We recently published a list of 10 AI Stocks Trending on News and Analyst Ratings. In this article, we are going to take a look at where Advanced Micro Devices, Inc. (NASDAQ:AMD) stands against other AI stocks trending on news and analyst ratings.
In a surprising turn of events, a consortium led by Elon Musk said on Monday that it has offered $97.4 billion to buy the nonprofit that controls OpenAI. Marc Toberoff, Musk’s attorney, confirmed that he submitted the bid for all OpenAI’s assets to its board.
The offer is a twist to Musk and OpenAI CEO Sam Altman’s rift that began last August when Musk filed a lawsuit against OpenAI. The lawsuit accused the company of putting profits before its initial nonprofit mission which aimed to advance AI in a way that benefits humanity.
The two prominent figures of the tech world are still involved in a legal battle over the future of this AI startup.
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Analysts have been skeptical of Musk’s move ever since it came to light.
“I think it’s fair to be pretty suspicious of this considering that he has a competitor himself… which is structured as a for-profit company, so I think there’s more than meets the eye here”.
– Christie Pitts, a tech investor in San Francisco, told the BBC.
Sam Altman has this to say about the bid:
Musk was “a competitor who is not able to beat us in the market and you know, instead is just trying to say, like, ‘I’m gonna buy this’ with total disregard for the mission”.
– Altman told Axios
Plus, this is what Altman wrote on X as a reply to Musk’s bid:
“No thank you but we will buy twitter for $9.74 billion if you want.”
OpenAI was cofounded by Musk and Altman in 2018 as a non-profit, with Musk leaving before the company took off. Musk’s lawsuit against OpenAI and Altman says that the founders originally approached him to fund a nonprofit focused on developing AI to benefit humanity. However, it was now focused on making money.
“It’s time for OpenAI to return to the open-source, safety-focused force for good it once was. We will make sure that happens.”
-Elon Musk
On the contrary, Altman said that he has no interest in the offer, stating that OpenAI is not for sale.
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.
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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: 107
Advanced Micro Devices, Inc. (NASDAQ:AMD) develops semiconductors, providing processors and graphics technologies for gaming, data centers, and AI-driven high-performance computing. On February 11, the company announced that it had signed a Letter of Intent (LOI) with the Commissariat à l’énergie atomique et aux énergies alternatives (CEA) of France to collaborate on the future of AI compute. Both organizations will leverage their strengths to develop energy-efficient systems that support intensive AI workloads across fields such as medicine and energy. The two organizations are also planning a symposium on the future of AI compute in 2025, convening European stakeholders and global technology providers, universities, startups, supercomputing centers, and policymakers to fast-track collaboration around AI computing technologies.
“AI computing continues to drive innovation across industries, and international collaboration is critical to pushing the boundaries of what’s possible. Through this collaboration with CEA and leading French engineers, we aim to bring cutting-edge AI research closer to real-world applications by advancing system architectures that meet the demands of tomorrow’s AI workloads, while growing the joint research and development opportunities between the U.S. and France.”
-Ralph Wittig, Corporate Fellow and head of research, AMD.
Overall, AMD ranks 7th on our list of AI stocks trending on news and analyst ratings. 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 timeframe. 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 the cheapest AI stock.
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Disclosure: None. This article is originally published at Insider Monkey.
