AMD Stock Today: Meta’s 6GW AI GPU Pact, 160M Warrant — February 25
AMD stock is in focus after Meta signed a multi-year plan to deploy up to 6GW of AMD Instinct AI GPUs and CPUs, plus a performance-based warrant for up to 160 million shares. Shares of AMD rose 8.77% to $213.84 after the news. For Singapore investors, the Meta AMD deal signals stronger AI demand and diversification away from Nvidia. Shipments of Helios racks start in the second half of 2026, offering clearer revenue visibility while raising questions about dilution, valuation, and timing.
Meta’s 6GW pact and warrant: what’s in it
Meta plans to deploy up to 6GW of AMD Instinct accelerators and AI-optimized CPUs, with Helios racks slated to ship in 2H 2026. This adds another hyperscale buyer to AMD’s AI roadmap and broadens demand beyond Nvidia. Meta outlined the long-term infrastructure plan in its announcement, underscoring a staged rollout and performance targets source.
The performance-based warrant lets Meta buy up to 160 million AMD shares if milestones are met. That equals about 9.8% of current shares outstanding, a potential dilution investors should track. The structure also signals confidence in execution. Coverage highlighted the move days after Meta expanded its Nvidia plans source.
Market reaction, valuation, and earnings watch
AMD stock jumped 8.77% to $213.84, with an intraday high of $216.71. RSI sits near 49, showing neutral momentum. Price trades close to the Bollinger mid-band at $217.84, a nearby resistance. Keltner mid-channel is $213.06, now support. ATR of 11.76 points to elevated swings. Lower Bollinger at $177.40 is a deeper support to watch if the rally fades.
At roughly 80.4x TTM earnings and 10.1x sales, AMD stock prices in strong AI growth. Gross margin is 49.5% with debt-to-equity at 0.07, leaving balance sheet flexibility. FY2025 revenue grew about 34%, while EPS more than doubled. Next catalyst is earnings on May 5, 2026. Street views skew positive with 49 Buys, 15 Holds, and 1 Sell.
What this means for Singapore investors
Singapore investors can trade AMD stock on U.S. exchanges via local or global brokers. Consider minimum commissions, platform fees, and FX spreads when funding in USD. AMD does not pay a dividend, so returns hinge on price gains. Factor in currency swings to SGD when sizing positions and setting stop levels.
The Meta AMD deal adds demand visibility but front-loads expectations. Key risks include potential warrant dilution, execution on Helios deliveries from 2H 2026, and AI cycle volatility. Keep position sizes modest, pair with cash or defensives, and review exposure to semiconductors already held by Singapore funds or ETFs.
Trading setup and scenarios to watch
Momentum is mixed. MACD is below signal, and ADX near 22 suggests a mild trend. For traders, a hold above $213 with a push through $218 could open room toward $230. Failure back under $206 would weaken the setup and risk a retest of $198. Use ATR to size stops and manage gap risk around headlines.
Watch Meta deployment milestones, partner wins in cloud or enterprise, and AMD Instinct roadmap updates. Helios rack shipments start in 2H 2026, setting a multi-quarter revenue path. Monitor supply constraints, software maturity, and total cost of ownership claims versus Nvidia. Upcoming earnings and guidance on AI GPUs will shape the medium-term path for AMD stock.
Final Thoughts
The Meta agreement strengthens the AI case for AMD stock, adding a large, staged demand pipeline and a public vote of confidence. The 160 million-share warrant introduces about 9.8% potential dilution if fully exercised, so we view valuation and execution as key. Price sits near pivotal bands, with $213 to $218 as a near-term battleground. For Singapore investors, focus on risk controls, FX effects, and timelines that extend into 2026. Our read: buy strength on confirmed breakouts, trim into sharp spikes, and reassess after earnings on May 5, 2026 for updates on AI GPUs, order momentum, and the Meta AMD deal milestones.
FAQs
Why did AMD stock jump today?
AMD stock rose after Meta agreed to deploy up to 6GW of AMD Instinct AI GPUs and AI-optimized CPUs, plus a performance-based warrant for up to 160 million shares. The deal signals stronger AI demand and diversification away from Nvidia, improving growth visibility while raising questions about dilution and execution timing.
What does the 160 million-share warrant mean for investors?
If Meta meets performance milestones and exercises the warrant, AMD could issue up to 160 million new shares. That is about 9.8% of current shares, which may dilute existing holders. It also signals Meta’s confidence in AMD’s roadmap. Track disclosures for milestones, pricing, and vesting conditions over time.
Is AMD stock expensive after the Meta AMD deal?
AMD trades near 80x TTM earnings and about 10x sales. Valuation assumes strong AI growth. The deal boosts demand visibility, but execution and timelines matter. Use key levels around $213 to $218 for risk control, and reassess after earnings on May 5, 2026 for updated guidance and order momentum.
How should Singapore investors approach AMD now?
Consider fees and FX costs when trading U.S. shares. Size positions to account for volatility, with stops based on ATR. AMD pays no dividend, so returns rely on price gains. Diversify across sectors and review AI exposure already in your SG-based funds or ETFs to avoid concentration risk.
Disclaimer:
The content shared by Meyka AI PTY LTD is solely for research and informational purposes. Meyka is not a financial advisory service, and the information provided should not be considered investment or trading advice.