Focusing on short-term opportunities when investing is crucial. If you miss such opportunities, your regret could last a lifetime. These are three technology stocks you can’t ignore, chosen for their recent innovations and market approaches.
The first one stands out because of its substantial expansion in the data center market. The firm’s sales of server CPUs have increased by a noteworthy double-digit percentage. One of its GPUs has produced over a billion in sales in fewer than two quarters.
Meanwhile, the second one is making the most of its strategic realignment with Foundry Services and substantial government assistance. The firm showcased its growing client base by drawing hundreds of partners. The company’s ability to innovate and grow is strengthened by its acceptance of the largest prize from the CHIPS and Science Act.
Finally, the third one’s market penetration and inventiveness are demonstrated by the quick acceptance of its AI Platform (AIP) across various sectors. The company’s bootcamp approach has proven successful in shortening sales cycles and generating many new customers.
AMD (AMD)
Sales of server CPUs from AMD (NASDAQ:AMD) boosted by double digits. This was a major motion in the Data Center segment’s 80% year-over-year (YoY) top-line growth. In less than two quarters, MI300 generated over $1 billion in sales, the fastest ramp in AMD’s history.
Moreover, its commercial acceptability and potential are reflected in its quick adoption and deployment in significant hyperscalers like Microsoft (NASDAQ:MSFT), Meta (NASDAQ:META), and Oracle (NYSE:ORCL). With over 100 giant companies and AI clients, the MI300x is establishing new standards in AI performance. It leads the way in inferencing performance compared to the Nvidia (NASDAQ:NVDA) H100.
Further, AMD’s non-GAAP gross margin increased to 52%, up 2.3% YoY. This enhancement shows AMD’s rising operational effectiveness and profitability. In addition to making up a sizable amount of the overall revenue, these divisions had larger margins than the gaming and embedded segments.
Finally, operating income increased significantly from prior quarters to $1.1 billion, or an operating margin of 21%. Higher revenues and effective cost control caused this margin increase. To this point, AMD has sustained high profitability even with a 10% YoY increase in operational expenditures, mostly for marketing and research.
Intel (INTC)
Intel’s (NASDAQ:INTC) strategic realignment through Intel Foundry is one of its key competitive advantages. At its first-ever Intel Foundry Direct Connect, the firm brought together about 300 partners, clients, and prospective clients. Microsoft is the company’s fifth customer for the Intel 18A process node. The lifetime transaction value has been upgraded to surpass $15 billion. Hence, this significant achievement highlights Intel’s competitive standing in the semiconductor industry.
Moreover, with the largest award from the CHIPS and Science Act—more than $45 billion in projected grants, tax breaks, and loans—Intel established a strong position as the nation’s leading semiconductor company. Thus, with this significant financial backing, Intel is better able to innovate and grow.
Additionally, Intel has made strides in data centers and AI. One significant advancement is the Gaudi 3 AI accelerator, which offers 40% more inference power efficiency and 50% quicker inference than rivals like Nvidia’s H100.
Lastly, Intel’s data center and AI (DCAI) business achieved 5% YoY growth, driven by higher Xeon ASPs and improved enterprise demand. Therefore, the release of next-generation products, such as Sierra Forest and Granite Rapids, further solidifies Intel’s lead in the server market.
Palantir (PLTR)
Palantir’s (NYSE:PLTR) solutions, especially the AIP, are being adopted and expanded quickly, highlighting the company’s capabilities and market penetration. The AIP has applications across several industries, including healthcare, retail and energy, and has significantly increased revenue and client acquisition.
Moreover, the company’s approach of holding bootcamps to highlight the benefits of its products has worked well. These bootcamps attracted over 915 firms, resulting in significant transaction cycle shortening. For instance, five days after finishing a bootcamp, a major utility firm inked a seven-figure agreement, demonstrating Palantir’s solutions’ instant effect and value realization.
Additionally, using production-level AI, Lowe’s (NYSE:LOW) reduced the number of late jobs by 75% in only four months, serving over 1K customer support personnel. Similarly, General Mills (NYSE:GIS) used Palantir’s solutions more widely, leading to average yearly savings of almost $14 million.
Finally, the U.S. Army selected Palantir as the exclusive prime contractor for the TITAN program’s next-generation targeting node, giving the company a contract worth approximately $178 million. Hence, this is the first major contract for a hardware system that a software business has won, a transformational milestone for the firm.
As of this writing, Yiannis Zourmpanos held long positions in AMD, INTC and PLTR. The opinions expressed in this article are those of the writer, subject to the InvestorPlace.com Publishing Guidelines.
