Micron, Intel and AMD add $2 trillion in value in Q2 rally

Investing.com -- Three major chipmakers gained about $2 trillion in combined market value during the second quarter as investors expanded their artificial intelligence holdings beyond Nvidia.

Micron Technology rose over 240% during the quarter, adding roughly $920 billion in market cap. Intel jumped 216%, resulting in an added $480 billion in market cap. Advanced Micro Devices added $615 billion in value after its stock price nearly tripled.

The three companies are now the 10th, 11th and 12th most valuable U.S. tech companies.

Micron, one of three major computer memory producers, reported last week that revenue in the latest quarter more than quadrupled due to rising memory prices from AI chipmakers. The company's gross margin jumped to 84.9% in the third quarter from 39% a year earlier.

Intel, which makes central processing units, is building U.S. chip factories while benefiting from renewed demand for CPUs as more AI moves to devices.

AMD, Intel's rival in CPUs, also makes graphics processing units, though it trails Nvidia in that market.

Nvidia, the AI chipmaker that remains the biggest company by market cap, gained 15% in the second quarter. Meta Platforms fell nearly 2% for the worst performance in the group, while Alphabet led by gaining 24%. Amazon and Microsoft showed results between those two.

Other parts of the AI infrastructure supply chain also posted gains. Marvell Technology, which makes networking gear, climbed about 200%. Arm Holdings rose 134% in the quarter. The VanEck Semiconductor ETF rose 71% in the period, the fund's best quarterly performance since it started trading in 2000.

Related articles

Micron, Intel and AMD add $2 trillion in value in Q2 rally

These 2 stocks are best positioned to benefit from higher uranium prices: analyst

5 reasons why Jefferies thinks Meta's pullback is a buying opportunity

View Comments