Advanced Micro Devices, Inc.’s New Natural and Human Disruptions Risk – A Cause for Worry?

Advanced Micro Devices, Inc. (AMD) has disclosed a new risk, in the Natural and Human Disruptions category.

Advanced Micro Devices, Inc. (AMD) faces significant business risks due to climate change, with the potential for natural disasters to disrupt key operations in vulnerable regions. Increased frequency and intensity of events like earthquakes, wildfires, and extreme weather could lead to manufacturing delays, supply chain interruptions, and heightened litigation and operational costs. Insurance coverage may not fully mitigate these risks, as policies often contain exclusions and high deductibles. Furthermore, AMD could incur additional costs from new climate-related regulations and indirect expenses passed on by suppliers adjusting to these changes, potentially harming the company’s financial health and operational stability.

Overall, Wall Street has a Strong Buy consensus rating on AMD stock based on 28 Buys and 6 Holds.

To learn more about Advanced Micro Devices, Inc.’s risk factors, click here.