Three stocks firmly tied to the AI infrastructure buildout, Arm Holdings ARM, Advanced Micro Devices AMD, and CoreWeave CRWV, have all been drawing extra investor attention lately.
Let’s take a closer look at the recent news surrounding each.
Arm Shares Climb 40% in September
Arm Holding shares have surged recently as positivity surrounding agentic AI has fueled optimism for stronger CPU demand. Increasingly capable AI agents could require considerably more CPU-based compute alongside GPUs, and the recent popularity of consumer-facing tools like Meta’s Muse AI agent has only added to the optimism.
In addition, ARM CEO Rene Haas recently expressed increased confidence surrounding the company’s new AGI CPU, indicating that demand remains robust and manufacturing supply is currently the bigger constraint.
Recent results have continued to show strong demand, with ARM generating record revenue of $1.3 billion in its latest release, up 22% YoY, while Data Center royalties more than doubled.
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ARM’s recent gain in attention reflects growing optimism surrounding its opportunity in AI-focused data center CPUs, with EPS revisions remaining on a bullish trajectory across the board. Impressively, the stock is up nearly 40% in September alone thanks to the positivity.
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AMD Sees Explosive Data Center Growth
Advanced Micro Devices shares have been similarly red-hot, recently pushing above the $1 trillion market-cap mark for the first time as positivity for AI infrastructure demand continues to grow.
The company has continued to post strong quarterly results, with AMD’s Data Center sales coming in at $6.7 billion in its latest period, reflecting a triple-digit 107% YoY growth rate. AMD expected Data Center sales to accelerate in the back half of 2026, underpinning a favorable growth outlook for both earnings and sales.
Overall sales growth has been stellar across recent periods, regularly showing accelerations.
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EPS expectations have trended higher across recent months, continuing to provide a solid near-term momentum backdrop for shares, which are up more than 30% in September alone. Surpassing the $1 trillion market-cap hurdle is a huge win for the company, joining an elite group overall.
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CoreWeave’s Steep Buildout Costs
CoreWeave similarly remains at the forefront of AI infrastructure names, though shares haven’t seen nearly as much positivity relative to the two mentioned above, up roughly 3% in September.
The company exited Q2 with a massive $104.2 billion revenue backlog, up 246% YoY, with quarterly revenue jumping 112% to roughly $2.6 billion.
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While demand is undoubtedly strong, the heavy capital needed to match it has weighed on sentiment, with the company recently announcing plans to raise billions of dollars by selling new stock and debt.
EPS revisions have been on a downward trajectory as a result of the capital-intensive buildout.
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Bottom Line
Arm Holdings ARM, Advanced Micro Devices AMD, and CoreWeave CRWV have all been seeing increased attention given their roles in the AI frenzy. All three are seeing strong growth overall, though financing costs have largely weighed down momentum surrounding CRWV.
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Advanced Micro Devices, Inc. (AMD) : Free Stock Analysis Report
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CoreWeave Inc. (CRWV) : Free Stock Analysis Report
This article originally published on Zacks Investment Research (zacks.com).
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