Between NVIDIA and Advanced Micro Devices, Which Stock Looks Set to Break Out?
Advanced Micro Devices fell -17% during the past Month. You may be tempted to buy more, or may want to reduce your exposure. But there is an entirely different perspective you might be missing. Is there a better alternative? Turns out, its peer NVIDIA gives you more. NVIDIA (NVDA) stock offers superior revenue growth across key periods, better profitability, and relatively lower valuation vs Advanced Micro Devices (AMD) stock, suggesting you may be better off investing in NVDA
- NVDA’s quarterly revenue growth was 55.6%, vs. AMD’s 35.6%.
- In addition, its Last 12 Months revenue growth came in at 71.6%, ahead of AMD’s 31.8%.
- NVDA leads on profitability over both periods – LTM margin of 58.1% and 3-year average of 51.0%.
These differences become even clearer when you look at the financials side by side. The table highlights how AMD’s fundamentals stack up against those of NVDA on growth, margins, momentum, and valuation multiples.
Valuation & Performance Overview
| AMD | NVDA | Preferred | |
|---|---|---|---|
| Valuation | |||
| P/EBIT Ratio | 119.1 | 45.7 | NVDA |
| Revenue Growth | |||
| Last Quarter | 35.6% | 55.6% | NVDA |
| Last 12 Months | 31.8% | 71.6% | NVDA |
| Last 3 Year Average | 12.9% | 92.0% | NVDA |
| Operating Margins | |||
| Last 12 Months | 9.4% | 58.1% | NVDA |
| Last 3 Year Average | 4.9% | 51.0% | NVDA |
| Momentum | |||
| Last 3 Year Return | 183.6% | 951.0% | AMD |
Note: For “Last 3 Year Return” metric, preferred stock is one with higher returns unless the returns are too high (>300%) which creates risk of sell off.
See more revenue details: AMD Revenue Comparison | NVDA Revenue Comparison
See more margin details: AMD Operating Income Comparison | NVDA Operating Income Comparison
- Advanced Micro Devices Stock Surged 120%, Here’s Why
- Advanced Micro Devices Stock To $143?
- Would You Still Hold Advanced Micro Devices Stock If It Fell Another 30%?
- Advanced Micro Devices Stock To $164?
- How Advanced Micro Devices Stock Gained 80%
- Pay Less, Gain More: MU Tops Advanced Micro Devices Stock
See detailed fundamentals on Buy or Sell NVDA Stock and Buy or Sell AMD Stock. Below we compare market return and related metrics across years.
Historical Market Performance
| 2020 | 2021 | 2022 | 2023 | 2024 | 2025 | Total [1] | Avg | Best | |
|---|---|---|---|---|---|---|---|---|---|
| Returns | |||||||||
| AMD Return | 100% | 57% | -55% | 128% | -18% | 82% | 379% | ||
| NVDA Return | 122% | 125% | -50% | 239% | 171% | 34% | 2972% | <=== | |
| S&P 500 Return | 16% | 27% | -19% | 24% | 23% | 16% | 111% | ||
| Monthly Win Rates [3] | |||||||||
| AMD Win Rate | 50% | 50% | 33% | 58% | 42% | 50% | 47% | ||
| NVDA Win Rate | 75% | 58% | 42% | 75% | 75% | 70% | 66% | <=== | |
| S&P 500 Win Rate | 58% | 75% | 42% | 67% | 75% | 70% | 64% | ||
| Max Drawdowns [4] | |||||||||
| AMD Max Drawdown | -16% | -20% | -61% | -4% | -19% | -35% | -26% | ||
| NVDA Max Drawdown | -16% | -11% | -62% | -2% | -4% | -30% | -21% | ||
| S&P 500 Max Drawdown | -31% | -1% | -25% | -1% | -2% | -15% | -12% | <=== | |
[1] Cumulative total returns since the beginning of 2020
[2] 2025 data is for the year up to 12/1/2025 (YTD)
[3] Win Rate = % of calendar months in which monthly returns were positive
[4] Max drawdown represents maximum peak-to-trough decline within a year
No matter how good the numbers, stock investment is never a smooth ride. There is a risk you must factor in. Read NVDA Dip Buyer Analyses and AMD Dip Buyer Analyses to see how these stocks have fallen and recovered in the past.
Still not sure about AMD or NVDA? Consider portfolio approach.
Portfolios Beat Stock Picking
Stocks soar and sink – the key is staying invested. A balanced portfolio keeps you in the market, boosts gains and reduces single stock risk
The Trefis High Quality (HQ) Portfolio, with a collection of 30 stocks, has a track record of comfortably outperforming its benchmark that includes all 3 – the S&P 500, S&P mid-cap, and Russell 2000 indices. Why is that? As a group, HQ Portfolio stocks provided better returns with less risk versus the benchmark index; less of a roller-coaster ride, as evident in HQ Portfolio performance metrics.