Joshua Buchalter, an analyst from TD Cowen, maintained the Buy rating on Advanced Micro Devices (AMD – Research Report). The associated price target was lowered to $110.00.
Joshua Buchalter has given his Buy rating due to a combination of factors influencing Advanced Micro Devices (AMD). Despite facing challenges such as company-specific issues and broader negative sentiment in the compute sector, AMD is poised for potential growth. The upcoming launch of the MI355X mid-year is anticipated to drive momentum in their data center GPU segment, which could positively impact the stock. Furthermore, AMD’s valuation at approximately 13 times the estimated 2026 earnings presents an attractive opportunity for investors considering potential traction in the data center GPU market.
Additionally, while broader tariff impacts are a concern, AMD remains focused on its strategic roadmap. The company aims to capture value in the evolving AI sector and position itself as a viable alternative to NVIDIA. The planned AI cluster by Oracle, using AMD’s MI355X, is seen as a positive indicator of AMD’s ability to drive adoption and gain market share. The maturation of AMD’s ROCm software and the development of a competitive rack-scale platform are also critical factors that could enhance AMD’s competitive positioning in the future.
Buchalter covers the Technology sector, focusing on stocks such as Nvidia, Advanced Micro Devices, and Intel. According to TipRanks, Buchalter has an average return of -21.5% and a 14.66% success rate on recommended stocks.