Advanced Micro Devices (AMD) stock rallied on Friday despite a lack of news from the semiconductor company. Instead, it looks like news from chipmaker TSMC (TSM) is behind today’s gains. The rally of AMD stock came after TSMC reported earnings results for its first quarter of 2026. These results showed strong chip orders during the quarter.
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Investors and analysts have taken the strong chip orders reported by TSMC to be a positive sign for semiconductor companies, such as AMD. They believe this shows that CPU and GPU orders are still strong as the AI boom continues beyond its first year. It also suggests that there’s plenty of demand for AMD products, which include both CPUs and GPUs for AI data center use.
This is also encouraging news for the entire tech sector, which has been volatile recently. A selloff this year caused many stocks in the sector to fall, as concerns about the viability of AI profitability spooked investors. That’s why reports like the one from TSMC matter, as they show there is still considerable interest in the field despite investor jitters.
AMD Stock Movement Today
AMD stock was up 3.84% on Friday, extending a 14.94% rally year-to-date. The stock has also gained 153.36% over the past 12 months.
With today’s news came decent trading for AMD stock, as some 20 million shares changed hands. For comparison, the stock’s three-month average daily trading volume is about 33.17 million shares.
Is AMD Stock a Buy, Sell, or Hold?
Turning to Wall Street, the analysts’ consensus rating for AMD is Moderate Buy, based on 21 Buy and eight Hold ratings over the past three months. With that comes an average AMD stock price target of $284.68, representing a potential 15.99% upside for the shares.
