Advanced Micro Devices (NASDAQ: AMD) surged again Thursday as bullish momentum continues building around renewed China chip sales and analyst upgrades. As of pre-market on July 17, 2025, AMD shares were trading at $161.62, up nearly 1%, after closing the previous session at $160.08 (+2.87%).
What’s driving AMD stock today?
Two major tailwinds are behind AMD’s recent 25% monthly gain:
1. China reopens to AMD AI chips
The U.S. Commerce Department has restarted license reviews for AMD’s MI308 AI chips, clearing the way for sales to resume in China — the world’s second-largest AI market. This shift in policy follows a broader easing of export restrictions under President Trump, who has expressed support for “AI leadership with global reach.”
“We applaud the progress made by the Trump administration in advancing trade negotiations,” AMD said in a statement.
AMD had previously warned of up to $800 million in losses tied to the chip ban. The reversal is now viewed as a revenue recovery story — and a competitive win against Nvidia, which is also resuming Chinese exports of its H20 chip.
2. Analyst upgrades boost investor confidence
- Wells Fargo raised its price target from $120 to $185, citing strength in AMD’s data center and AI accelerator business.
- Mizuho lifted its target to $175, referencing a strong ramp-up in the MI355X chip for H2 2025.
- The average consensus target is now ~$147, with most analysts rating AMD as a “Buy” or “Strong Buy.”
Financials: High valuation, but strong fundamentals
- Market cap: $259.6 billion
- Revenue: $27.75 billion
- Net income: $2.23 billion
- P/E ratio: 116.87 (TTM)
While AMD’s P/E is elevated, it’s still below Nvidia’s, and its balance sheet is stronger than Intel’s, giving it more room to maneuver in fast-moving AI markets.
“Investors are betting on Lisa Su’s execution and AMD’s ability to expand its AI footprint just as China demand comes back online,” said Faizan Farooque of GuruFocus.
What to watch next
- Q2 earnings are due August 5, and will be critical for justifying the recent price rally.
- Watch for:
- Official MI308 shipment updates
- Data center growth figures
- Forward guidance into Q3 and Q4
AMD CEO Lisa Su is also expected to attend an AI summit with President Trump next week, where new trade and tech strategy may be revealed.
Bottom line
AMD stock continues to surge as China reopens, AI chip demand grows, and Wall Street turns increasingly optimistic. With analyst targets rising and key catalysts ahead, AMD has reclaimed its place as one of the most closely watched stocks on Wall Street.
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