AMD has strong long-term growth potential via Meta partnership and AI demand, but short-term performance may lag due to supply limitations.

My first stock that I think could benefit greatly, and has already benefited greatly from this, Rachel , is Advanced Micro Devices (AMD). In the past few weeks since the launch of " Muse", we have seen a fairly positive reaction to the price of "AMD" stock.

The main reason for this is that now, if you have thousands, millions, and possibly billions of people using AI agents , how much processing power would an AI agent need to unlock and use all these different tools?

Therefore, AMD is currently very exciting for me .

Just for those who aren't familiar, Advanced Micro Devices is a company that designs AI chips, designs CPUs , and designs GPUs, and it directly competes with companies like Intel and Nvidia in the semiconductor field.

Now, in the last quarter, AMD announced revenues of $11.5 billion, a 50 % year-over-year increase. Their data center revenues more than doubled to $6.7 billion, a 107% year-on-year increase.

All of this constitutes approximately 58% of total revenue.

AMD and Meta have strong partnerships. In the past few months, AMD and Meta announced that Meta would continue to purchase CPUs from AMD.

We continue to hear news about a shortage of central processing units due to these AI-focused tools that we are hearing about now. AMD and Meta also have a partnership regarding AI accelerators and their integrated system, the MI250 Helios rack.

So, if Muse is creating huge demand for Meta, and if Meta now needs to buy more AI infrastructure, it's better for them to turn to a partner they've worked with for a very long time.

So, for me, Rachel, one of the big opportunities here is AMD. As I mentioned, we have already seen some movement in the stock price due to this news. So, the market may be over-enthusiastic , but there are plenty of growth opportunities.

We will continue to see sales of central processing units (CPUs). In the second half of this year, AMD will begin selling MI250 processors.

But the biggest danger for me, Rachel, is expectations. The market is saying, "Look, AMD is going to sell more CPUs." But it is important to remember that AMD cannot find a secret stockpile of processors. Building the supply chain will take some time.

So, if investors are looking at AMD now, they should realize that this news and the AI proxies will not allow AMD to massively outperform the market this quarter. I think it's a long-term story that suggests this partnership between AMD and Meta could grow even bigger, and that's a big customer with a huge budget.

Obviously, we talk about AMD a lot in this channel, but in my opinion, Shopify is a new and distinctive addition here in this smart agent-driven economic phase.