Fortunes have already been made in the chip and semiconductor industries, and investors in Advanced Micro Devices (AMD +1.54%) and Broadcom (AVGO +0.19%) are very much part of the boom. Both companies are on a strong upward trajectory, but have experienced significant pullbacks as the broader tech sector grappled with questions surrounding AI and its inevitable disruptions. The future looks bright for AMD and Broadcom, but which one will dominate the next decade?
Expand
NASDAQ: AMD
Advanced Micro Devices
Today’s Change
(1.54%) $3.09
Current Price
$203.21
Key Data Points
Market Cap
$332B
Day’s Range
$198.36 - $204.10
52wk Range
$76.48 - $267.08
Volume
909K
Avg Vol
37M
Gross Margin
45.99%
The case for AMD
AMD had quite the year. In 2025, the company posted record full-year revenue of $34.6 billion, gross margin of 50%, and earnings per share of $2.65. The company also anticipates the momentum will continue through this current year. For the first quarter of 2026, the company believes it could reasonably achieve 32% growth and a non-GAAP gross margin of 55%.
Image source: Getty Images.
AMD boasts some serious customers and partnerships, including with OpenAI and Oracle. The company is also planning to launch its ‘Helios’ server-scale AI system later this year.
AMD’s stock remains expensive, even after the recent tech stock slide. The company’s trailing P/E ratio is still a very high 79.
The case for Broadcom
Broadcom is one of just a handful of trillion-dollar companies in the world. Much like AMD, Broadcom had a banner year in 2025. The company posted record revenues, and the outlook for the first quarter of 2026 suggests it will continue to build on that momentum.
The company has an AI-specific backlog of approximately $73 billion. Broadcom’s stock is also expensive. Its trailing P/E is slightly lower than AMD’s, but still high at 68.
Expand
NASDAQ: AVGO
Broadcom
Today’s Change
(0.19%) $0.62
Current Price
$334.13
Key Data Points
Market Cap
$1.6T
Day’s Range
$329.79 - $338.39
52wk Range
$138.10 - $414.61
Volume
627K
Avg Vol
31M
Gross Margin
64.71%
Dividend Yield
0.72%
The ultimate winner
The outlook for AMD is promising, but Broadcom has the slight edge here. The company has a diversified portfolio across custom chips, networking, and enterprise software, providing multiple growth engines. Broadcom is poised to dominate the next decade.
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AMD vs. Broadcom: Which One Will Dominate the Next Decade?
Fortunes have already been made in the chip and semiconductor industries, and investors in Advanced Micro Devices (AMD +1.54%) and Broadcom (AVGO +0.19%) are very much part of the boom. Both companies are on a strong upward trajectory, but have experienced significant pullbacks as the broader tech sector grappled with questions surrounding AI and its inevitable disruptions. The future looks bright for AMD and Broadcom, but which one will dominate the next decade?
Expand
NASDAQ: AMD
Advanced Micro Devices
Today’s Change
(1.54%) $3.09
Current Price
$203.21
Key Data Points
Market Cap
$332B
Day’s Range
$198.36 - $204.10
52wk Range
$76.48 - $267.08
Volume
909K
Avg Vol
37M
Gross Margin
45.99%
The case for AMD
AMD had quite the year. In 2025, the company posted record full-year revenue of $34.6 billion, gross margin of 50%, and earnings per share of $2.65. The company also anticipates the momentum will continue through this current year. For the first quarter of 2026, the company believes it could reasonably achieve 32% growth and a non-GAAP gross margin of 55%.
Image source: Getty Images.
AMD boasts some serious customers and partnerships, including with OpenAI and Oracle. The company is also planning to launch its ‘Helios’ server-scale AI system later this year.
AMD’s stock remains expensive, even after the recent tech stock slide. The company’s trailing P/E ratio is still a very high 79.
The case for Broadcom
Broadcom is one of just a handful of trillion-dollar companies in the world. Much like AMD, Broadcom had a banner year in 2025. The company posted record revenues, and the outlook for the first quarter of 2026 suggests it will continue to build on that momentum.
The company has an AI-specific backlog of approximately $73 billion. Broadcom’s stock is also expensive. Its trailing P/E is slightly lower than AMD’s, but still high at 68.
Expand
NASDAQ: AVGO
Broadcom
Today’s Change
(0.19%) $0.62
Current Price
$334.13
Key Data Points
Market Cap
$1.6T
Day’s Range
$329.79 - $338.39
52wk Range
$138.10 - $414.61
Volume
627K
Avg Vol
31M
Gross Margin
64.71%
Dividend Yield
0.72%
The ultimate winner
The outlook for AMD is promising, but Broadcom has the slight edge here. The company has a diversified portfolio across custom chips, networking, and enterprise software, providing multiple growth engines. Broadcom is poised to dominate the next decade.