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Why AMD Stock Is Surging Today

July 10, 2025
03:49 PM
2 min read
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investmentmoneystockstradingtechnologysemiconductorsmarket cyclesseasonal analysis

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Advanced Micro Devices (AMD 4. 10%) stock is seeing significant bullish momentum Thursday. The semiconductor company's price was up 3. 8% as of 3:30 p. ET amid the backdrop of a...

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investment

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July 10, 2025

03:49 PM

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investmentmoneystockstradingtechnologysemiconductorsmarket cyclesseasonal analysis

Advanced Micro Devices (AMD 4. 10%) stock is seeing significant bullish momentum Thursday

The semiconductor company's price was up 3. 8% as of 3:30 p

ET amid the backdrop of a 0. 3% gain for the S&P 500 (^GSPC 0. 27%) and a 0. 2% gain for the Nasdaq Composite (^IXIC 0

The stock had been up as much as 5. 4% earlier in the day's trading

AMD's valuation is climbing today ing bullish coverage from HSBC

The bank's investment branch issued new coverage on the stock this morning, and other investors are buying up s in conjunction with the re note

Image source: Getty Images

AMD stock gets another boost thanks to bullish analyst coverage In a note published before the market opened today, HSBC upgraded its rating on AMD stock from hold to buy

The firm also raised its one-year price target on the stock from $100 per to $200 per

As of this writing, HSBC's new price target suggests additional upside of roughly 39%

HSBC pointed to an imving demand outlook for AMD's graphics cessing units (GPUs) for artificial intelligence (AI) as a key factor in its ratings upgrade and big price target hike

The firm's analysts think that the company's MI350 GPUs for AI compare favorably with Nvidia's high-end Blackwell cessors, and that next year's MI400 cessors could further strengthen AMD's position in the data-center cessing space

Thus far, AMD has trailed far behind Nvidia when it comes to the high-value data-center cessor market -- but there are signs that dynamics may be starting to shift in the smaller company's favor

There's still a lot of guesswork involved when it comes to charting the 's performance outlook in advanced AI cessors, but it seems to be making gress in the crucial artificial intelligence training space

Even better, AMD could see strong demand for hardware used to power AI inference applications, even if its high-end cessors continue to trail behind Nvidia's for artificial intelligence training purposes

HSBC Holdings is an advertising partner of Motley Fool Money

Keith Noonan has no position in any of the stocks mentioned

The Motley Fool has positions in and recommends Advanced Micro Devices and Nvidia

The Motley Fool recommends HSBC Holdings

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