TD Cowen analyst Joshua Buchalter has reiterated a Buy rating on Advanced Micro Devices (AMD) stock with a $290 price target (33.5% upside potential). Importantly, the Top analyst named the chipmaker one of the firm’s “Best Ideas 2026.”
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Buchalter believes AMD is well-positioned to benefit from strong AI infrastructure spending, despite investor concerns about competition and market volatility. He also highlighted AMD’s new Helios rack-scale solution and MI450 accelerator as key catalysts that could accelerate AMD’s role in AI computing.
“Despite appropriate concerns, we believe AI compute spending will prove durable and AMD has cemented itself as a winner,” Buchalter said.
Here’s Why TD Cowen Is Bullish
Buchalter argues that AMD’s strong hardware, growing software ecosystem, and rising customer adoption make it a stock worth buying ahead of the Helios launch. Let’s take a look at the main reasons he remains positive on AMD stock.
- Attractive entry point: Following a recent sell-off, Buchalter sees AMD stock trading at less than 10x its 2030 estimated EPS, making it a good time to buy before the Helios launch.
- Hardware roadmap: AMD’s pipeline, including Helios and MI450, is expected to drive growth in AI compute. Also, progress in building out ROCm, AMD’s open‑source software ecosystem, strengthens its competitive position.
- Customer traction: Wins with major clients reinforce confidence in AMD’s ability to capture share in a large total addressable market (TAM).
- Earnings growth forecast: By Q4 2026, the analyst expects AMD’s EPS to exceed $10, roughly doubling year‑over‑year and quarter‑over‑quarter.
Is AMD a Buy or Sell Now?
Turning to Wall Street, AMD stock has a Moderate Buy consensus rating based on 28 Buys and 10 Holds assigned in the last three months. At $284.67, the average AMD price target implies a 31.07% upside potential.
