AI names like Nvidia, Alphabet, and Broadcom have been some of the best stocks to buy in recent years. Since the artificial intelligence genie was let out of the bottle with the launch of ChatGPT in late 2022, these shares have delivered massive gains.

Now, I still see a lot of opportunities in the AI space today. However, if we were to see a market pullback in the near future, there could be even better opportunities to capitalise on.

At the heart of the agentic AI boom

One AI stock that could be worth considering in a market pullback is Advanced Micro Devices (NASDAQ: AMD). It has soared recently and I don’t think it’s smart to think about chasing it yet.

Why this company? Because it’s a global leader in central processing units (CPUs).

And these are used heavily in agentic AI. Without them, AI agents get stuck, leaving even the fastest graphics processing units (GPUs) idling while waiting for their next instructions.

Note that as businesses roll out agentic AI applications, the ratio of GPUs to CPUs in data centres is compressing rapidly. It used to be 1:4 or 1:8, however right now, it’s moving towards 1:1.

Now, at today’s share price of $430, the valuation is high — the price-to-earnings (P/E) ratio is near 60. That’s risky to me – if sales growth suddenly slows, the share price could take a hit.

If the stock was to fall back to near $300, however, it could be worth a look.

New data centre products

Another CPU stock that could be worth considering in a market pullback is Arm Holdings (NASDAQ: ARM). It’s known as a powerhouse in smartphone CPUs (its technology can be found in 99% of the world’s smartphones). However, recently it has been pivoting towards data centre CPUs.

For example, in March it released a new product designed specifically for agentic AI. And it sounds like demand is very high.

Like AMD, this stock has shot up recently (to near $250). As a result of this move, the valuation is high – the P/E ratio is about 100.

I don’t like the risk/reward skew at that earnings multiple (again there’s no room for error) – I think the high valuation could hamper future returns. If the stock was to come back to say $170 though, it could be worth checking out.

Protecting the world against AI

Finally, CrowdStrike (NASDAQ: CRWD) is worth highlighting. It’s widely regarded as the global leader in the cybersecurity space.

After a period of underperformance earlier in the year, this stock has ripped higher in recent months. Since late March, it has climbed from $350 to $650.

Why? Because investors have realised that this company isn’t going to be made obsolete by Anthropic.

A key catalyst here was ‘Project Glasswing’, which was announced in April. Here, Anthropic is partnering with CrowdStrike and a bunch of other companies to secure critical software for the AI era.

At today’s share price, CrowdStrike sports a P/E ratio of 130. I’m not a buyer at that multiple as I see risks around earnings (investors will be looking for super strong guidance) and profit taking.

If the stock was to fall back to around $450 to $500 though, it could be worth considering. That’s where I’ll be keen to top up my position.

Should you invest £5,000 in Advanced Micro Devices right now?

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Edward Sheldon has positions in Nvidia, Alphabet, Broadcom, and CrowdStrike.