Bank of America Securities analyst Vivek Arya has reiterated their bullish stance on AMD stock, giving a Buy rating yesterday.
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Vivek Arya’s rating is based on a combination of factors that suggest a positive outlook for Advanced Micro Devices (AMD). The company is well-positioned in the CPU and GPU markets, with potential resumption of AI shipments to China in the second half of the year, which could significantly boost revenues. Additionally, AMD is experiencing stronger than expected pricing for its current-generation MI355X GPUs, and there is continued strong demand for AI and GPU products, particularly in the cloud sector.
Furthermore, AMD’s competitive position is expected to improve as it gains market share in the CPU sector, potentially reaching over 30% by 2026. This is supported by Intel’s focus on profitability and manufacturing uncertainties, which provide AMD with an opportunity to capture more market share. The company’s financial outlook is also promising, with expected sales and earnings per share exceeding consensus estimates. These factors contribute to Arya’s Buy rating and the increased price objective of $200.
According to TipRanks, Arya is a 5-star analyst with an average return of 19.2% and a 63.71% success rate. Arya covers the Technology sector, focusing on stocks such as Advanced Micro Devices, Nvidia, and Analog Devices.
In another report released yesterday, UBS also maintained a Buy rating on the stock with a $210.00 price target.