Stock Market Today, Feb. 24: Advanced Micro Devices Surges After Meta Strikes Multiyear AI Chip Supply Deal

Advanced Micro Devices (NASDAQ:AMD), a designer of microprocessors and GPUs for computing and graphics, closed Tuesday at $213.84, up 8.77%. The stock is jumping after news of a massive multiyear AI chip and systems deal with Meta Platforms (NASDAQ:META), and investors are watching how the contract reshapes AMD’s data center AI share versus Nvidia.Trading volume reached 79.8 million shares, coming in about 120% above its three-month average of 36.2 million shares. Advanced Micro Devices IPO'd in 1980 and has grown 6,689% since going public.The S&P 500 (SNPINDEX:^GSPC) added 0.77% to finish at 6,890, while the Nasdaq Composite (NASDAQINDEX:^IXIC) climbed 1.04% to close at 22,864. Within semiconductors, industry rivals Nvidia (NASDAQ:NVDA) closed at $192.85 (+0.68%) and Intel (NASDAQ:INTC) ended at $46.12 (+5.71%) as investors reassessed AI infrastructure demand.As part of a multiyear agreement, Meta will acquire 6 gigawatts of graphics processing units (GPUs) from AMD to support the AI infrastructure for Facebook's parent company's next generation. Additionally, AMD has committed to granting Meta a performance-based warrant, allowing for the acquisition of up to 160 million AMD shares, representing approximately a 10% stake in the company.Continue readingWeiter zum vollständigen Artikel bei MotleyFool Weiter zum vollständigen Artikel bei MotleyFool