Nvidia Rival AMD Hits 52-Week Lows - Buying Opportunity Or More Pain Ahead?

Advanced Micro Devices Inc. AMD is taking a beating in 2025. The stock slid to a new 52-week low of $102.17 by 11 AM on Thursday.

AMD stock has plummeted 42.44% over the past year, down 15.06% year to date. It slipped another 2.17% on Feb. 27 as Nvidia Corp's NVDA blockbuster earnings reinforced its dominance in the AI chip race.

While AMD's data center business is growing, the stock's technical setup suggests the pain may not be over yet.

Read Also: Nvidia Shares Dip Despite Strong Q4 Earnings Beat, Record Revenue: What’s Going On?

Does AMD Stock Have More Downside Ahead?

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AMD's share price is trading below its five-day, 20-day and 50-day exponential moving averages, signaling strong selling pressure. The eight-day simple moving average (SMA) at $109.21 and the 20-day at $111.51 both sit well above AMD stock at $102.87, reinforcing the bearish trend.

The 50-day SMA at $117.70 and the 200-day SMA at $144.15 suggest AMD stock remains in a longer-term downtrend, struggling to find meaningful support. The Moving Average Convergence Divergence indicator at a negative 3.75 reflects accelerating downside momentum, while the Relative Strength Index at 31.80 shows the stock is nearing oversold territory.

What AMD Investors Should Watch For

Despite the stock's rough technicals, AMD remains fundamentally strong.

CEO Lisa Su expects double-digit growth in 2025, driven by server and GPU demand. The company has secured $14 billion in design wins, up over 25% year over year, positioning it for long-term success. However, challenges remain as the Embedded segment posted a 13% revenue decline, and Gaming revenue plunged 59% due to weakening console demand.

Wall Street is still bullish despite the sell-off, with a consensus price target of $157.33, implying a 53.48% upside from current levels.

The question is whether AMD stock can regain its footing or if the downward pressure will continue. Until the stock reclaims key moving averages, the trend remains bearish, and investors may want to wait for signs of a turnaround before making a move.

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