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AMD and ASML offer different ways to invest in semiconductor growth, but their latest results do not establish which stock is the better buy. AMD sells processors and accelerators, with recent growth led by Data Center products. ASML sells lithography systems and services to chipmakers, and its latest outlook reflects customer capacity plans and AI-related demand. A buy decision also requires current valuation, earnings expectations, cash generation, balance-sheet risk and your time horizon. The company figures below help compare their businesses; they are not a substitute for that valuation work.
What did AMD and ASML report in their latest 2026 results?
The companies reported different quarters and use different currencies. AMD’s quarter ended June 27, 2026; ASML’s quarter ended June 28. Their results are therefore useful context, not a direct like-for-like comparison.
| Company | Q2 2026 results | Business indicator |
|---|---|---|
| AMD | Revenue of $11.536 billion, GAAP gross margin of 54%, operating income of $1.990 billion, net income of $2.297 billion and diluted EPS of $1.38. AMD, Aug. 4, 2026. | Data Center revenue was $6.718 billion, up 107% year over year; Client and Gaming revenue was $3.841 billion, up 6%; Embedded revenue was $977 million, up 19%. AMD, Aug. 4, 2026. |
| ASML | Net sales of €9.326 billion, gross margin of 54.0%, net income of €2.918 billion and basic EPS of €7.59. ASML, July 15, 2026. | ASML sold 86 new and five used lithography systems. ASML, July 15, 2026. |
AMD also reported non-GAAP gross margin of 56% and non-GAAP diluted EPS of $1.66. These are adjusted measures, so they should not be mixed with the GAAP figures in the table. AMD, Aug. 4, 2026.
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AMD sells compute products
AMD sells CPUs, GPUs and related products. Its Q2 Data Center growth was driven primarily by EPYC processor demand and the continued ramp of Instinct MI350 GPU shipments, according to the company. That makes product launches, customer demand and the ability to scale supply important to its growth outlook. AMD, Aug. 4, 2026.
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ASML sells chipmaking equipment and services
ASML supplies lithography systems and installed-base services to chipmakers. Its reported sales reflect system deliveries and services, while order intake, customer commitments and capacity plans can offer signals about future demand. Those indicators are not equivalent to AMD’s product revenue growth. ASML, July 15, 2026 ASML capacity announcement.
What do their outlooks say about growth?
AMD expects faster Data Center sales in the second half
On Aug. 4, 2026, AMD CFO Jean Hu said, “We expect Data Center sales to accelerate in the second half of 2026, driving stronger overall revenue growth and continued earnings expansion.” This is management’s expectation, not a reported result or an independent forecast. AMD also said revenue has historically generally been higher in the second half, while cautioning that market conditions and product transitions can affect that pattern. AMD, Aug. 4, 2026.
ASML raised its 2026 sales guidance
ASML’s July 15, 2026 guidance called for Q3 sales of €11–12 billion and a 55–57% gross margin. For full-year 2026, it expected sales of €43–45 billion and a 54–56% gross margin. These are dated company expectations, not achieved annual results. ASML, July 15, 2026.
ASML CEO Christophe Fouquet said on July 15 that ongoing AI-related investment and progress in AI technologies were driving demand for advanced logic and memory chips. The same release described first-half order intake as extremely strong and customer commitments as providing more visibility into longer-term demand. These are ASML’s descriptions of its market and customer environment; they do not guarantee a particular revenue trajectory. ASML, July 15, 2026.
ASML’s capacity plans point to an execution challenge as well as an opportunity
ASML said it planned to increase 2027 low-NA EUV capacity by 30% from around 65 systems in 2026, and 2027 DUV immersion capacity by 30% from around 130 systems in 2026. It was investigating a further 30% increase in each category for 2028; that additional increase was under investigation, not a firm output commitment. Planned capacity does not itself establish deliveries or realized sales. ASML capacity announcement.
What risks and comparison traps should investors consider?
- Do not compare headline growth rates as if they measure the same thing. AMD’s 107% Data Center revenue growth is a reported product-business result; ASML’s order intake, customer commitments and planned output are different indicators.
- Separate recurring business performance from comparison effects. AMD’s Q2 2025 results included $800 million in inventory and related charges connected with U.S. government export controls on MI308 data-center GPUs. AMD said the absence of those charges in Q2 2026 contributed to the year-over-year gross-margin improvement. The comparison therefore includes a prior-year charge effect, not only changes in underlying operations. AMD Q2 2026 filing.
- Account for execution and capacity. AMD’s outlook relies on product ramps and supply scaling. ASML’s depends on deliveries, customers’ capacity programs and its ability to expand its own output.
- Do not assume policy risks are equivalent or fully measured. AMD disclosed export-control-related charges in the comparison period. The cited ASML release discusses product demand and industry dynamics but does not quantify a directly comparable set of geographic or policy risks.
- Keep reporting bases distinct. AMD reports GAAP and non-GAAP measures in U.S. dollars; ASML’s cited figures are in euros. Gross margins may look similar, but do not treat those figures as proof that either business has the same earnings quality, cash generation or risk.
How can you decide which stock is a better buy?
Operating growth alone cannot answer the question: a company can grow quickly and still be a poor investment at an excessive price, while a slower-growing company can be attractive at a price that reflects its risks. The available company results do not provide a comparable current valuation, so there is not enough evidence here to rank AMD or ASML as the better buy.
- Compare valuation on the same date. Check each company’s share price and use a consistent measure, such as trailing price-to-earnings or forward earnings multiples. Record the date and the earnings period behind each measure; do not compare a current multiple for one company with a stale figure for the other.
- Test the earnings assumptions. For AMD, assess whether Data Center demand, product ramps and supply can support expected earnings. For ASML, assess whether order intake, customer commitments, system deliveries and capacity expansion can support its guidance.
- Look beyond earnings multiples. Review cash generation, balance-sheet strength and the investment each company needs to meet its plans. The Q2 figures above do not establish which has the stronger position on those measures.
- Match the exposure to your risk tolerance and time horizon. AMD’s recent growth is tied to demand for compute products; ASML’s is tied to chipmakers’ equipment needs and capacity plans. Neither business exposure is automatically preferable for every investor.
Use the Q2 figures as a dated operating snapshot, not a current-price recommendation. AMD’s latest release used here is dated Aug. 4, 2026, and ASML’s July 15, 2026; both companies’ guidance may change after subsequent earnings releases.
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