Advanced Micro Devices (AMD) saw its stock climb sharply on renewed investor optimism, driven by resumption of China-facing chip sales and a series of upward analyst revisions. As of July 17, shares were trading higher in pre-market action, buoyed by momentum from Wall Street and new trade developments.
The major catalyst propelling AMD’s performance is the reopening of the Chinese market to its Artificial Intelligence chips. The U.S. Commerce Department has restarted license reviews for AMD’s MI308 Artificial Intelligence accelerators, allowing sales to resume in China, the world´s second-largest Artificial Intelligence market. The policy shift is part of a broader easing of tech export restrictions under President Trump, who has repeatedly stressed the strategic importance of U.S. Artificial Intelligence leadership. AMD had previously signaled potential revenue losses from the chip ban, but now characterizes the policy reversal as a key driver for financial recovery and renewed competition against Nvidia, which is similarly resuming its H20 chip exports to China.
Analyst sentiment has also turned sharply positive. Wells Fargo increased its price target, citing strength in AMD’s data center and Artificial Intelligence business, while Mizuho underscored momentum in the MI355X chip for the second half of 2025. Most analysts now rate AMD as a ‘Buy’ or ‘Strong Buy,’ with consensus price targets trending upward. This confidence is underpinned by AMD’s financial profile—its price-to-earnings ratio, though high at 116.87, remains below Nvidia’s, and its balance sheet is healthier than Intel’s, giving the company flexibility for continued investment and growth in Artificial Intelligence.
Looking ahead, AMD will report second quarter earnings on August 5, which are poised to shed light on demand from China, shipment updates for the MI308, and data center growth. The company’s CEO, Lisa Su, is also scheduled to appear at an Artificial Intelligence summit alongside President Trump, where further policy clarity and innovation strategy may be discussed. With China back in play and investor sentiment building, AMD is once again positioned at the center of the Wall Street spotlight as a primary beneficiary of the latest turn in global Artificial Intelligence trade and market dynamics.
