Former hedge fund manager Jim Cramer’s latest anecdote on CNBC’s “Squawk on the Street” this morning offered a rare glimpse into a pivotal moment in Advanced Micro Devices Inc (NASDAQ: AMD) comeback story.
The company’s chief executive, Lisa Su, confronted Cramer when AMD shares were going for $5 only: “You’re dead wrong,” she told him, adding Intel stock may be at $50 today, but “they’ll go to $5 and we’ll go to $50.”
Fast forward to 2025, and the AI chips specialist has even rallied past $200 while INTC shares are struggling to regain their footing.
Su’s bold prediction wasn’t just bravado – it was a blueprint for disruption.
How AMD stock beat Intel’s dominance over the years?
AMD’s rise from underdog to industry heavyweight is one of the most dramatic turnarounds in the semiconductor industry.
For years, Intel dominated the CPU market with superior scale, marketing, and OEM relationships.
But AMD – under Lisa Su’s leadership – executed a multi-year roadmap focused on architectural innovation, fabless efficiency, and aggressive pricing.
The launch of the Ryzen and EPYC processors, built on TSMC’s advanced nodes, caught INTC flat-footed as it struggled with 10nm delays.
Advanced Micro Devices Inc chips began outperforming Intel’s in consumer as well as data center benchmarks, flipping the performance narrative.
Meanwhile, its leaner cost structure together with faster product cycles helped it gain market share and investor trust.
AMD stock is now trading at about 50x its price in early 2016 – while Intel shares have stagnated over the past ten years.
Su’s strategic clarity and execution flipped the script, turning the chipmaker into a Wall Street darling and a tech bellwether.
AMD shares’ lead extends with new OpenAI deal
While Intel stock continues to wrestle with keeping relevant in the artificial intelligence (AI) arms race – the OpenAI partnership announced today marks another strategic inflection point for AMD shares in the AI hardware race.
On Monday, OpenAI confirmed it’s working with Advanced Micro Devices Inc to diversify it chip supply beyond Nvidia – a move that validates the company’s MI300X accelerators for LLM work-loads.
For AMD stock, this is a credibility win and a potential revenue catalyst.
For Intel shares, however, it’s a glaring omission. Despite years of AI marketing, the legacy tech titan’s Gaudi chips failed to gain traction with top-tier AI labs.
The OpenAI deal reinforces that AMD – not Intel – is emerging as the viable alternative to NVDA in high-performance compute. As Jim Cramer put it, “Lisa Su go the curves,” referencing the firm’s architectural leap.
In short, Intel, once the dominant force in data centre silicon, continues to risk being boxed out of the AI boom. That’s why Wall Street analysts currently has an “overweight” rating on AMD stock while their INTC rating sits at “hold” only.
The post Lisa Su once told Jim Cramer ‘you’re dead wrong about AMD stock’- she was right appeared first on Invezz
