Advanced Micro Devices ( (AMD) ) has been popular among investors this week. Here is a recap of the key news on this stock.
Elevate Your Investing Strategy:
- Take advantage of TipRanks Premium at 50% off! Unlock powerful investing tools, advanced data, and expert analyst insights to help you invest with confidence.
Advanced Micro Devices (AMD) is drawing significant attention from investors following a recent investor call hosted by Bank of America Securities analyst Vivek Arya. Arya maintained a Buy rating on AMD with a price target of $250, indicating a potential upside of over 7%. The call highlighted AMD’s promising AI strategies, particularly its expanding partnership with OpenAI, which is expected to drive growth. OpenAI’s large-scale AI deployment is set to utilize AMD’s MI450 Series racks, with a total content value estimated at $15-20 billion per gigawatt. This partnership is seen as a new growth driver for AMD, beyond its existing AI plans.
However, AMD’s stock faced a setback after the U.S. Senate passed a bill limiting AI chip exports to China, causing a 5.46% drop in its stock price. Despite this, AMD shares have risen 82.5% year-to-date. The future of AMD’s AI chip exports remains uncertain due to ongoing trade tensions and potential legislative changes. Investors are keenly awaiting AMD’s upcoming Q3 earnings report, which is expected to show a 28% revenue increase from the previous year, as well as updates on its data center demand and AI partnerships.