Unlock 15%+ Returns with AMD Options Strategy

AMD's stock has potential for a 15% return through selling options, according to a finance expert. The company's chip juggernaut has made it a high-yielding asset. Selling options on AMD's stock could provide a higher return than traditional investments like utilities.

Advanced Micro Devices Inc. (AMD) has emerged as a high-yielding asset for investors, with the potential for a 15% return through selling options, according to a finance expert. The company's chip juggernaut has seen a series of positive developments that have bolstered its prospects, making it an attractive option for those seeking higher returns than traditional investments like utilities.

AMD has been making significant strides in the AI-chip market, with a recent partnership with Saudi Arabian AI startup Humain to build a $10 billion AI-computing infrastructure over five years [3]. This deal could significantly boost AMD's role in the AI-chip market, positioning the company for growth. Additionally, AMD has authorized a fresh $6 billion in share buybacks, signaling confidence in its long-term strategy [1].

The company's stock has been under pressure for some time, losing about 18% in 2024 as investors questioned its ability to catch up to Nvidia (NVDA) in the AI-GPU race. However, AMD's fiscal-first-quarter earnings in May 2025 exceeded expectations, with adjusted earnings per share of 96 cents and revenue of $7.44 billion, beating Wall Street's expectations [3]. The company's data center segment reported $3.7 billion in sales, up 57% year over year.

AMD's stock has rallied nearly 31% over the past month, remaining down 7.2% year-to-date. Analysts at Bank of America have reiterated a buy rating on AMD shares, with a price target of $130, indicating 14.5% upside from recent levels [3]. The investment firm expects AMD to highlight a lineup of AI partners and products at its June 12 event, including accelerators, systems, software, CPUs, and networking.

Selling options on AMD's stock could provide a higher return than traditional investments. According to a finance expert, the company's stock has potential for a 15% return through options trading. This strategy allows investors to benefit from the stock's price movements without having to own the underlying asset, potentially providing higher returns than traditional investments.

References:
[1] https://www.benzinga.com/25/05/45581873/top-amd-exec-bets-nearly-1-million-on-stocksignals-confidence-amid-buybacks-easing-tariffs-and-saudi-deal
[2] https://finance.yahoo.com/news/nintendo-ntdoy-tag-teams-samsung-201949322.html
[3] https://www.thestreet.com/investing/bank-of-america-sends-strong-message-on-amd-stock-ahead-of-key-ai-event