AMD Hits Record High Following Massive Anthropic Deal

Advanced Micro Devices stock surged to a record high of 561 dollars during pre market trading this morning. This sharp move follows a massive deal with AI company Anthropic. The agreement involves tens of billions of dollars in AI server sales, while AMD will also invest 5 billion dollars into the firm to strengthen their collaboration.

The market is paying close attention as the company prepares for its quarterly earnings report in early August. Analysts expect the company to report roughly 11.3 billion dollars in revenue for the second quarter, which would represent a 47 percent increase compared to last year. Wall Street remains optimistic, with several firms raising their price targets to between 620 and 725 dollars.

Looking ahead, the company is positioning itself to gain from the rise of agentic AI. While generative AI models rely heavily on GPUs, agentic AI creates a higher demand for CPU performance. Since AMD produces both types of processors, investors are betting that the firm is uniquely prepared to lead this next phase of the hardware market.

Traders should keep an eye on the upcoming earnings call to see if the company meets these high revenue expectations. If the growth figures align with current bullish sentiment, the stock could see further momentum throughout the rest of the quarter.