HSBC upgrades AMD, doubles target on AI revenue upside

HSBC upgraded AMD (AMD) to Buy from Hold and double it price target on the shares $200, up from $100. The firm turned bullish as it believes AMD’s artificial intelligence graphics processing unit pipeline will surprise with higher than expected pricing premium for MI350. AMD has caught up to Nvidia’s (NVDA) Blackwell with MI350, the analyst tells investors in a research note. HSBC thinks there could be “significant upside” to AMD’s fiscal 2026 AI revenue as its revised forecast of $15.1B is 57% above the consensus forecast of $9.6B, driven by a higher pricing premium of recently launched MI350 series. The firm is also encouraged by AMD’s MI400 rack architecture to be launched in 202 but says it remains too early to be quantified.