MU, SNDK, AMD, and INTC – Why Are AI Chip Stocks Rising Today, July 31?
Complete. Here is the key summaryAI chip stocks MU, SNDK, AMD, and INTC rose on July 31 following strong Q2 results from Amazon, Microsoft, Samsung, and Lam Research. These earnings eased concerns about AI spending durability and highlighted robust demand, with Amazon raising its 2026 capex guidance to $220 billion. Wall Street maintains a Strong Buy consensus for MU, SNDK, and AMD, while holding a Hold rating on INTC.
AI chip stocks Micron Technology (MU), SanDisk (SNDK), Advanced Micro Devices (AMD), and Intel (INTC) trended higher on Friday morning following a notable surge yesterday. Strong Q2 results from e-commerce and cloud computing giant Amazon (AMZN) helped ease investor concerns about the durability of high AI spending and fueled a rise in AI chip stocks. Shares of Micron, SanDisk, AMD, and Intel were up 4.5%, 5.7%, 4.5%, and 5.6%, respectively, at 7:22 am EDT on Friday.
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High conviction AMZN bears now have this Tradr ETFMemory chip stocks Micron and SanDisk rallied 18.4% and 26%, respectively, on Thursday after a steep sell-off in recent trading sessions. Also, AMD and Intel stocks surged 13% and 11.3%, respectively, as results from Microsoft (MSFT), Samsung (SSNLF), and Lam Research (LRCX) helped improve investor sentiment.
What's Driving the Rebound in AI Chip Stocks
AI chip stocks have been very volatile in recent trading sessions, as investors closely watch June quarter results and assess their high valuations. Recently, South Korean memory chip giant SK Hynix (SKHY) reported massive growth in its revenue and profits but failed to meet investors' expectations.
Meanwhile, market-beating results from Microsoft (MSFT) mitigated concerns about AI infrastructure spending and sparked a notable rally in AI chip stocks on Thursday. The tech giant reported strong growth in its Azure cloud business. Additionally, Samsung reported impressive earnings and warned that the memory shortage could persist into 2028, reinforcing robust demand and pricing tailwinds, which bodes well for Micron and SanDisk shares. Furthermore, Lam Research stock jumped about 18% on Thursday, after reporting market-beating Q4 FY26 earnings and issuing strong guidance.
Meanwhile, Amazon's better-than-expected results and commentary about even higher AI spending further improved investor sentiment on AI chip stocks. Strong growth in Amazon Web Services (AWS) cloud business and the increase in 2026 capex guidance to $220 billion from $200 billion supported Friday's rise in chip stocks. Investors will now closely watch SanDisk's earnings on August 5 for more insights about the demand backdrop.
Wall Street's Take on AI Chip Stocks
According to TipRanks' Stock Comparison Tool, Wall Street has a Strong Buy consensus rating on memory stocks Micron and SanDisk and AI server CPU and GPU provider AMD. The average price targets on MU, SNDK, and AMD stocks indicate upside potential of 79.4%, 60.4%, and 20%, respectively. Meanwhile, Wall Street has a Hold consensus rating on Intel stock with a price target of $119.11, implying 31% upside potential.