Nvidia Leads in AI Chips, But AMD Aims to Compete with New Offering

Nvidia dominates the AI training chip market with over 90% market share, while AMD is just getting started in AI with its upcoming MI300X chip.

Nvidia's revenue is skyrocketing thanks to huge demand for its AI chips, with 170% year-over-year growth expected this quarter.

AMD aims to compete in AI inference with its new MI300X chip that has more memory and bandwidth than Nvidia's offerings.

Nvidia trades at a steep premium with a P/S ratio of 35, while AMD trades at just 8 times sales.

Nvidia is currently the top AI chip stock thanks to its market dominance, but AMD could be an interesting cheaper play as it expands in AI.