“`html
Applied Materials (AMAT) and Advanced Micro Devices (AMD) are significant players in the semiconductor industry, particularly within the AI chip segment. As of the second quarter of fiscal 2025, Applied Materials projects a revenue increase of over 40% from DRAM customers, generating $1.2 billion since the launch of its Sym3 Magnum etch system in February 2024. In contrast, AMD reported a 14.3% year-over-year growth in its Data Center segment, reaching $3.24 billion, contributing to 42.2% of total revenues.
Year-to-date, AMD’s stock has increased by 25.1%, while AMAT’s shares have remained unchanged. Current price-to-sales multiples are 4.46X for AMAT and 6.63X for AMD, with AMAT trading below its one-year median of 4.76X and AMD above its median of 6.34X. Market analysts currently rank AMD as a better investment option compared to AMAT due to AMD’s stronger growth prospects and leadership in AI infrastructure.
“`
