Advanced Micro Devices (AMD) saw its stock decline on Friday following the announcement of its Threadripper Pro 9000 WX-Series CPUs pricing. The next-generation Zen 5 processors will kick off at a whopping $1,649 and reach an eye-watering $11,699, set to hit the market on July 23.

Investors' Sticker Shock: Is This Just for Pros?

While the staggering price tags might cause sticker shock, these powerful CPUs are not aimed at the average consumer. The Threadripper Pro line is specifically engineered for professionals, particularly in demanding fields such as software rendering and artificial intelligence (AI). For regular users looking for potent computing solutions, AMD is expected to roll out more budget-friendly Threadripper options without the Pro label, although pricing for these models is still under wraps.

AMD Stock: A Mixed Bag with Analyst Insight

On the trading floor, AMD stock slipped 1.57% in pre-market activity, although it has rallied 30.81% year-to-date and 5.83% over the last year. This week hasn’t been all bad for the company, as it received a flurry of analyst updates ahead of its anticipated earnings report in early August and following the lifting of an AI chip export ban to China.

Analysts have chimed in with varying price targets: Bank of America’s Vivek Arya maintained a Buy rating, elevating his target from $130 to $175; Mizuho’s Vijay Rakesh also upgraded to Buy, lifting his target to $175 from $152; and Wells Fargo’s Aaron Rakers raised his target to $185 from $120.

Where Does AMD Stand Now?

The analyst consensus on AMD leans toward a Moderate Buy, supported by 25 Buy ratings and 10 Holds over the last three months. The average price target stands at $141.87, reflecting a potential downside of about 9.88% for investors.

As AMD navigates through fluctuating stock prices and high-stakes technology investments, the upcoming Threadripper release might be just the beginning of a thrilling chapter in the semiconductor saga.