As leading semiconductor companies, Advanced Micro Devices (NASDAQ: AMD) and Nvidia (NASDAQ: NVDA) have been in steep competition with each other for years. These companies have grown powerful with their consumer-focused line of PC components, which saw increased demand over the last decade as more and more people opted to build custom computers for high-powered activities such as gaming and video editing.
However, 2022's PC market declines sent AMD and Nvidia's stocks tumbling 55% and 50%, respectively, throughout the year. According to research from Gartner, PC shipments fell 28.5% in the fourth quarter of 2022 and 16.2% for the whole year.
Despite market headwinds, investors have rallied in 2023, growing bullish about each company's prospects in artificial intelligence (AI) and other high-growth markets. AMD shares have soared 51% year to date, with Nvidia's rising 87%. Yet, both companies' stocks remain down year over year.
Source Fool.com