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Investors looking for an Nvidia moment saw signs of hope on AMD’s financial analyst day, when the company projected a 35% revenue CAGR for the next three to five years, including annual increases of more than 60% for its data center business.

Moreover, AMD expects to release its MI450 accelerator in the second half of next year. Many analysts believe this chip can compete effectively with Nvidia’s upcoming Vera Rubin accelerator, which would probably make AMD a larger player in this fast-growing business.

Investors will also like that overall growth has already reached that milestone. In Q3 2025, revenue grew 36% to more than $9.2 billion. About 47% came from the data center segment, and if the MI450 lives up to expectations, the Nvidia moment could be at hand. It could also accelerate over the next few years if the data center segment becomes the dominant revenue source, as it has with Nvidia.

Additionally, profits continue to grow faster than revenue. The over $1.2 billion in net income for Q3 is up 61% from year-ago levels.

Amid that news, AMD stock has been volatile since its financial analyst day, though it’s still up by nearly 60% over the last year.

Also, its P/E ratio is 106. While that may appear high, the rapidly growing profits should reduce the earnings multiple, as its forward P/E ratio of 54 indicates.

Ultimately, AMD should sustain or increase the pace of revenue growth for the foreseeable future if its projections hold. That factor alone should make AMD stock worth buying now and owning for a long time to come.

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Will Healy has positions in Advanced Micro Devices and CoreWeave. The Motley Fool has positions in and recommends Advanced Micro Devices, Amazon, Microsoft, and Nvidia. The Motley Fool recommends the following options: long January 2026 $395 calls on Microsoft and short January 2026 $405 calls on Microsoft. The Motley Fool has a disclosure policy.

2 Artificial Intelligence Stocks That Can Have Their Nvidia Moment in 2026 was originally published by The Motley Fool