Advanced Micro Devices is the stronger growth pick over Adobe for 2026, driven by surging data center sales and a pivotal role in AI infrastructure. AMD's fiscal 2025 revenue rose 34.3% to nearly $34.6 billion, with net income of roughly $4.3 billion and a net margin of about 12.5%, while data center sales more than doubled year over year and CEO Lisa Su expects data center revenue to double again in 2027. Adobe posted fiscal 2025 revenue of nearly $23.8 billion, up 10.5%, with net income of roughly $7.1 billion and a 30% net margin, but its forward P/E of 10.7x is far below AMD's 43.5x, reflecting AMD's faster growth. AMD also announced a partnership with Anthropic to deploy a massive GPU cluster, cementing its position as the primary alternative to Nvidia in AI chips. Adobe remains a durable software franchise with predictable cash flows, but AMD's sixth consecutive quarter of growth above 30% makes it the better buy for growth-oriented investors.
