Advanced Micro Devices (AMD – Research Report), the Technology sector company, was revisited by a Wall Street analyst yesterday. Analyst Mark Lipacis from Evercore ISI maintained a Buy rating on the stock and has a $126.00 price target.
Mark Lipacis has given his Buy rating due to a combination of factors that highlight AMD’s strong growth potential. One key reason is the impressive growth in AMD’s data center GPU business, particularly with its Instinct line, which is expected to see a significant increase in revenue. This growth is driven by the adoption of AMD’s GPUs by major hyperscalers for inferencing workloads, partly due to a shortage of accelerators and improvements in AMD’s software stack.
Additionally, AMD’s server CPU segment is showing strong momentum, with the latest generation processors gaining market share and robust demand. The company’s client business is also performing well, particularly in higher-end market segments, contributing to above-seasonal growth. Overall, these factors, along with AMD’s revenue and earnings performance exceeding expectations, support the positive outlook and Buy rating from Mark Lipacis.
In another report released today, Barclays also maintained a Buy rating on the stock with a $110.00 price target.
AMD’s price has also changed moderately for the past six months – from $145.100 to $98.620, which is a -32.03% drop .