Is Advanced Micro Devices a good stock to buy now?

AMD has a huge growth opportunity. It sees a roughly $500 billion total addressable market opportunity for AI data center GPUs by 2028, which gives the company a long growth runway. It could deliver strong revenue, earnings, and free cash flow growth for years to come. However, AMD faces much competition from rivals like Intel and Nvidia. There's no guarantee AMD will grow as fast as it hopes or deliver strong returns for shareholders, especially given its higher valuation, so it might not be the most compelling stock to buy right now.

How much does it cost to buy AMD stock?

It cost around than $161 to buy one share of AMD stock in late 2025. However, you can potentially buy shares for less than that at a broker offering fractional shares.

Can I buy AMD shares?

Anyone with a brokerage account can buy shares in AMD. It has been a publicly traded company since completing its initial public offering (IPO) on Sept. 27, 1972. It trades on the Nasdaq Exchange under the stock ticker AMD.

Where can I buy AMD shares?

You can buy shares of AMD at any brokerage or stock trading platform. Here's a list of brokerage account reviews if you're searching for one to open to buy shares of AMD.

How to Buy Advanced Micro Devices Stock (AMD) in 2026

By Matthew DiLallo – Updated Jan 20, 2026 at 1:08 PM EST | Fact-checked by Margo Winton Parodi

Key Points

AMD has been performing well by focusing on superior chips and AI, promising growth.
Invest in AMD if confident in AI market share gains; avoid if unsure about the tech sector.
AMD stock can be bought via brokerage accounts with either market or limit orders.

Advanced Micro Devices (AMD +5.90%) spent decades in Intel’s shadow, but that dynamic has flipped. By delivering more competitive chips and expanding into high-growth areas like artificial intelligence, AMD has built a strong position across data center, PC, gaming, and embedded markets.

Its lineup of CPUs, GPUs, and AI accelerators now powers everything from servers to consoles. With multiple growth drivers in play, it’s no surprise investors are taking a closer look.

Here’s how to buy AMD stock and what to consider before adding it to your portfolio.

How to buy Advanced Micro Devices stock

Open your brokerage account: Log in to your brokerage account where you handle your investments. If you don't have one yet, take a look at our favorite brokers and trading platforms to find the right one for you.
Search for Advanced Micro Devices: Enter the ticker "AMD" into the search bar to bring up the stock's trading page.
Decide how many shares to buy: Consider your investment goals and how much of your portfolio you want to allocate to this stock.
Select order type: Choose between a market order to buy at the current price or a limit order to specify the maximum price you're willing to pay.
Submit your order: Confirm the details and submit your buy order.
Review your purchase: Check your portfolio to ensure your order was filled as expected and adjust your investment strategy accordingly.

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Should you invest in Advanced Micro Devices?

It's imperative to do lots of research before buying any stock. The process might increase your conviction that it's a good investment. However, you could uncover something about the company that leads you to opt against buying shares.

Here are some factors that might drive your decision to buy shares of AMD.

You believe the semiconductor stock can outperform the S&P 500 over the next three to five years.
You understand what AMD does and how it makes money.
You believe AMD can maintain its edge over Intel and gain ground on rival Nvidia (NVDA -2.01%) in the AI market.
You think AMD's new product launches can reinvigorate growth and improve its profitability.
You think AMD can capture a significant share of the roughly $500 billion total addressable market opportunity it sees ahead for AI data center GPUs by 2028.
Adding AMD to your portfolio would make it more diversified.
You think AMD will grow into its rather lofty valuation as its revenue growth reaccelerates and profits improve.
You don't need dividend income from your investment.

On the other hand, here are some reasons why you might decide against buying shares of AMD.

You're not confident AMD can outperform the S&P 500 over the next three to five years.
You're not exactly sure what AMD does.
You're worried that rivals Intel and Nvidia will win market share from AMD.
You already own a lot of tech stocks in your portfolio.
You're worried that a continued downturn in tech spending could affect AMD's revenue and earnings growth.
You're concerned that AMD's valuation is high.
You're in or nearing retirement and need dividend income.

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NASDAQ: AMD

Advanced Micro Devices

Premium Feature

Moneyball Superscore

94/100

Today's Change

(5.90%) $28.17

Current Price

$505.74

Key Data Points

Market Cap

$780B

Day's Range

$486.57 - $512.36

52wk Range

$149.22 - $584.73

Volume

28.2M

Avg Vol

26.5M

Gross Margin

50.37%

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Is Advanced Micro Devices profitable?

Consistent profitability has been a problem for AMD over the years. However, the company was solidly profitable in 2025. Its net income was $872 million, or $0.54 per share, on $7.7 billion of revenue in the second quarter. That was a significant improvement from prior quarters. Revenue was up 32% year over year and 3% from the sequential quarter.

AMD has been investing heavily to jumpstart growth by launching new products, which is clearly paying off. It has developed a comprehensive portfolio geared toward artificial intelligence (AI), which could help drive accelerated revenue and earnings growth in the future.

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Does Advanced Micro Devices pay a dividend?

Advanced Micro Devices had not initiated a dividend as of late 2025. The semiconductor company had no plans to start making dividend payments at the time. Instead, the company retains most of its earnings to fund its operations and continued expansion. Meanwhile, it returns capital to investors through its share repurchase program.

How to invest in Advanced Micro Devices through ETFs

An alternative strategy to buying shares in AMD directly is to go the passive investing route by buying a fund that holds its stock. One of the most common passive investment vehicles is an exchange-traded fund (ETF).

AMD is a fairly widely held stock. According to ETF.com, 431 ETFs held about 299.3 million shares of the semiconductor company as of late 2025. The biggest holder was the Vanguard Total Stock Market ETF (VTI -0.56%) at about 51 million shares. It was the fund's 30th-largest holding at 0.42% of its total value.

Investors seeking a fund with a larger allocation to AMD could consider the iShares Semiconductor ETF (SOXX +1.64%). AMD was the fund's third-largest holding at nearly 7% of its total value. The ETF is a good way to gain decent exposure to AMD and other top semiconductor stocks.

Will Advanced Micro Devices stock split?

Advanced Micro Devices didn't have an upcoming stock split as of late 2025. However, the company has completed several stock splits throughout its history.

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Data source: Advanced Micro Devices.
Split date	Split ratio
8/21/2000	2-for-1 Stock Split
8/22/1983	2-for-1 Stock Split
10/27/1982	3-for-2 Stock Split
10/23/1980	2-for-1 Stock Split
10/24/1979	3-for-2 Stock Split
10/25/1978	3-for-2 Stock Split

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Every share investors bought at AMD's IPO in 1972 would have grown into 27 split-adjusted shares over the years.

Advanced Micro Devices' last stock split was more than two decades ago. Shares have gained in value since its last split, especially in more recent years.

AMD stock price history — Image source: The Motley Fool

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The stock has more than quadrupled since its last split, so AMD could split its stock again in the future to make it even more accessible to investors.

The bottom line

AMD has grown into a global semiconductor leader over the years. It sees much more growth ahead, especially as it begins to capitalize on the emerging AI opportunity, which could reinvigorate its revenue growth and boost its bottom line.

However, AMD faces competition from Nvidia, Intel, and others. So its stock could continue to deliver sluggish returns (as has been the case over the last two decades). Investors need to do their due diligence before buying shares of the semiconductor giant to ensure they understand the risks.

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Investing in Advanced Micro Devices FAQ

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About the Author

Matt DiLallo has been a contributing Motley Fool stock analyst specializing in the energy, industrials, and real estate sectors since 2012. He also covers dividend-paying stocks, pre-IPO companies, ETFs, and other investing topics. He holds an MBA from Liberty University.

TMFmd19

@MatthewDiLallo

Matt DiLallo has no position in any of the stocks mentioned. The Motley Fool has positions in and recommends Advanced Micro Devices, Nvidia, Vanguard Total Stock Market ETF, and iShares Trust - iShares Semiconductor ETF. The Motley Fool recommends C3.ai. The Motley Fool has a disclosure policy.

How to Buy Advanced Micro Devices Stock (AMD) in 2026

Key Points

How to buy Advanced Micro Devices stock

Should you invest in Advanced Micro Devices?

NASDAQ: AMD

Key Data Points

Is Advanced Micro Devices profitable?

Does Advanced Micro Devices pay a dividend?

How to invest in Advanced Micro Devices through ETFs

Will Advanced Micro Devices stock split?

The bottom line

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Investing in Advanced Micro Devices FAQ

Is Advanced Micro Devices a good stock to buy now?

Is Advanced Micro Devices a good stock to buy now?

How much does it cost to buy AMD stock?

How much does it cost to buy AMD stock?

Can I buy AMD shares?

Can I buy AMD shares?

Where can I buy AMD shares?

Where can I buy AMD shares?

About the Author

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Investing in Advanced Micro Devices FAQ

Is Advanced Micro Devices a good stock to buy now?

Is Advanced Micro Devices a good stock to buy now?

How much does it cost to buy AMD stock?

How much does it cost to buy AMD stock?

Can I buy AMD shares?

Can I buy AMD shares?

Where can I buy AMD shares?

Where can I buy AMD shares?

Does Advanced Micro Devices pay a dividend?

How to invest in Advanced Micro Devices through ETFs

Will Advanced Micro Devices stock split?