AMD priced a $4.75 billion bond offering on Monday to fund its push into AI and data center markets. The stock closed at $514.13, up 6.5% on the day.
Advanced Micro Devices, Inc., AMD
The debt deal is AMD’s largest-ever U.S. dollar bond financing. Part of the proceeds will cover $875 million in bonds maturing next month.
The move comes off the back of AMD’s Advancing AI event, where management lifted its projection for the total AI chips market to $1.4 trillion by 2030.
AMD is up 130% year-to-date. It is still trading about 12% below its 52-week high of $580.91 set in June 2026.
Analysts have taken notice. Baird issued a price target of $1,250, citing AMD’s AI accelerator and data center businesses. Jefferies set a $650 target, and Argus raised its target to $625 with a buy rating.
The consensus across Wall Street sits at “Moderate Buy” with an average price target of $546.87. Of analysts covering the stock, 31 have a Buy rating, 10 have a Hold, and one has a Sell.
Bank of America also raised its 2030 server CPU market forecast to over $210 billion from $170 billion, naming AMD as one of its preferred semiconductor picks.
On the product side, AMD announced day-one support for the Qwen3.8 27B AI model. That could improve chip adoption among AI developers and data center customers.
Principal Financial Group grew its AMD position by 9.7% in Q2, picking up an additional 180,198 shares. Institutional investors now own 71.34% of the company.
Not all the news is one-sided. SpaceX reportedly plans to use Nvidia chips exclusively, cutting AMD out of that opportunity. Insider selling has also continued, though transactions were made under prearranged Rule 10b5-1 plans.
AMD reported Q2 earnings on August 4. EPS came in at $1.66, beating the $1.62 consensus by $0.04. Revenue hit $11.54 billion, topping the $11.31 billion estimate.
Revenue was up 50.1% year-over-year. In the same quarter last year, AMD posted EPS of $0.48.
Analysts now forecast full-year EPS of $6.44 for AMD.
The stock’s 50-day moving average stands at $511.77. Its 200-day moving average is $368.29. AMD carries a market cap of $839.73 billion and a P/E ratio of 132.23.
AMD has a debt-to-equity ratio of just 0.03 ahead of the bond deal. That gives the company room to take on the new leverage without straining its balance sheet too much.
The stock has made 50 moves of 5% or more over the past year, so Monday’s gain fits the pattern. The bond deal and AI market outlook update gave traders a clear reason to buy.
The post AMD Stock Surges 7% After Locking In Biggest Bond Deal in Company History appeared first on CoinCentral.
