Advanced Micro Devices Stock News and Forecast: AMD stock rises to $156 on Friday
- AMD stock claimed another all-time high on Thursday.
- Advanced Micro Devices stock continues 50%-plus run that began in early October.
- AMD's Instinct MI200 series GPU accelerator competes on Nvidia's home turf.
Shares of Advanced Micro Devices (AMD) traded up 0.6% to $156 in the early part of Friday's session. AMD stock closed up 2.4% on Thursday after claiming a new all-time high at $158.89. This comes on the back of AMD's recent breakout of a bullish flag pattern on November 16.
Advanced Micro Devices (AMD) Stock News: new GPU accelerator could compete with Nvidia
In a recent interview with Next Platform, Nvidia (NVDA) CEO Jen-Hsun Huang scoffed at claims that AMD's "Aldebaran” Instinct MI200 series GPU accelerators, which basically have two GPU dies on one chip, are an "Nvidia killer".
"First of all, we have competition all the time," said Huang. "So it is not true that this is the first so-called Nvidia killer that has come out. Every year there’s an Nvidia killer and people call it that."
Huang did concede, however, that currently competition has become "seriously intense."
Taiwan-based outlet DigiTimes has reported on rumours that AMD is set to become Samsung Foundry's first 3-nanometer customer. The publication says that both AMD and Qualcomm (QCOM) are interested in moving from Taiwan Semiconductor (TSMC) to Samsung because of the former's close relationship with Apple, who is making waves by jumping from the consumer tech business into the chip designing field.
Separately, IC Insignts released a recent report saying it expects Advanced Micro Devices to post a revenue increase of 65% this fiscal year. This would put AMD in first place on IC Insights' list of fastest growing semiconductors, above Nvidia (3rd, 54%) and Qualcomm (4th, 51%).
At this year's Supercomputing Conference, which ends today in St. Louis, AMD announced that it has more than tripled the percentage of the world's top 500 supercomputers that are powered by AMD harware. The Santa Clara, California chip designer now powers 73 of the top 500 supercomputers compared to 21 last year and four of the top ten supercomputers in the world.
AMD key statistics
| Market Cap | $191 billion |
| Price/Earnings | 47 |
| Price/Sales | 12 |
| Price/Book | 26 |
| Enterprise Value | $180 billion |
| Operating Margin | 20.5% |
| Profit Margin |
26.7% |
| 52-week high | $158.89 |
| 52-week low | $72.50 |
| Short Interest | 6% |
| Average Wall Street Rating and Price Target | Hold, $140.51 |
Advanced Micro Devices (AMD) Stock Forecast: AMD may claim support just below $150
AMD stock broke out of its bull pennant on Tuesday, November 16, and has continued to trend higher, albeit at a somewhat slower pace. The Relative Strength Index (RSI) has jumped one point to 75. AMD stock has been trading for nearly all of November in overbought territory (above 70) however. This is still below the 87 mark touched in the previous week. The bearish divergence between the RSI and the daily chart is quite clear, but the market does not seem to care at this point. When the highs diverge between the price chart and the RSI chart, this is called a bearish divergence and it often signifies that a reversal is in the works.
With AMD's latest all-time high coming just one week after its previous high, both on Thursdays, AMD is still on the bull train. However, throughout this bull run, AMD has sunk bank after new highs to the 9-day moving average. At the moment the 9-day moving average sits at $149.48, and FXStreet expects AMD price to retrace there to allow for the entry of new long positions that will push the semiconductor leader to new all-time highs toward the end of this month.
AMD daily chart
Author
Clay Webster
FXStreet
Clay Webster grew up in the US outside Buffalo, New York and Lancaster, Pennsylvania. He began investing after college following the 2008 financial crisis.
