Is the Meta AMD deal positive for AMD stock?

We see it as a net positive. A roughly $60bn, five‑year commitment improves revenue visibility and supports scale for MI450 from H2. It signals second‑source adoption beyond Nvidia, which can lift AMD’s data‑centre share. Risks remain: execution on deliveries, software maturity, pricing opacity, and any accounting complexity from equity‑linked terms. Still, multi‑year allocations reduce forecast variance and can support AMD stock if milestones are hit on time.

How should UK investors think about buying AMD stock after this news?

UK investors can buy US‑listed shares via ISA or SIPP to improve tax efficiency. Consider GBP/USD currency risk, FX and platform fees, and position sizing given volatility. Review your broker’s order types and extended hours access. Monitor H2 MI450 delivery updates and any new customer disclosures. A Buy‑skewed analyst setup helps, but patience is key because the ramp will unfold over several quarters, not weeks.

What is MI450 and why does it matter for AMD stock?

MI450 is AMD’s next data‑centre GPU platform aimed at AI training and inference. Deliveries are slated to start in H2 under the Meta agreement. Success depends on performance, power efficiency, supply, and software support via ROCm. If benchmarks and deployments meet targets, AMD can win more hyperscaler and enterprise orders. That would increase recurring revenue and help sustain premium valuation for AMD stock over time.

Is AMD stock overvalued at current levels?

AMD trades at 81.93x EPS and 10.06x sales, which is rich versus many peers. High multiples can be justified if data‑centre GPU revenue scales quickly and margins hold. The company shows strong growth and low leverage, but execution risk is real. Watch the May 2026 earnings for updates on MI450 ramps, backlog, and bookings. If progress is slower, the multiple could compress, pressuring AMD stock.

Global Market Insights

AMD Stock Today: Meta Chips-for-Stock Deal Recasts AI – February 25

ByDanny Kontos February 25, 2026February 25, 2026

AMD stock surged after Meta agreed a roughly $60bn, five‑year AI chips‑for‑stock deal that includes MI450 GPU deliveries starting in H2 and a 6GW build‑out. The move signals hyperscalers adding second sources beyond Nvidia. AMD (ticker AMD) traded around $213.84 (USD), up about 8.8%, on heavy volume as investors priced in multi‑year demand and better revenue visibility. For UK investors, the agreement could reshape AI infrastructure spending and valuation multiples, while currency and position sizing remain key portfolio choices.