Advanced Micro Devices (AMD) stock was down on Wednesday even after the semiconductor company announced a new partnership with storage solutions company Super Micro Computer (SMCI). AMD has teamed up with Super Micro Computer and Spectro Cloud to launch the AMD Instinct Coder, an AI coding tool.
According to the chipmaker, AMD Instinct Coder is built with AMD EPYC processors, AMD Instinct GPUs, and AMD Pensando networking. The product is integrated into select Super Micro Computer systems and is covered by Spectro Cloud.
AMD claims that AMD Instinct Coder is designed to allow businesses to scale their AI efforts while giving them more control. It can help them write code and determine model use, all while letting the company determine how much they spend on those projects.
“AI coding is moving from an individual developer tool to an enterprise platform decision,” said AMD’s SVP and general manager of Compute & Enterprise AI. “Organizations need control over where code is processed, which models are used and what that usage costs.” He noted that AMD Instinct Coder gives customers a simple way to run more workloads locally and operate AI infrastructure themselves.
AMD Earnings Update
Investors will also note that AMD reported its Q2 2026 earnings after markets closed yesterday. AMD beat Wall Street’s estimates with adjusted earnings per share of $1.66 and revenue of $11.54 billion. For comparison, analysts expected adjusted EPS of $1.62 on revenue of $11.31 billion.
While the company’s results were above estimates, the stock still fell 5.8% today. This was likely due to analyst updates. While many analysts increased their price targets for AMD stock, they were also disappointed by the company’s Q3 guidance.
Is AMD Stock a Buy, Sell, or Hold?
Turning to Wall Street, the analysts’ consensus rating for AMD is Strong Buy, based on 29 Buy and six Hold ratings over the past three months. With that comes an average AMD stock price target of $622.93, which represents a potential 27.27% upside for the shares. These ratings and price targets will likely change as more analysts update their coverage of AMD stock after the company’s earnings report. (See AMD Stock Forecast)
