AMD Stock Jumps 3.8% as AI CPU Dominance Prompts Wells Fargo to Raise Price Target to $615

Dow Jones06-30 21:36

Advanced Micro Devices stock has surged this year, driven mostly by demand for the chip maker’s artificial-intelligence-optimized central processing units. Wall Street doesn’t expect that demand to slow down anytime soon and believes shares still have upside.

A Wells Fargo analyst team, led by Aaron Rakers, raised their AMD price target to $615 from $505 on Tuesday and maintained an Overweight rating on the shares.

Advanced Micro Devices stock moved 3.8% higher at $560.21 after ending Monday up 3.4%.

The basis for the price target hike, which implies 14% upside from the stock’s closing price on Monday, is that demand for central processing units, or CPUs, will continue to be sky high on the back of agentic AI momentum.

The firm forecasts AMD server CPU revenue in 2026 growing 68% to $16 billion. Wells Fargo expects server CPU sales growth between 22% and 28% in 2027 and 2028, respectively.

“We see further upside via agentic AI demand momentum—cloud and traditional enterprise modernization,” Rakers wrote.

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Comments

  • Dumasss
    07-01 19:56
    Dumasss
    I'm not understand it a T moment can u help me sell if u claim 
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