Cathie Wood 2026 Portfolio: 10 Best Stocks to Buy

7. Advanced Micro Devices (NASDAQ:AMD)

ARK’s Stake Value: $551.4 Million

ARK decreased its stake in Advanced Micro Devices (NASDAQ:AMD) by 16% in the fourth quarter, ending the period with $551.4 million worth of shares in its portfolio. The semiconductor stock ranks seventh in the list of the best stocks to buy for 2026 according to Cathie Wood.

Advanced Micro Devices (NASDAQ:AMD) shares are down about 11% so far this year, but many believe it’s a good opportunity to buy. Why? Advanced Micro Devices (NASDAQ:AMD) has struck major AI deals with some of the top companies, including Meta, OpenAI and Oracle. These companies will use Advanced Micro Devices (NASDAQ:AMD)’s chips for AI training, inference, and cloud services. Advanced Micro Devices (NASDAQ:AMD) is targeting about 35% revenue CAGR through the decade.  The company expects Q1 revenue to grow by about 32% year over year. The stock’s forward P/E is around 31, down more than half from its peak in late 2025.

Insider Monkey’s database shows that 132 hedge funds had stakes in Advanced Micro Devices (NASDAQ:AMD) as of the end of December, up from 115 funds in the previous quarter.

White Falcon Capital Management stated the following regarding Advanced Micro Devices, Inc. (NASDAQ:AMD) in its fourth quarter 2025 investor letter:

“The top 5 positions for the White Falcon portfolio are precious metal royalty companies, AMD, NFI Group, EPAM, and Nu Holdings. Advanced Micro Devices, Inc. (NASDAQ:AMD) designs a broad range of digital semiconductors serving PCs, gaming consoles, and data centers, including the rapidly expanding AI market. Under CEO Lisa Su, the company was pulled back from the brink of bankruptcy and reshaped into a high‑performance computing leader. Over the past decade, AMD has steadily taken market share from Intel and emerged as a credible No. 2 in GPUs behind Nvidia. Given AMD’s volatility, we initiated a position in November 2022 and added to it again in April 2025. Management has guided to approximately $10 in Earnings per share (EPS) for FY2027E and more than $20 in EPS by 2030E. If the company delivers on these targets, then it should be a $400+ stock in a few years which is roughly 75% higher than current levels.”