Prediction: AMD Stock Will Jump 60% in 2026, Thanks to President Donald Trump

• AMD was getting a bully chunk of its gross from the Chinese marketplace earlier the U.S. government's export controls took effect successful April 2025.

• AMD volition soon beryllium allowed to merchantability precocious AI chips to Chinese customers, which should payment AMD's concern successful 2026.

• This could assistance AMD transcend Wall Street's maturation expectations adjacent year, which could nonstop the banal soaring.

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Advanced Micro Devices (NASDAQ: AMD) banal clocked stellar gains successful 2025, rising 78% this twelvemonth arsenic of this writing. However, caller trading suggests that immoderate investors are booking profits. AMD banal is down 19% since hitting a 52-week precocious connected Oct. 29.

This pullback could beryllium a buying accidental for investors looking to adhd a fast-growing institution that's benefiting from the adoption of artificial quality (AI). Additionally, a caller announcement by President Donald Trump, which volition let companies similar Nvidia (NASDAQ: NVDA), AMD, and Intel to merchantability their precocious AI chips to Chinese customers, is going to springiness AMD an further boost successful 2026.

Let's instrumentality a person look astatine AMD's catalysts for the caller twelvemonth and spot wherefore this banal has the imaginable to soar erstwhile again.

AMD's concern grew astatine a bully clip successful 2025. It is connected way to present $34 cardinal successful gross for the year, up 31% implicit 2024 revenue. It mightiness person been adjacent better, but AMD hasn't been capable to merchantability its chips into the Chinese marketplace since April, erstwhile the Trump medication imposed export controls connected income of precocious AI information halfway chips to that country.

As a result, AMD incurred an $800 cardinal inventory complaint successful the 2nd quarter. Moreover, the institution mislaid a important chunk of its gross watercourse acknowledgment to the Trump administration's move. That's due to the fact that China accounted for astir a 4th of AMD's 2024 gross of $25.8 billion, oregon astir $6.2 billion.

Despite the headwind, analysts expect a 20% summation successful the company's net for 2025 to $3.97 per share. Consensus estimates suggest that AMD's net could leap 62% adjacent twelvemonth to $6.46 per share. I deliberation it could extremity up doing overmuch amended than that.

Take Nvidia, for example. The Trump medication present allows Nvidia to merchantability its precocious H200 chips to Chinese customers. Nvidia was antecedently lone selling its downsized H20 chips successful China to comply with export regulations. Those chips were importantly cheaper and little almighty than Nvidia's flagship Hopper processor, the H200.