AMD Stock Rating Updates and Future Outlook
Written by Emily J. Thompson, Senior Investment Analyst
Updated: 5h ago
0mins
Source: Yahoo Finance
- Rating Adjustments: UBS lowered AMD's price target from $330 to $310 while maintaining a Buy rating, highlighting AMD's outperformance against peers like Broadcom and Nvidia in 2023, indicating strong market competitiveness.
- Earnings Outlook: Despite a $1 billion cut in the gaming business, analysts believe AMD's CPU and GPU fundamentals remain strong, with projections of over $11 EPS by 2027 and more than $15 by 2028, showcasing long-term growth potential.
- Truist Rating Upgrade: Truist raised AMD's price target from $277 to $283, keeping a Buy rating and recommending investors buy on weakness, emphasizing the strength of the company's long-term growth narrative.
- Market Positioning: As a global semiconductor company focused on high-performance computing and graphics technologies, AMD's innovations drive the future of data centers, embedded systems, gaming, and PC markets, although some AI stocks may offer greater upside potential.
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Analyst Views on AMD
Wall Street analysts forecast AMD stock price to rise over the next 12 months. According to Wall Street analysts, the average 1-year price target for AMD is 284.10 USD with a low forecast of 200.00 USD and a high forecast of 377.00 USD. However, analyst price targets are subjective and often lag stock prices, so investors should focus on the objective reasons behind analyst rating changes, which better reflect the company's fundamentals.
36 Analyst Rating
27 Buy
9 Hold
0 Sell
Strong Buy
Current: 192.500
Low
200.00
Averages
284.10
High
377.00
Current: 192.500
Low
200.00
Averages
284.10
High
377.00
About AMD
Advanced Micro Devices, Inc. is a global semiconductor company. The Company is focused on high-performance computing, graphics and visualization technologies. Its segments include Data Center, Client and Gaming, and Embedded. Data Center segment includes artificial intelligence (AI) accelerators, microprocessors (CPUs) for servers, graphics processing units (GPUs), accelerated processing units (APUs), data processing units (DPUs), Field Programmable Gate Arrays (FPGAs), smart network interface Cards (SmartNICs) and Adaptive system-on-Chip (SoC) products for data centers. Client and Gaming segment includes CPUs, APUs, chipsets for desktops and notebooks, discrete GPUs, and semi-custom SoC products and development services. Embedded segment includes embedded CPUs, GPUs, APUs, FPGAs, system on modules (SOMs), and Adaptive SoC products. It markets and sells its products under the AMD trademark. Its products include AMD EPYC, AMD Ryzen, AMD Ryzen PRO, Virtex UltraScale+, and others.
About the author
Emily J. Thompson
Emily J. Thompson, a Chartered Financial Analyst (CFA) with 12 years in investment research, graduated with honors from the Wharton School. Specializing in industrial and technology stocks, she provides in-depth analysis for Intellectia’s earnings and market brief reports.
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- Monthly Investment Potential: By investing $500 monthly, investors could grow their investment to $1 million in 25 years, even if the annual return reverts to a modest 12.2%, demonstrating the sustainability and appeal of long-term investing.
- Contributions from Industry Leaders: Micron, AMD, and Nvidia account for 23.6% of the ETF's portfolio weight, providing high-bandwidth memory and graphics processing units that have driven historical returns, underscoring their importance in the AI and cloud computing sectors.
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