Arm Holdings gained ground on Advanced Micro Devices and Intel in the microprocessor market last quarter, according to a Citi research note published Wednesday.

Drawing on estimates from Mercury Research, Citi analysts found that Arm’s share of processor unit shipments expanded to 13.6% in the first quarter of 2025 from 10.8% in the fourth quarter of 2024.

Those gains ate into Intel and AMD’s slices of the market.

Intel’s share fell 182 basis points to 65.3% in the first quarter, the lowest since Citi began modeling the industry in 2002. Meanwhile, AMD’s share decreased quarter over quarter to 21.1% from 22.1%, the Citi analysts found.

Citi analysts maintained Neutral ratings for both AMD and Intel in light of the data. Citi had cut its price target on Arm to $170 from $200 last week but maintained the stock’s Buy rating.

Chip stocks have had a volatile start to the year but have enjoyed a strong May, particularly after the U.S. and China agreed to slash most tariffs Monday while they further negotiate a trade deal.

AMD shares have gained 21% so far in May as of Wednesday’s close, while Arm and Intel have risen 17% and 7%, respectively.

On Wednesday, U.S.-listed shares of Arm rose 5.3%, Intel declined 4.6%, and AMD rose 4.7% after its board approved a new $6 billion stock buyback program.

Chip stocks enjoyed another strong day on Tuesday after multiple companies, including AMD and Nvidia, announced AI computing collaborations with Saudi Arabia’s state-backed AI company Humain.