AMD Tops $600, But Meta's 160 Million Share Warrant Isn't Fully Vested

Insider Monkey··US·Read original
3▲1 ▼0Impact / 5
Summary · why it matters

Advanced Micro Devices stock climbed above $600, pushing its market capitalization past $1 trillion and crossing a key stock-price threshold tied to its warrant agreement with Meta Platforms, though the move does not immediately unlock Meta's full 160 million shares. According to AMD's February 2026 SEC filing, Meta's warrant gives it the right to purchase up to 160 million AMD shares at $0.01 per share, with vesting requiring three simultaneous conditions: GPU purchase milestones starting after 1 gigawatt is shipped and reaching full vesting at 6 gigawatts purchased, rising stock-price thresholds that reach $600 for the final tranche, and unspecified technical and commercial conditions AMD did not disclose. Meta and OpenAI each hold warrants for up to 160 million shares, and some reports have incorrectly combined the two agreements into a 320-million-share giveaway; the combined 320 million shares would increase AMD's current share count by roughly 20% if both warrants are fully exercised. AMD's latest filing said no Meta or OpenAI warrant shares had vested as of June 27, with shipments only starting to ramp in the second half of 2026 and full vesting requiring Meta to purchase the entire 6-gigawatt commitment over multiple years. CFO Jean Hu has argued the arrangement will still be accretive to non-GAAP EPS after the warrants are included, because each gigawatt is expected to produce double-digit billions in revenue.

Impact on assets 2

Artificial Intelligence▲ · 1 stocks
Advanced Micro Devices Inc
AMD
▲ PositiveDemandCapitalrelevance

Meta's warrant vests on GPU purchase milestones up to 6 gigawatts, tying AMD's AI chip demand to the agreement.

Spatial Computing / AR/VR▲ · 1 stocks
Meta Platforms Inc.
META
± MixedDemandrelevance

Meta holds a warrant for up to 160 million AMD shares requiring it to purchase 6 gigawatts of GPUs, but no shares have vested as of June 27.

Off-coverage companies 1

OpenAIPrivate± Mixed
Demandrelevance

OpenAI holds a separate warrant for up to 160 million AMD shares, but no OpenAI warrant shares had vested as of June 27.

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