South Korea’s AI ambitions are driving Upstage to consider a major purchase of Advanced Micro Devices Inc. (NASDAQ:AMD) chips as it seeks to diversify beyond Nvidia hardware.
Upstage Deal Expands AI Footprint
The company is in talks with Korean AI startup Upstage to sell 10,000 AI accelerators, as the startup seeks to expand computing capacity in South Korea.
Upstage CEO Sung Kim said he discussed purchasing AMD’s MI355 chips during a recent meeting with AMD CEO Lisa Su in Seoul, noting the company aims to diversify beyond its current reliance on Nvidia Corp. (NASDAQ:NVDA) hardware, Bloomberg reported on Monday.
Upstage is also participating in a government-backed competition to develop national AI models, where top teams receive greater access to Nvidia GPUs.
Technical Analysis
AMD is trading 1.5% above its 20-day SMA but 10.4% below its 100-day SMA, highlighting a short-term bounce attempt within a still-damaged intermediate trend. Shares are up 76.84% over the past 12 months, and the stock is positioned closer to its 52-week highs than lows.
The RSI is at 48.83, in neutral territory, suggesting the recent rebound hasn’t yet turned into a momentum breakout. Meanwhile, MACD is at -3.3598, while the signal line is at -4.6158, a bullish configuration that points to improving upside pressure, even though the MACD remains below zero.
RSI in the 30–50 range with bullish MACD indicates momentum leaning bullish.
- Key Resistance: $220.00
- Key Support: $190.50
Earnings & Analyst Outlook
Looking further out, the next major catalyst for the stock arrives with the May 5, 2026 (estimated) earnings report.
- EPS Estimate: $1.18 (Up from 96 cents YoY)
- Revenue Estimate: $9.85 Billion (Up from $7.44 Billion YoY)
- Valuation: P/E of 77.1x (Indicates premium valuation relative to peers)
Analyst Consensus & Recent Actions: The stock carries a Buy Rating with an average price target of $284.63. Recent analyst moves include:
- RBC Capital: Sector Perform (Maintains Target to $230.00) (Mar. 16)
- Goldman Sachs: Neutral (Raises Target to $240.00) (Feb. 25)
- RBC Capital: Sector Perform (Maintains Target to $230.00) (Feb. 25)
Top ETF Exposure
- iShares Semiconductor ETF (NASDAQ:SOXX): 6.51% Weight
- ARK Next Generation Internet ETF (NYSE:ARKW): 7.37% Weight
- Invesco PHLX Semiconductor ETF (NASDAQ:SOXQ): 6.67% Weight
Significance: Because AMD carries such a heavy weight in these funds, any significant inflows or outflows will likely trigger automatic buying or selling of the stock.
Price Action
AMD Price Action: Advanced Micro Devices shares were down 2.00% at $197.30 during premarket trading on Monday, according to Benzinga Pro data.
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