Laser wavelength stability is a necessity in present-day chip-scale atomic clocks (CSACs), in next-generation atomic clocks planned for Global Navigation Satellite Systems (GNSSs), and in many other atomic devices that generate their signals with lasers. Routinely, this is accomplished by modulating the laser's frequency about an atomic or molecular resonance, which in turn induces modulated laser-light absorption. The modulated absorption then generates a correction signal that stabilizes the laser wavelength. However, in addition to creating absorption modulation for laser wavelength stabilization, the modulated laser frequency can produce a time-dependent variance in transmitted laser intensity noise because of laser phase-noise (PM) to transmitted laser intensity-noise (AM) conversion. Here, we show that the time-varying PM-to-AM conversion can have a significant influence on the short-term frequency stability of vapor-cell atomic clocks. If diode-laser enabled vapor-cell atomic clocks are to break into the [Formula: see text] frequency-stability range, the amplitude of laser frequency modulation for wavelength stabilization will need to be chosen judiciously.