Prediction: Investors Will Be Happy if They Buy AMD Stock Before the Company's Big AI Event on July 22

3 weeks ago 12

Geoffrey Seiler, The Motley Fool

Sun, July 19, 2026 astatine 4:37 PM CDT 3 min read

Advanced Micro Devices (NASDAQ: AMD) banal has pulled backmost from its highs, but one deliberation buying the banal up of its July 22 Advancing AI lawsuit successful San Francisco volition beryllium a astute move. It looks similar determination volition beryllium a fewer catalysts from the lawsuit that could assistance propel the banal higher, including raised guidance and a large caller lawsuit announcement.

The archetypal large catalyst could beryllium raised guidance, some for the adjacent word and agelong term. AMD typically reports its second-quarter results successful aboriginal August, and it wouldn't beryllium astonishing to spot the institution pre-announce beardown Q2 results astatine this event. Bank of America expert Vivek Arya precocious said helium expects a beat-and-raise 4th from AMD, fixed "exceptional" request for server processors and the company's cardinal processing units (CPUs) continuing to instrumentality marketplace share. Meanwhile, Jefferies expert Blayne Curtis thinks AMD could lucifer Nvidia's telephone for a $200 cardinal full addressable marketplace (TAM) for information halfway CPUs, up from its earlier projection of $120 billion. This would assistance assistance its semipermanent outlook.

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Another large imaginable catalyst for the banal is AMD officially announcing Anthropic arsenic a caller lawsuit for its graphics processing units (GPUs). Anthropic has reportedly been advertizing to prosecute engineers who are proficient with AMD's ROCm bundle platform, which is simply a beardown denotation that it is acceptable to beryllium its adjacent large customer. After giving ample equity stakes to OpenAI and Meta Platforms arsenic portion of erstwhile ample GPU partnerships, investors volition beryllium intimately watching to spot whether this is simply a much accepted deal. Curtis besides thinks AMD could denote Microsoft arsenic a GPU customer.

I'd besides expect AMD to supply updates connected its CPU and GPU roadworthy maps. While this mightiness not beryllium rather arsenic breathtaking arsenic raised guidance oregon caller lawsuit announcements, astatine the extremity of the day, AMD's exertion advancements volition beryllium a large driving unit moving forward.

Image source: The Motley Fool.

A near-term catalyst and a semipermanent bargain

While AMD has a near-term catalyst with its Advancing AI event, I deliberation the banal is overmuch much than a near-term trade. The institution is riding 2 of the astir almighty trends successful AI infrastructure with inference and agentic AI, and it should spot explosive maturation implicit the adjacent fewer years, some successful GPUs and CPUs.

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