5 Best AI Stocks to Buy and Hold for the Next 5 Years

3. Advanced Micro Devices, Inc. (NASDAQ:AMD) 

Number of Hedge Fund Holders: 134

Advanced Micro Devices, Inc. (NASDAQ:AMD)  is among the Best AI Stocks. 

On July 6, Goldman Sachs raised its price target on Advanced Micro Devices, Inc. (NASDAQ:AMD) to $640 from $450. The firm maintained a Buy rating on the stock.

On June 16, Advanced Micro Devices, Inc. (NASDAQ:AMD) and Rackspace Technology signed a definitive agreement to install an initial 30 megawatts of AMD-based AI compute infrastructure across Rackspace’s global data centers. This legally binding contract authorizes a preliminary memorandum of understanding announced by the two companies in May. The launch of this AI computing power is scheduled to take place in phases from late 2026 through 2028.

The companies said the placement will help regulated enterprise workloads using AMD Instinct GPUs and AMD EPYC CPUs within Rackspace’s Enterprise AI Cloud architecture.

CEO of Rackspace Technology, Gajen Kandiah, said the collaboration combines compute infrastructure with a governed operating model under a single accountable partner.

Senior Vice President and General Manager of Compute and Enterprise AI at AMD, Dan McNamara, commented that the partnership will help regulated enterprises place scalable AI infrastructure. The companies also committed joint sales and marketing resources to pursue enterprise customers across regulated industries.

Advanced Micro Devices, Inc. (NASDAQ:AMD) is a leading semiconductor company working in high-performance computing and graphics solutions.