Nvidia Outperforms AMD Despite Skyrocketing Stock Price

AMD's stock price has skyrocketed 300% since 2025 began, outpacing Nvidia's 67% growth during the same period. However, a closer look at the companies' financials reveals that Nvidia is doing better from a business standpoint.

Nvidia's revenue rose 85% year over year to $81.6 billion in its fiscal 2027 first quarter, with diluted earnings per share rising 214%. In contrast, AMD's revenue grew 50% to $11.5 billion during its second quarter, with diluted earnings per share increasing 156%.

While AMD is growing faster in terms of data center division growth, Nvidia's overall performance and valuation make it a better choice for investors. The market assigns a forward price-to-earnings P/E ratio to each stock, and from this perspective, Nvidia trades at a significantly lower multiple than AMD.