Advanced Micro Devices (NASDAQ:AMD), commonly known as just AMD, put the critics in their place last year as AMD stock provided stellar gains for investors. As the company continues to develop high-demand artificial intelligence chips, there’s no compelling reason to dump your AMD shares in 2024.
Of course, the skeptics will always find excuses to worry about AMD and other AI chipmakers. Even well-regarded financial media outlets will sometimes fall into the “FUD” (fear, uncertainty and doubt) trap. Nevertheless, level-headed investors can choose to stay long and strong with their share positions in AMD.
AMD Stock: One Great Year Can Lead to Another
An argument could be made that AMD deserves to be a member of the so-called “Magnificent Seven” club. After all, AMD is a technology-sector powerhouse and the company’s stock practically doubled in price last year.
So, what’s in store for 2024? We don’t have a crystal ball, but CEO Lisa Su predicted AMD would sell $2 billion worth of the company’s AI-compatible Instinct MI300 accelerators this year. Looking at the bigger picture, per Bloomberg, Su forecasted the AI chip industry “could climb to more than $400 billion in the next four years.”
The key to robust returns in 2024 and beyond will be AMD’s future-facing, AI-enabled products. Among the standout products will be AMD’s Ryzen 8040 Series processors for laptops and the company’s MI300 Data Center GPUs for the cloud and enterprise markets.
AMD Will Innovate Regardless of the Worry Warts
On top of all that, AMD just unveiled AI-compatible processors specifically for automotive systems. You just never know which technology sub-sector AMD will reshape next, and that’s what’s so exciting about this company.
This is why investors can hold AMD stock with confidence in 2024. The worry warts were wrong and the short sellers lost their shirts last year. They fretted about valuations and how the buyers must be “exhausted” by now, and they’ll never cease to find reasons to worry.
Even a respectable publication like The Wall Street Journal can succumb to the FUD fad. Technology stocks sold off during the first few days of 2024. Then, suddenly a Wall Street Journal is sounding the alarm about how the AI-tech “hangover might just be getting started.”
Again, refer to Su’s aforementioned predictions about the AI-chip industry and AMD’s Instinct MI300 accelerators. That’s what investors should remember when the media spreads the FUD. A few red days for tech stocks don’t mean much in the grand scheme of things. Just keep your eyes on the prize and stand by industry leaders like AMD if you want to succeed in the new year.
Don’t Get Shaken Out of a Good Trade With AMD Stock
Are you going to let a few down days deter you from investing in AMD for the long term? That’s a personal decision, but consider AMD’s best-in-class, AI-enabled products. The company is a true innovator in a highly lucrative market sector.
There’s no need to worry about “AI hangovers” and let the media shake you out of a perfectly good trade. AMD is a top-tier chip maker with an enduring growth story that could easily continue in 2024 and the following years. AMD stock fully deserves an “A” grade and is probably appropriate for your portfolio.
On the date of publication, neither Louis Navellier nor the InvestorPlace Research Staff member primarily responsible for this article held (either directly or indirectly) any positions in the securities mentioned in this article.