5-star analyst resets AMD stock price target

Advanced Micro Devices conscionable got a caller ballot of assurance from 1 of Wall Street's astir close banal pickers, adjacent arsenic the spot giant's shares took a beating aft earnings.

JPMorgan expert Harlan Sur raised his price people connected AMD (AMD) to $550 from $385 recently, according to a probe enactment reviewed by TradingView.

Sur ranks fig 15 retired of 12,453 Wall Street analysts tracked by TipRanks, with a 71% occurrence complaint and an mean instrumentality of 43.40% per rating.

Sur maintained his "Neutral" standing connected the banal adjacent arsenic helium raised the banal terms target.

He told investors that AMD delivered different beat-and-raise 4th compared to statement expectations, though the September 4th guidance landed modestly beneath what buyside investors were hoping for. 

The bigger story, successful his view, is what happens next.

AMD is portion of the AI megatrend

AMD is among the astir fashionable AI stocks globally. 

The institution makes Instinct, its lineup of AI accelerators that vie straight with Nvidia's GPUs, on with Epyc server processors that powerfulness overmuch of the world's unreality and endeavor computing.

Down astir 20% from all-time highs, AMD banal has returned implicit 300% successful the past 3 years.

In this period, AMD has accrued marketplace stock successful the AI spot segment, portion the CPU concern rides a 2nd question of request tied to AI agents. 

That combination, GPUs for grooming and inference positive CPUs to tally the agents astir them, is what Sur pointed to erstwhile helium raised his AMD banal terms target.

Sur's enactment said information halfway maturation is positioned to outpace wide AI infrastructure spending successful 2027 significantly. 

More Bank Stock Resets:

• Bank of America revamps AMD banal terms people for 2026

• Morgan Stanley resets Microsoft banal forecast up of earnings

• Goldman Sachs revamps SpaceX banal terms people for 2026

That's a notable call, since it suggests AMD's information halfway concern could turn faster than the broader AI buildout itself.

AMD CEO Lisa Su made a akin constituent connected the company's July net call, stating:

"We present expect information halfway conception gross to much than treble twelvemonth implicit twelvemonth successful 2027."

Su besides told analysts that some the server CPU concern and the AI accelerator concern are acceptable to beryllium large maturation drivers going forward, saying, "Both businesses are precise important drivers of our 2027 maturation and beyond."

AMD CEO Lisa Su is bullish connected AI demandLeon Neal/Getty Images

AMD banal sinks contempt statement beat

AMD's 2nd 4th results, reported successful aboriginal August, bushed statement estimates. According to a CNBC report, AMD posted:

• Adjusted net of $1.66 per stock versus the $1.62 expected.

• Revenue of $11.54 billion, supra estimates of $11.28 billion.

• Total gross climbed 50% from a twelvemonth earlier. 

• Data halfway sales, AMD's biggest maturation engine, jumped 107% twelvemonth implicit twelvemonth to $6.7 billion, driven by some CPU and GPU demand. 

• AMD forecast astir $13 cardinal successful 3rd 4th revenue, positive oregon minus $300 million. 

• That was up of the $12.52 cardinal analysts expected, but beneath the $14 cardinal immoderate had hoped for.