AMD Shares Surge Over 4% Following New Stock Buyback Plan
The company has authorized a new $6 billion for share repurchases, in addition to the approximately $4 billion remaining.
Quick overview
- AMD shares rose 4.6% following the announcement of a $6 billion expansion to its stock repurchase program.
- The total buyback capacity now stands at $10 billion, reflecting AMD's strong financial position and commitment to shareholder value.
- CEO Lisa Su highlighted the goal of the repurchase program to reduce outstanding shares and enhance earnings per share.
- Additionally, AMD launched its new EPYC 4005 series processors, targeting cost-effective solutions for small and medium-sized businesses.
AMD shares surged 4.6% on Wall Street this Wednesday after the company announced a substantial expansion of its stock repurchase program.
The semiconductor giant will add $6 billion to its existing initiative, which already had $4 billion authorized, bringing the total available for buybacks to $10 billion.
CEO Lisa Su emphasized that the move reflects AMD’s strong financial position and its ability to generate free cash flow. She also reaffirmed the company’s commitment to delivering shareholder value. The buyback program includes purchases on the open market or through private transactions, with no set expiration date or volume obligation.
According to AMD, the goal of the repurchase is to reduce the number of shares outstanding, boost earnings per share, and enhance perceived shareholder value—aligning with the leadership’s optimistic outlook on the company’s future.
Details of the Buyback
The company has authorized a new $6 billion for share repurchases, in addition to the approximately $4 billion remaining from its previous program as of March 29, 2025. This brings AMD’s total current repurchase capacity to around $10 billion.
AMD’s New EPYC Series
In parallel, AMD introduced its new EPYC 4005 series processors, aimed at enabling cost-effective deployment of basic workloads for small and medium-sized businesses (SMBs) and hosting providers.
The EPYC 4005 Series supports affordable, reliable computing solutions developed in partnership with industry leaders such as Gigabyte, Lenovo, MSI, and OVHcloud. These systems are designed to prepare organizations for the AI era with optimized memory and improved performance at a lower cost.
Specifically targeting SMBs and dedicated hosting providers, the new chips offer greater performance and efficiency, empowering businesses to access next-generation capabilities without breaking their budgets.
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