Looking at earnings growth as a steady process can be misleading when profit margins vary. Intel has a 26% net margin, and AMD is just over 8%, so if AMD gets I

Looking at earnings growth as a steady process can be misleading when profit margins vary. Intel has a 26% net margin, and AMD is just over 8%, so if AMD gets Intel's pricing power their earnings could be 3X as high before any change in revenue. For a look at the pathological case, realize that a company that breaks even one year and makes a trivially small profit the next has experienced infinite earnings growth. That being said, I agree it looks like AMD stock is priced for something spectacular to happen, which makes me more excited about their chips than their stock.