Advanced Micro Devices crossed $1 trillion in market capitalization for the first time on Monday, driven by a five-day rally in AI chip demand that pushed its stock up 10% to a record $613.92. AMD's data center segment, which has seen explosive growth of over 50% year-over-year, is fueling the company's ascent alongside broader infrastructure spending on AI chips.
AMD stock surged 9.4% after Meta's AI agent app Muse reached the #1 free app on Apple's App Store, boosting expectations for CPU demand. The popularity of agentic AI applications aligns with AMD's bullish outlook on server CPU market growth, which the company projects could expand 50% by 2030 to a $220 billion TAM.
AMD stock surged 9% on Monday, reaching a record high and crossing the $1 trillion market cap milestone for the first time, riding a five-day rally with gains of about 24%. The chip giant's strong performance was driven by AI demand, with its Data Center unit reporting 107% year-over-year sales growth to $6.7 billion in Q2.