Advanced Micro Devices Inc (NASDAQ:AMD) is expanding its AI footprint through a multi-year collaboration with France, while analysts assess how these moves and AI momentum could drive long-term value.
AMD Expands AI Ecosystem Through France Partnership
AMD said on Thursday that it has signed a letter of intent with the French government to support the country’s national AI strategy, aiming to accelerate innovation and broaden access to advanced computing resources.
The company plans to provide hardware, software, and training through programs such as its University Program, AI Developer Program, and AI Academy, targeting researchers, startups, and developers.
AMD also plans to deepen collaborations with organizations such as GENCI, the Jules Verne Consortium, and CEA, including support for the Alice Recoque exascale supercomputer. The company intends to establish a Center of Excellence to deliver training and technical expertise, helping scale AI infrastructure and applications across France’s ecosystem.
Technical Analysis
AMD is trading near the upper end of its 52-week range ($83.75 to $267.08), a positioning that suggests sustained demand rather than a basing phase. The stock is trading 17.7% above its 20-day simple moving average (SMA) and 19.6% above its 100-day SMA, suggesting both the short-term and intermediate-term trends remain firmly pointed up.
The relative strength index (RSI), a momentum gauge, is 73.30 after entering overbought territory in April, indicating strong momentum but an increasingly stretched market. RSI at 73.30 suggests buyers have been in control lately, but pullbacks could come sooner.
The key trend structure remains constructive, with the 20-day SMA above the 50-day SMA and a golden cross that occurred in July 2025, consistent with a longer-term uptrend. The moving average convergence divergence (MACD), a trend/momentum indicator, is above its signal line, with a positive histogram, suggesting upside momentum still outweighs downside pressure.
- Key Resistance: $267.00 — a prior ceiling near the 52-week high where rallies have recently stalled.
- Key Support: $224.50 — an area where buyers have tended to step in and defend pullbacks.
AMD’s 12-month gain of 192.35% shows the longer-term tape has been decisively bullish, with price spending more time trending than chopping. With the recent swing high in January and swing low in March, traders are watching whether the current push can reclaim that prior peak zone without losing the $224.50 support area.
Analysts See Strong AI Upside, But Valuation Concerns Persist
Analysts at Bernstein SocGen Group raised their price forecast for AMD to $265 from $235.
They maintained a Market Perform rating, incorporating stronger server demand and the Meta Platforms Inc (NASDAQ:META) AI deal into forecasts.
The firm now expects EPYC sales to grow about 50% year-over-year in 2026.
Bernstein projects 2026 revenue of $45.8 billion and EPS of $6.48, rising to $76.7 billion in revenue and $13.23 EPS in 2027, noting that consensus estimates may not fully reflect the Meta-related upside. However, the firm said PC demand assumptions remain elevated and could weigh on the near-term outlook.
AMD Price Action: Advanced Micro Devices shares were up 0.08% at $258.32 during premarket trading on Thursday. The stock is trading near its 52-week high of $267.07, according to Benzinga Pro data.
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