JHVEPhoto
- AMD (NASDAQ:AMD) shares rose nearly 6% on Tuesday after investment firm CFRA upgraded the Dr. Lisa Su-led company, citing upcoming products and sales.
- “Our upgrade reflects several factors,” analyst Angelo Zino wrote in a note to clients. “First, we see AMD closing the competitive gap to NVIDIA (NVDA) in 2026 as it launches the MI400x and prepares to shift to rack-scale solutions, with the ZT deal complete, offering GPU sales upside. We see an expanding customer base for AMD’s accelerators (e.g., Oracle, OpenAI) while the company is also making progress with its open-source AI software stack (ROCm).”
- Zino, who raised his rating to Strong Buy from Buy and upped his price target to $165 from $125, added that the GPU server market is expected to see a sharp recovery, starting in the fourth-quarter, which should benefit AMD.
- Lastly, sovereign AI opportunities and a potential scenario where AMD returns to China are also positives, Zino added.
More on Advanced Micro Devices
- AMD Unifies Global Infrastructure Amid Expanding AI Demand
- AMD: A Tale Of Two Camps
- AMD: Push Into AI And New-Gen GPU’s Gains Steam As Options Turn Bullish
- AMD in focus as Melius upgrades, citing inferencing potential
- Gainers & Losers in tech sector this week: Jabil gains while Enphase Energy declines