What's Going on With AMD Stock Wednesday?
Advanced Micro Devices Inc. (NASDAQ:AMD) stock rose nearly 1% in Wednesday’s premarket session after several Wall Street firms raised their price forecasts, hedge funds increased exposure to semiconductor stocks, and reports of U.S. approval for certain AMD AI chips in China boosted sentiment.
Nasdaq futures are up 0.49% while S&P 500 futures have gained 0.16%.
Analysts Lift AMD Forecasts
KeyBanc maintained its Overweight rating on AMD and raised its price forecast to $725 from $530. The firm cited additional server CPU capacity and the expected second-half 2026 ramp of the MI455 AI GPU and Helios platform. It expects AMD’s server CPU unit shipments to grow 15% to 20% this year.
Bank of America also raised its price forecast to $620 from $550, while TD Cowen increased its forecast to $675.
Hedge Funds And China Clearance Support Sentiment
Goldman Sachs data shared by The Kobeissi Letter showed hedge funds bought U.S. semiconductor stocks last week at the fastest pace in at least three-and-a-half years. Semiconductors now account for about 10% of total hedge fund exposure, below the nearly 14% peak reached in May.
AMD also drew attention after a Kingsoft-linked Chinese cloud company received U.S. approval to use certain AMD AI chips that rival NVIDIA Corp.’s (NASDAQ:NVDA) H200, according to Reuters, which cited people familiar with the matter.
Zhuhai Hengqin Yunxiang Zhisheng Network Technology, a subsidiary of cloud computing company Kingsoft, has been cleared to use some AMD chips that rival the H200, according to the documents and the sources.
China accounted for over 22% of AMD’s fiscal 2025 sales, down from over 24% in fiscal 2024 as per its latest 10-K filing.
Technical Trend Remains Strong
AMD continues to trade in a well-defined uptrend. The stock sits 3.6% above its 20-day simple moving average of $535.08 and 13.2% above its 50-day SMA of $489.71. It is also 53.6% above its 100-day SMA of $360.97 and 90.3% above its 200-day SMA of $291.47.
The moving-average setup remains bullish, with the 20-day SMA above the 50-day SMA and the 50-day SMA above the 200-day SMA. However, the MACD remains below its signal line with a negative histogram, suggesting upside momentum has eased.
Traders are watching resistance near $563.00. A move above that level could support another breakout attempt. On the downside, support sits near $495.50, an area that previously attracted buyers.
Price Action
AMD Stock Price Activity: Advanced Micro Devices shares were up 0.75% at $552.26 during premarket trading on Wednesday, according to Benzinga Pro data.
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