Mark Roussin, CPA on $AMD (Oct 27, 2026)

Nvidia certainly faces competition. AMD continues to develop more powerful artificial intelligence accelerators.

This brings us to stock number two, a stock I just mentioned . It is AMD, or Advanced Micro Devices. This is another company that I believe has a tremendous opportunity as demand for artificial intelligence continues to expand , and yes, I said expand.

Now, this is n't necessarily a company I feel as comfortable with as I do with Nvidia, but AMD is a stock that can also give you a huge boost.

AMD is not just a graphics processing unit (GPU) company for artificial intelligence. It also has significant activity in server processing. In fact, they dominate the central processing unit (CPU) market and their Ryzen processors are used in personal computers.

Therefore, AMD has many different growth opportunities as well, but artificial intelligence is clearly an increasingly important part of the investment thesis here.

This is another company achieving incredible growth figures in the face of tough comparisons, with its data centers growing by more than 100% compared to the previous year, and data center revenues now representing more than half of AMD's total business.

Think about how important this shift is. AMD has evolved from a company that many investors primarily associated with computer processors to a major supplier of high-performance computing technology.

The administration expects this momentum to continue in the coming years.

Looking here at my Edge site, we can see that AMD stock has risen by about 100% over the past twelve months, and it has an Edge score of 73. But back to AMD, the business is clearly booming, but a great business doesn't necessarily mean a great stock to buy.

So, let's take a look at the evaluation from a general perspective. Looking here, not only are AMD shares expected to grow earnings by more than 100% next year, an acceleration from 80% growth this year, but they are trading at a forward price-to-earnings ratio of 32.8 times , which I think is relatively cheap given the expected growth.

Analysts remain optimistic about the stock with a 12-month average price target of around $615, implying an upside of more than 15% from current levels. But look at that high target price.

Wow, $1250. I'm not that optimistic , but I think this stock will reach $1,000 in the very near future.

But here's my long-term view when it comes to AMD. I believe the company has an opportunity to continue acquiring a stake in server processors (CPUs) while building a much larger business in the field of artificial intelligence accelerators .

If the company continues to implement this plan, the potential for profits over the next several years could be enormous. That's why AMD is another company I'm interested in adding to my portfolio before 2027.

The company does not need to predict which semiconductor manufacturer will ultimately dominate , whether it be the likes of Nvidia or AMD, or more customized chips with the likes of Broadcom or Marvell.

We discussed four companies: Nvidia, AMD, Lam Research and Sterling. Although all four companies benefit from technological investment , they are positioned in different parts of the market .

Nvidia provides advanced AI computing platforms, and so does AMD.

Owning these four companies does not automatically mean you have diversified investments. Because despite working in different industries, they share exposure to technology investment and the broader AI infrastructure cycle.

If major technology companies begin cutting capital expenditures, many of these companies could come under pressure. This is what we have witnessed over the past few weeks .

Because I want exposure to long-term growth opportunities without making my entire portfolio dependent on one area of the market. Now, when it comes to buying these stocks, I'm not trying to accurately predict the bottom.

I certainly don't suggest that investors put all their eggs in one basket. Instead, I prefer to take advantage of fluctuations gradually. This could mean buying shares in stages, or, depending on the company and the option premiums available, considering cash-guaranteed put options.

But the most important thing is to understand the business and determine how much you are willing to pay for it. Because a great company can still be a bad investment if you pay too much.

A lower share price does not automatically mean an attractive valuation. That's why I want to continue monitoring earnings, free cash flow, balance sheets , and future growth projections .

So, that's all . There are four stocks I'm looking forward to potentially buying before the end of 2026.

While the recent sell-off in the technology sector has created uncertainty, I believe it also creates opportunities because some of these companies continue to achieve exceptional revenue and profit growth.

Other companies, however, are benefiting from the infrastructure investments required to support artificial intelligence, and many of them are currently trading below their recent highs.

This does n't mean we've hit rock bottom, nor does it mean every stock on the list is cheap, but I think these four deserve a closer look as we approach 2027.

Now, I want to hear your thoughts. If you could buy just one of these four stocks before the end of this year, which one would you choose? Nvidia, AMD, L&M Research, or Sterling?