Mizuho has raised price target for Advanced Micro Devices (NASDAQ:AMD) to $275 from $205 while maintaining a bullish Outperform rating.
The semiconductor company rose over 2% to $219.57 on Monday. Overall, the stock has gained nearly 84% so far this year, outperforming the 11% rise in the broader S&P 500 Index.
Mizuho’s increase in the PT comes after AMD’s recently announced high-profile deal with OpenAI to roll out AI infrastructure that is expected to deliver tens of billions of dollars in revenue for AMD.
The new price target implies an upside of nearly 28% to AMD’s last close of $214.90.
The brokerage projects about $14 billion in incremental revenue for AMD in fiscal 2027 and up to near $22 billion per year by fiscal 2030.
The firm also raised its fiscal 2027 revenue forecast by 26% above consensus and expects EPS to double to near $11 by 2027-2028. However, Mizuho noted that OpenAI funding risks remain a concern.
Seeking Alpha analysts, Wall Street and Seeking Alpha’s Quant rating are all bullish on AMD and consider the stock a Buy and above.
Mizuho also raised its price target for Nvidia (NVDA) to $225.