The Gabelli Growth Fund on Advanced Micro Devices Inc.
Thesis
AMD has evolved into a credible challenger across server CPUs and data-center GPUs. Agentic AI workloads are increasing CPU requirements, while AMD continues to gain server share and has secured large multi-year commitments for its GPU platform. Gabelli sees a significant above-trend earnings-growth opportunity if AMD continues gaining CPU share and becomes a more credible GPU alternative to NVIDIA.
“we see a significant and above-trend earnings growth opportunity over the next several years.”
Key risks
- Instinct GPU franchise remains a distant second to NVIDIA