Nvidia is the go-to supplier of graphics processing units (GPUs) for processing artificial intelligence (AI) workloads in the data center. Sales are soaring, with demand coming from some of the world's biggest tech companies like Microsoft and Amazon.

But Advanced Micro Devices (NASDAQ: AMD) has emerged as a worthy competitor, and its new data center GPUs are attracting some of Nvidia's most prized customers. However, AMD also makes the most powerful chips for AI-enabled personal computers, and it has taken a dominant position in that market.

AMD stock is trading 29% below its all-time high, but its recent financial report for the second quarter of 2024 (ended June 30) suggests investors might want to buy it right now.

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Source Fool.com