We recently published a list of Top 10 AI Stocks Making Headlines on Wall Street. In this article, we are going to take a look at where Advanced Micro Devices, Inc. (NASDAQ:AMD) stands against other top AI stocks making headlines on Wall Street.

US President Donald Trump is strengthening global ties aimed at long-term cooperation. In its latest, he has announced Saudi Arabia’s $600-billion commitment to invest in the United States on the first day of a four-day tour of the Gulf, paving the way for a series of business deals. These deals aim to strengthen the U.S.’s energy security, defense industry, technology leadership, and access to global infrastructure and critical minerals.

READ ALSO: 9 AI Stocks Poised to Gain from Trump’s Middle East AI Push and 10 AI Stocks Making Moves This Week.

Only recently, the Department of Commerce announced that it was going to rescind President Joe Biden’s rule regarding AI chip exports and implement a “much simpler rule” instead. Fast-forward to Trump’s tour of the Gulf beginning Tuesday, global political and business leaders gathered in Riyadh to discuss topics such as the artificial intelligence boom and global trade.

The elimination of Biden’s rule made sense when a White House official made remarks about how the United States does not need to block the global spread of its AI chips and technology to control national security risks — comments that were made to reflect on the flexible approach being adopted by the US toward sharing advanced technology to trusted allies such as Saudi Arabia.

As evident, President Donald Trump met with Saudi Crown Prince Mohammed bin Salman and several deals were announced between the two countries, with Saudi Arabia benefiting from deals with top tech firms to advance artificial intelligence in the Kingdom. While Saudi Arabia is investing $600 billion in the U.S, the White House also publicized a nearly $142 billion deal to provide the Kingdom with weapons and services from U.S. defense firms.

Nvidia CEO Jensen Huang announced a deal to provide Saudi Arabia with its high-end AI Blackwell chips, amongst deals made by other notable firms such as AMD, Uber, Cisco, and Amazon. Some notable attendees besides Huang included Elon Musk, Andy Jassy, Sam Altman, President Ruth Porat, Arvind Krishna, Alex Karp, and Cristiano Amon.

For this article, we selected AI stocks by going through news articles, stock analysis, and press releases. These stocks are also popular among hedge funds. The hedge fund data is as of Q4 2024.

Why are we interested in the stocks that hedge funds pile into? The reason is simple: our research has shown that we can outperform the market by imitating the top stock picks of the best hedge funds. Our quarterly newsletter’s strategy selects 14 small-cap and large-cap stocks every quarter and has returned 373.4% since May 2014, beating its benchmark by 218 percentage points  (see more details here).

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Advanced Micro Devices, Inc. (AMD) Gains Boost As Bank Of America Raises Target On AI Deal Momentum

A close up of a complex looking PCB board with several intergrated semiconductor parts.

Advanced Micro Devices, Inc. (NASDAQ:AMD)

Number of Hedge Fund Holders: 96

Advanced Micro Devices, Inc. (NASDAQ:AMD) develops and sells semiconductors, processors, and GPUs for data centers, gaming, AI, and embedded applications. On May 14, Bank of America reiterated Nvidia & Advanced Micro Devices as “Buy” and raised its price target on both stocks.

“We reiterate Buy, raise NVDA PO to $160 from $150 and AMD PO to $130 from $120 on upside to long-term AI opportunity.”

The ratings have been issued after the companies announced multi-year AI infrastructure projects with Saudi Arabian AI startup HUMAIN. The firm believes the project is likely to be around $3B-$5B annually, and that “Sovereign AI” can help deal with the challenges of limited power availability for data centers in the U.S. It may also reduce the impact of export restrictions on US companies shipping to China, the firm noted.

Overall, AMD ranks 9th on our list of top AI stocks making headlines on Wall Street. While we acknowledge the potential of AMD as an investment, our conviction lies in the belief that some AI stocks hold greater promise for delivering higher returns and doing so within a shorter time frame. There is an AI stock that went up since the beginning of 2025, while popular AI stocks lost around 25%. If you are looking for an AI stock that is more promising than AMD but that trades at less than 5 times its earnings, check out our report about this cheapest AI stock.

READ NEXT: 20 Best AI Stocks To Buy Now and 30 Best Stocks to Buy Now According to Billionaires.

Disclosure: None. This article is originally published at Insider Monkey.

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