AMD Climbs 6.5% After Its Biggest Bond Sale Yet

Advanced Micro Devices climbed 6.5% on Friday to close at $514.39, a day after the chipmaker priced the largest bond sale in its history. The $4.75 billion note offering drew heavy demand, and shares of AI-linked chipmakers rose broadly into the weekend. Buyers wanted in.

A $4.75 billion deal, more than triple its last

AMD sold the notes on Thursday across four maturities: $1.25 billion at 4.600% due 2029, $1.5 billion at 5.000% due 2031, $1 billion at 5.250% due 2033, and $1 billion at 5.500% due 2036. In its prospectus, the company said it will use the proceeds for general corporate purposes, which may include repaying debt. All four series settle Monday.

The size is what stands out. At $4.75 billion, the sale is more than triple the $1.5 billion AMD raised in its last bond offering, in March 2025, and ranks as its largest on record. Demand ran deep enough that the company tightened pricing on its longest-dated bonds from where the talk began, letting it borrow more cheaply than the early guidance implied. Investment-grade borrowers have found a willing market this year as companies rush to fund data-center and computing capacity.

The deal also adds to AMD’s debt. Coverage of the offering noted the company has carried relatively little borrowing for its size, so a raise of this scale is a clear step up in leverage. AMD gains financial firepower now and takes on years of scheduled interest in return.

The stock’s move tracked a broader bid. AI-related chip and hardware names rose across the board on Friday, lifted by upbeat results and forecasts from firms tied to data-center construction. AMD, one of the larger names in that group, went along for the ride.

Still 11% below its spring high

Even after Friday’s gain, AMD sits 11.5% under its highest close of the past 90 days, at $580.91. The stock is up 2.7% over the past 30 days and has more than doubled off its 90-day low of $221.53. That low and high mark a wide band. The range spans more than 160% from bottom to top, and Friday’s close landed in its upper third. Turnover, by contrast, was unremarkable: about 25.6 million shares changed hands, below the 20-day average of 28.8 million. The 6.5% jump came on ordinary volume rather than a surge in trading.

That combination matters. A large single-day gain on light volume can reflect a repricing by existing holders as much as a rush of new money. The bond sale handed the market a concrete read on AMD’s cost of capital, and the stock responded.

What settles Monday

The four series of notes settle Monday, the day AMD receives the cash. The coupons are now fixed. They range from 4.600% on the 2029 notes to 5.500% on the 2036 notes, with the last tranche running out to 2036. How the money is deployed, whether toward repaying existing debt, funding operations, or holding short-term investments, will show up in the company’s coming financial filings. The prospectus commits the proceeds only to general corporate purposes.

This is a general-market summary for information only — not investment advice, and not a recommendation regarding any security.