Advanced Micro Devices, Inc. (NASDAQ:AMD) stock rose more than 2% in Thursday’s premarket session as semiconductor stocks advanced alongside stronger equity futures and renewed optimism around artificial intelligence infrastructure spending.
The move comes after Bank of America Securities (BofA) analyst Vivek Arya reiterated a Buy rating on AMD and raised his price forecast to $560 from $500. Arya cited stronger expectations for both CPU and GPU demand as agentic AI workloads increase the need for high-performance server processors.
BofA named AMD its top CPU pick, pointing to the company’s established market position, product roadmap and upcoming AI Day event, which will feature the launch of its next-generation Venice processor.
The firm said agentic AI could expand the server CPU market to more than $170 billion by 2030. Unlike GPUs, CPUs are often better suited for latency-sensitive orchestration, reasoning and decision-making tasks that underpin AI agents.
Analyst Consensus & Recent Actions: The stock carries a Buy rating with an average price forecast of $477.67. Recent analyst moves include:
- Bank of America Securities: Buy (Raises forecast to $560.00) (June 11)
- Barclays: Overweight (Raises forecast to $665.00) (June 1)
- TD Cowen: Buy (Raises forecast to $600.00) (June 1)
Technical Analysis
AMD is attempting to regain momentum after pulling back from its June highs. The stock remains about 2.7% below its 20-day simple moving average of $476.73, suggesting near-term consolidation. However, the broader trend remains firmly positive.
Shares continue to trade roughly 23.7% above the 50-day SMA, 57.8% above the 100-day SMA and 85.2% above the 200-day SMA. AMD has gained more than 273% over the past 12 months, underscoring the strength of its longer-term uptrend.
The technical setup remains constructive, with the 20-day SMA above the 50-day SMA and the bullish golden cross established in July 2025 still intact.
A supportive broader market backdrop is also helping sentiment. Nasdaq futures were up 1.33% before the opening bell, while the S&P 500 gained 0.79%, the Russell 2000 rose 1.40% and the Dow Jones Industrial Average added 0.81%. The iShares Semiconductor ETF (NASDAQ:SOXX) advanced more than 1%.
ETF Exposure
AMD remains a significant holding in several technology and AI-focused exchange-traded funds, including the iShares Semiconductor ETF (NASDAQ:SOXX), where it accounts for 8.03% of assets, the iShares Future AI & Tech ETF (NYSE:ARTY) at 6.26%, and the ARK Next Generation Internet ETF (NYSE:ARKW) at 7.37%.
Its sizable weighting means fund inflows and outflows can have a meaningful impact on trading activity in the stock.
Price Action
AMD Price Action: Advanced Micro Devices shares were up 2.2% at $462.36 during premarket trading on Thursday, according to Benzinga Pro data.
Photo via Shutterstock
