AMD and ASML tipped to reach $1 trillion by 2028

The article notes that several semiconductor stocks have already crossed the $1 trillion mark, including Broadcom and Micron Technology, while SK Hynix briefly exceeded it but now sits just below. This context frames the prediction as part of a broader trend of AI-driven value creation in the chip sector.

The analysis hinges on AMD's ability to capitalize on agentic AI, which requires coordination of GPUs and CPUs. AMD's Helios rack-scale solution, with first units shipping this fall and deals already in place with OpenAI, Anthropic, and Meta Platforms, positions it to capture more data center real estate. Meanwhile, ASML's lithography monopoly and planned 69% capacity expansion underpin its path to a $1 trillion valuation, with operating leverage expected to drive strong earnings growth.

The stakes for investors are twofold: whether AMD can execute on its Helios rollout and sustain its rapid AI data center revenue growth, and whether ASML's capacity expansion translates into the projected 74 billion euros in 2028 sales. Both outcomes would need to materialize for the $1 trillion predictions to hold, making them key milestones to watch.