Intel and AMD Break Out as Nvidia Lags Behind

Shares of Intel Corporation (INTC) and Advanced Micro Devices (AMD) pushed through multi-month resistance levels over the last five days. In contrast, Nvidia (NVDA) saw a modest rise of 2.12%, and Broadcom (AVGO) declined, signaling a shift within the AI chip sector.

Intel ended Wednesday at $106.24, while AMD closed at $521.10. Both stocks dipped in Thursday pre-market activity, and each remains below its 2026 peak.

Server CPU Shortage Gives Intel and AMD Pricing Leverage

The recent gains stem from changes in how AI workloads utilize computing power. Training relied heavily on GPUs. But agentic systems require CPUs to orchestrate tasks and transfer data.

Analysts now expect the GPU-to-CPU ratio to narrow from roughly eight-to-one toward a one-to-one balance. AMD forecasts a server CPU market worth $120 billion by 2030, starting from a base of around $30 billion.

Supply conditions back up that demand prediction. Intel has backlogs extending beyond six months, and AMD's EPYC processors are effectively sold out for 2026. Server CPU prices have increased by 10% to 35% quarterly.

Each company attracted its own positive developments. DigiTimes reported Intel plans a 10% CPU price hike in October. Northland upgraded the stock to Outperform with a $120 price target. AMD presented a $3 trillion addressable market at the Citi Global Technology Conference, and Piper Sandler initiated coverage at Overweight.

Intel Breaks Its Downtrend and Tests $103.49

Intel traded sideways throughout August, staying just under the $95 level from its $20 billion share offering. The stock broke through its descending resistance trendline on September 4.

Volume and news emerged simultaneously. Intel climbed 4.5% that Friday, followed by a 9% gain on September 8. A filing revealing that Nvidia's Intel stake is now valued at $30 billion drove the second increase.

The stock now trades within the 0.382 Fibonacci retracement level at $103.49. The next resistance point is the July 15 swing high of $109.30.

The daily Relative Strength Index (RSI) moved first. It broke its own downtrend in early August, roughly a month earlier than price did. That trendline then held as support on August 24.

RSI currently reads near 63 and is trending higher. Notably, RSI levels above 70 did not cap Intel's April advance, when the indicator peaked around 87.

AMD Clears Its Triangle and Flips $514.39 to Support

AMD traded within a symmetrical triangle from mid-June until September 9. The stock closed at $521.10 that day and broke above the upper boundary. That move cleared the prior swing high at $514.39, which is now expected to serve as support.

The $540 to $555 range represents the next supply area, sitting below the all-time high of $584.73.

AMD reported second-quarter data center revenue of $6.7 billion, a 107% increase. Third-quarter revenue is guided to roughly $13 billion. The stock remained flat while earnings grew, compressing its valuation multiple. The forward price-to-earnings ratio now stands near 47, versus a trailing figure above 130.

Volume has broken its own May downtrend, though it remains below the peaks seen earlier this year.

The two situations differ. Intel is attempting a turnaround and still trades 25% below its 52-week high. AMD is extending an uptrend from 11% below its high.

Money flow data had already indicated institutions favoring AMD over Nvidia. Risks persist, however, with Intel Foundry losing $2.089 billion last quarter and AMD gaming revenue dropping 31%.