AMD Announces $6 Billion Buyback as Shares Rise on AI Optimism

Advanced Micro Devices (AMD) announced on May 14, 2025 that its board approved an additional $6 billion share repurchase program, bringing total authorization to $10 billion. Following the announcement, its stock rose about 4% and has climbed more than 30% over recent weeks amid easing trade tensions and renewed AI investment from major hyperscalers. The company reported record first-quarter results with $7.44 billion in revenue and 96 cents in adjusted earnings per share, driven by strong data center growth. Analysts have raised price targets on the stock, citing competitive AI GPUs and strategic AI infrastructure deals such as the $10 billion investment in Saudi Arabia’s HUMAIN. AMD’s forward valuation remains attractive, with a majority of analysts rating it a Buy.