10 Best Growth Stocks Under $100 to Buy Now

2. Advanced Micro Devices, Inc. (NASDAQ:AMD)

Number of Hedge Fund Holders: 96

Expected EPS CAGR in the next 5 years: 33.15%

Advanced Micro Devices, Inc. (NASDAQ:AMD) is a semiconductor company that designs and develops high-performance computing, graphics, and data center solutions. Its product portfolio includes CPUs, GPUs, field-programmable gate arrays (FPGAs), and adaptive computing solutions for consumer, enterprise, and industrial applications. AMD serves markets such as gaming, data centers, artificial intelligence, and embedded systems, competing with industry leaders in computing and graphics technology. The company’s key product lines include Ryzen processors for PCs, Radeon GPUs for gaming and professional graphics, and EPYC server processors for cloud and enterprise workloads. The California-based company ranked 4^th on our recent list of 10 Best Semiconductor Stocks to Buy for the AI Boom.

Advanced Micro Devices, Inc. (NASDAQ:AMD) experienced a transformative 2024, with the company successfully ramping up MI300 production and exceeding $5 billion in revenue from a standing start. The company has made significant progress in both hardware development and software capabilities, with MI300 and ROCm software now powering complex AI models at major customers like Microsoft and Meta. AMD’s product roadmap demonstrates strong momentum with the introduction of MI325 and MI350 this year, followed by MI400 planned for next year. The company has strengthened its capabilities through strategic moves like the ZT Systems acquisition, which enhances their system-level design capabilities for large-scale AI clusters.

In the broader market context, Advanced Micro Devices, Inc. (NASDAQ:AMD) sees a potential $500 billion market opportunity and believes it can achieve tens of billions in annual revenue in the AI segment. The company’s client business has shown impressive growth with a 58% YoY increase last quarter, driven by strong product portfolio performance across desktop and notebook segments. In the server business, AMD gained approximately 5-6 points of server share last year and maintains confidence about continued share gains in 2025. The company maintains a disciplined approach to investment and resource allocation, focusing on innovation while ensuring revenue growth outpaces operating expense growth to drive significant operating leverage. With a strong position in the AI market, AMD is one of the best growth stocks to buy under $100.