Advanced Micro Devices vs. Qualcomm: Which Technology Stock Is a Better Buy in 2026?
AMD's net margin doubled while Qualcomm trades at a fraction of its rival's valuation, but customer concentration and competitive threats complicate both bets.
Overview
Advanced Micro Devices (NASDAQ:AMD) and Qualcomm Inc. (NASDAQ:QCOM) are racing to power the next generation of artificial intelligence. Which of these chip giants offers the best combination of growth and value for your portfolio?
Advanced Micro Devices focuses on high-performance computing for data centers and personal computers. Qualcomm leads the world in wireless connectivity and mobile processors. While they operate in different primary markets, both companies are now competing for a share of the expanding AI infrastructure and edge computing sectors, making them frequent choices for investors.
Details
Advanced Micro Devices designs processors and graphics technologies for the data center, gaming, and personal computer markets. In its latest annual report, filed for the fiscal year ended December 2025, the company highlighted a strategic partnership with OpenAI. It also maintains a key supply agreement for semi-custom products with Sony Group Corp. (NYSE:SONY) and Microsoft Corp. (NASDAQ:MSFT), though such customer concentration adds risk.
Source
Originally published at www.fool.com.