“Make Money” host Charles Payne discusses whether President Donald Trump’s trade war will lead to isolation in the US.
Advanced Micro Devices On Wednesday, they announced a new $6 billion share buyback plan, joining a series of chipmakers looking to reduce floats as stock-powered AI trading shows signs that they are slowing down.
Shares in Santa Clara, California rose 6.4%. Stocks have fallen more than 6% so far this year, compared to a benchmark drop of less than 1% Philadelphia Semiconductor Index.
The acquisition, which has increased to around $10 billion by buyback authorities, has said it formed a $10 billion collaboration a day after AMD announced its deal with Humain, following in the footsteps of many US tech companies that have hit AI trade in the Middle East.
The smartphone with the AMD logo displayed is located on the computer motherboard in this illustration, taken on March 6, 2023. (Reuters/Dadolvich/Reuters)
Openai shakes corporate structure with the goal of expanding AGI investment
The entire chip sector has been pressured by fears about spending related to artificial intelligence and the impact of the world trade war, but AMD still lacks peers as concerns arise about competitiveness in the AI ​​market.
AMD has been praised as the most frightening competitor of AI frontrunner Nvidia’s dominance, but the company is currently facing tough competition with custom processors and large rival industry hubs.
Jensen Huang, co-founder and CEO of Nvidia Corp., owns AI accelerator chips for the data center. (Getty Images/Akiocon via Getty Images/Bloomberg)
AMD Stocks Last year it fell 18%, but Nvidia’s shares fell above 170%. Custom AI Chipmaker Broadcom stock doubled in value in 2024, with the Philadelphia Semiconductor Index rising nearly 20%.
“Our expanded stock repurchase program reflects the board’s trust in AMD’s strategic direction, growth outlook, and ability to consistently generate strong free cash flow,” AMD CEO Lisa Su said in a statement.
| Ticker | safety | last | change | change % |
|---|---|---|---|---|
| AMD | Advanced Micro Devices Inc. | 117.72 | +5.26 |
+4.68% |
| NVDA | Nvidia Corp. | 135.34 | +5.41 |
+4.16% |
| avgo | Broadcom Inc. | 232.12 | -0.30 |
-0.13% |
Click here to get your Fox business on the go
However, AMD’s free cash flow for the three months ended in March fell by more than 33% to $727 million. As of March 29th, cash and cash equivalents were $6.05 billion, while its current liability was $7.7 billion.
Among other major chipmakers repurchases, Broadcom announced a $10 billion repurchasing in April, while smartphone chipmaker Qualcomm announced a $15 billion repurchasing in November.
