New York, Jan 23, 2026, 16:25 EST — After-hours
- After the close, AMD shares climbed roughly 2.3%, settling at $259.65
- Intel’s forecast reignited the debate about which companies can supply data-center processors for AI expansions
- Upcoming catalysts: the Fed decision next week and AMD’s earnings report on Feb. 3
Shares of Advanced Micro Devices (AMD.O) climbed roughly 2.3% to $259.65 in after-hours on Friday. The Nasdaq stock swung between $252.01 and $266.76, with volume hitting around 47 million shares.
This shift is crucial because investors are zeroing in on chip supply—not just demand—as the key to which companies will lead the next wave of AI investment. When major buyers can’t secure enough processors from a single supplier, they often pivot their orders fast, which then impacts quarterly guidance.
Intel (INTC.O) weighed on sentiment late Thursday after reporting difficulties in meeting server chip demand for AI data centers and projecting quarterly revenue below forecasts. “In the short term, I’m disappointed that we are not able to fully meet the demand in our markets,” CEO Lip-Bu Tan told analysts. Finance chief David Zinsner added that cloud customers were “a little bit caught off guard” by the unexpected surge. (Reuters)
For AMD, the takeaway is clear. It sells server central processing units, or CPUs — the general-purpose chips that run servers and manage tasks — which frequently operate alongside AI accelerators like Nvidia’s graphics processors within the same data-center racks.
Analysts have piled on as the rally gains steam. TipRanks noted that Bernstein’s Stacy Rasgon bumped his AMD price target to $225 from $200, maintaining a Hold rating. He pointed out that a boost tied to OpenAI later this year eases the strain on AMD’s near-term AI performance. (TipRanks)
The broader market stayed volatile. Intel’s drop dragged sentiment lower near the close. Nvidia, meanwhile, climbed after Bloomberg said Chinese regulators told Alibaba, Tencent, and ByteDance to get ready to order Nvidia’s H200 AI chips. Investors are also gearing up for next week’s Federal Reserve rate decision and a slew of big-tech earnings reports. (Reuters)
The upside isn’t without complications. A shortage in memory chips has driven prices up, potentially pushing consumer device costs higher—a tough spot for chipmakers tied to PCs. Zinsner noted, “Rising (memory) pricing is a dynamic we continue to watch closely… and could limit our revenue opportunity this year.” Meanwhile, IDC projects the PC market might contract by at least 4.9% in 2026. (Reuters)
AMD bulls face a clear risk: if Intel’s supply bottlenecks clear sooner than anticipated, or AI data-center spending slows down, the urgency behind the “share shift” trade could fade. That would likely send the stock’s recent gains into reverse fast.
Traders head into Monday eyeing whether chip stocks can build on Intel’s guidance and the recent buzz around China-focused AI chips. Expect positioning to remain heavy ahead of AMD’s earnings report.
AMD plans to release its fiscal Q4 and full-year 2025 results on Tuesday, Feb. 3, after markets close. A conference call will follow at 5:00 p.m. EST. Investors will be watching closely for details on data-center demand, AI chip sales, and any tweaks to the near-term guidance. (Amd)
