Advanced Micro Devices (NASDAQ: AMD) has become a favorite on Wall Street over the last year alongside a boom in artificial intelligence (AI). Hardware companies have enjoyed substantially more growth than those focused on software, with chipmakers responsible for a significant portion of the Nasdaq-100 technology sector's 43% rise since last April.

However, chip stocks like AMD remain a smart long-term hold. These companies are developing the hardware that makes most tech possible, with demand likely to continue rising for the foreseeable future. AI is only one market requiring high-powered chips, with AMD also benefiting from chip demand from video games, automotive, cloud computing, and more.

AMD has made many millionaires over the years, with its shares up 3,500% since 2014. However, the company is on a promising growth path, continuing to benefit from tailwinds across tech.

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Source Fool.com