakening OpenAI dominance; also bearish on OpenAI-dependent stocks (CRWV, ORCL, MSFT).

OpenAI's competitive position is deteriorating (Gemini, Claude surpass it), leading to contagion in companies that built capacity for OpenAI's capex (ORCL, CRWV, AMD). However, for companies not materially impacted by OpenAI's specific promises, this creates a buying opportunity.

Elon Musk's $134B lawsuit against OpenAI poses downside risk to AI stocks levered to OpenAI (AMD, CRWV, ORCL, MSFT, APLD, CORZ, RIOT) in worst-case scenario, but author expects middle ground with a large fine and MSFT stepping in, limiting contagion.

Trump administration proposal for AI chip export permits is unlikely to pass; current selloff is overreaction.

US Commerce Department denies return to AI diffusion rule, countering negative reporting that caused sell-off in semis, supporting NVDA and AMD.

Reaffirms long-term bullish thesis on a basket of semiconductor and related stocks, noting that short-term entry points vary but overall market validation continues.

CPU supply shortage driving price hikes and capex increases, benefiting CPU makers and foundry.

AI hyperscaler demand is causing widespread supply chain bottlenecks across semiconductors, materials, and infrastructure components, benefiting companies exposed to CPUs, semiconductor equipment, photoresists, grid components, optical modules, and photonics.