AMD stock rises on new AI infrastructure deal with Rackspace

Advanced Micro Devices Inc. stock rose 2.49% to $519.92 in Wednesday’s premarket session after falling 7.30% in the previous trading session. The rebound came as technology stocks moved higher and the chipmaker announced a new artificial intelligence infrastructure agreement. Nasdaq futures gained 0.53%, while S&P 500 futures rose 0.09%, contributing to the positive sentiment.

AMD and Rackspace Technology Inc. have signed a definitive agreement to deploy an initial 30 megawatts of AMD-powered AI compute across Rackspace’s global data centers between late 2026 and 2028. The deployment formalizes a memorandum of understanding announced in May and will combine AMD Instinct GPUs and EPYC CPUs to power Rackspace’s governed Enterprise AI Cloud for regulated industries such as healthcare. The companies will jointly pursue enterprise customers and accelerate the rollout of four AI offerings, including Enterprise AI Cloud and Inference as a Service.

Technical Analysis

AMD remains in a strong long-term uptrend despite Tuesday’s sharp decline. The stock trades 5.8% above its 20-day simple moving average of $492.45 and 30.5% above its 50-day SMA of $399.12. It also sits 70.8% above its 100-day SMA of $305.04 and 102.3% above its 200-day SMA of $257.53.

Metric	Value
20-day SMA	$492.45
50-day SMA	$399.12
100-day SMA	$305.04
200-day SMA	$257.53
52-week high	$558.37
Immediate resistance	$546.50
Support level	$437.00

Momentum has softened, with the MACD remaining below its signal line and a negative histogram suggesting buying momentum has cooled. Immediate resistance stands near $546.50, just below the 52-week high of $558.37, while support is around $437.00.

Ark Invest, led by Cathie Wood, sold shares worth approximately $12.09 million in Advanced Micro Devices on Tuesday. The transactions were executed through two of the firm's exchange-traded funds: the ARK Blockchain & Fintech Innovation ETF (ARKF) and the ARK Space & Defense Innovation ETF (ARKX). This move comes as AMD's stock remained near record highs, following a rally earlier in the week.

Trade Details

The ARKF fund sold 1,470 shares, while the ARKX fund offloaded 22,374 shares. Based on AMD's closing price of $507.29, the total value of the trades reached roughly $12.09 million.

ETF	Shares Sold	Closing Price ($)	Trade Value ($)
ARK Blockchain & Fintech Innovation ETF (ARKF)	1,470	507.29	~745,716.30
ARK Space & Defense Innovation ETF (ARKX)	22,374	507.29	~11,344,284.46
Total	23,844	507.29	~12,090,000.76

Portfolio Context

Advanced Micro Devices is Ark's second-largest holding on a consolidated basis, trailing only Tesla. The firm's position in AMD is valued at more than $1 billion, accounting for 8.92% of its overall portfolio by weight. However, Wood has been actively trimming the holding in May and June. On Monday alone, she sold stock worth nearly $77.4 million.

Strategic Moves

The sale follows AMD's recent acquisition of MEXT, a company specializing in AI-driven memory optimization technology. This acquisition is intended to bolster AMD's data center and AI capabilities. Additionally, Ark Invest sold 186,304 shares of Strata Critical Medical Inc (SRTA) from the ARKQ fund and 209,342 shares from the ARKX fund.