Key Points
Artificial Intelligence (AI) stocks have seen substantial returns over the past three years, driven by increased adoption among businesses, governments, and consumers. However, recent geopolitical and macroeconomic issues, including high oil prices and a potential U.S. recession, have put pressure on these stocks.
Advanced Micro Devices (NASDAQ: AMD) reported a 34% revenue increase in 2025 to $34.6 billion, with a 32% revenue boost in its data center segment, generating $16.6 billion. Meanwhile, Apple (NASDAQ: AAPL) retained its position as the leading smartphone vendor in Q4 2025 with a 24.2% market share, shipping 81.3 million iPhones. Analysts expect ongoing growth for both companies, with AMD potentially reaching earnings of $20 per share in the next three to five years.
