Is AMD a Buy After Meta Deal?
Shares of Advanced Micro Devices (NASDAQ: AMD) got a lift after the company agreed to a deal with social media giant Meta Platforms (NASDAQ: META). The stock is now about breakeven for 2026, while it's nearly doubled over the past year.
Under the terms of the multi-year deal, Meta has committed to buying 6 gigawatts of AMD's graphics processing units (GPUs) across multiple generations of its chips. The two companies are also expanding their partnership for central processing units (CPUs), with Meta being a lead customer of AMD's 6th-generation EPYC CPU.
As part of the deal, AMD has also issued warrants to Meta for up to 160 million of its shares. The warrants will vest with each gigawatt of GPU shipments, and are also tied to AMD's stock price. The deal appears to be structured very similarly to the one it struck with OpenAI, also for 6 gigawatts of GPUs, in October.
Source Fool.com
Advanced Micro Devices Inc. Stock
With 113 Buy predictions and 2 Sell predictions Advanced Micro Devices Inc. is one of the favorites of our community.
As a result the target price of 229 € shows a positive potential of 34.99% compared to the current price of 169.64 € for Advanced Micro Devices Inc..
