Nvidia Corp.’s latest earnings report was one for the history books in many ways, as the company delivered record profits and revenue — and is on track to deliver the biggest one-day haul of market capitalization for any U.S. company.
See more: Nvidia’s stock surge is poised to make history — and ‘mammoth growth’ is on tap
But it’s not just Nvidia
NVDA,
setting records in the wake of its results. Shares of rival Advanced Micro Devices Inc.
AMD,
are on track to close at a new all-time high, up 11.5% in afternoon action. That would make for the stock’s best day in just over a year, since it rose 12.6% on Feb. 1, 2023.
Mizuho desk-based analyst Jordan Klein said he liked AMD’s setup and advised that investors watch that stock, along with shares of Marvell Technology Inc.
MRVL,
Taiwan Semiconductor Manufacturing Co. Ltd.
TSM,
and Broadcom Inc.
AVGO,
as fund managers potentially make adjustments.
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In his view, “AI euphoria and FOMO [the fear of missing out] is too early stage and too painful for many to not chase,” Klein wrote. “This is the type of market we are in right now. Not suggesting it is healthy and it will not last forever, but not owning enough AI [semiconductor] winners would be painful for many relative (and even absolute) managers in coming months.”
Admittedly, he acknowledged that AMD shares came with a bit of risk as Nvidia prepares to make product updates next month at its GTC conference.
That event “could pressure AMD some as we approach and get through GTC,” he wrote, but he doesn’t think Nvidia’s preview of its new B100 chip will “hamper” AMD’s MI300 traction this year.
Nvidia’s results and commentary were lifting the broader chip sector to records as well. The iShares Semiconductor ETF
SOXX
was up 5% and on pace for a new record close, while the VanEck Semiconductor ETF
SMH
was ahead 6.8% and on track for one too.
Read: Super Micro’s explosive stock rally eclipses Nvidia’s, as AI mania trumps convertible bond deal
