tech
Record chip rally adds $2 trillion in combined value to Micron, Intel and AMD in second quarter
Wall Street poured into chipmakers not named Nvidia in the second quarter, as the artificial intelligence boom expanded to include more suppliers.
TL;DR
- Chip stocks, excluding Nvidia, saw historic gains in the second quarter.
- Micron's stock surged over 240%, Intel's jumped 216%, and AMD's climbed 186%.
- The three companies added a combined $2 trillion to their market caps.
- Investors are widening AI portfolios to include chipmakers other than Nvidia.
- Nvidia stock only gained 15% in the second quarter, while its hyperscaler customers showed mixed results.
- Micron reported revenue quadrupled due to skyrocketing memory prices from AI chipmakers.
- Intel is benefiting from renewed demand for CPUs as AI moves to devices.
- Other AI infrastructure companies like Marvell and Arm also experienced significant stock price increases.
- The VanEck Semiconductor ETF (SMH) had its best quarterly performance since 2000.