Advanced Micro Devices ( (AMD) ) has been popular among investors this week. Here is a recap of the key news on this stock.
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Advanced Micro Devices (AMD) has been making headlines with its strategic investment in AI startup Somite.ai, which aims to transform cell therapy using AMD Instinct GPUs. This move is part of AMD’s broader strategy to leverage its GPU technology in the rapidly growing AI sector. The investment comes after Somite.ai’s successful $47 million Series A funding round, and it highlights AMD’s commitment to expanding its presence in the AI space. Meanwhile, AMD’s stock has seen fluctuations, with a recent dip following a leak of its FSR 4 source code, which revealed potential for older graphics card support. Despite this, AMD’s stock has generally performed well, riding the wave of the AI boom and maintaining a strong year-to-date performance.
In addition to its AI ventures, AMD is navigating challenges in the semiconductor market, particularly with rumors surrounding its Zen 7 processors. These processors are expected to use the existing AM5 socket platform, allowing users to upgrade without new hardware purchases. While this could boost sales, it may also limit AMD’s ability to capitalize on new RAM technologies. Despite these challenges, Wall Street analysts maintain a ‘Moderate Buy’ rating for AMD, with a potential upside in stock price, reflecting optimism about the company’s strategic direction and market position.