Top KeyBanc analyst John Vinh reiterated a Buy rating on Advanced Micro Devices (AMD) stock and kept his $270 price target ahead of the company’s fourth-quarter 2025 earnings, due after the market closes on Tuesday, February 3. The five-star analyst expects stronger Q4 results and higher guidance, driven by solid server demand and growing momentum in AI.
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Top Analyst Is Upbeat About AMD Stock
Vinh said demand for AMD’s server CPUs remains very strong, helped by its latest-generation Turin chips. According to the analyst, large cloud customers are already locking in capacity for 2026, and AMD is close to being sold out of server CPUs through the end of that year.
Because of this tight supply, Vinh said AMD is considering price increases of around 10% to 15%, which could further support revenue and margins.
On the AI side, Vinh said revenue visibility is improving. He expects AMD’s AI GPU revenue to reach $14 billion to $15 billion in 2026, supported by rising shipments of its MI300-series successors.
Looking ahead, Vinh expects better results and stronger guidance. He forecasts fourth-quarter revenue of $9.75 billion and EPS of $1.36. Both are above Wall Street estimates. For the first quarter of 2026, he expects revenue of $9.75 billion and EPS of $1.35.
What Investors Are Watching as Q4 Approaches
Vinh said sentiment on AMD is mixed. Bulls highlight strong server CPU demand and steady progress in AI, while bears worry about GPU volumes and tough competition from Nvidia (NVDA).
Looking ahead, he said investors will be focused on three things:
- the production timeline and customer commitments for AMD’s MI455 and Helios systems
- updates on AI revenue growth in 2025 and 2026, and
- supply and demand trends in the traditional server market.
Is AMD Stock a Buy, Sell, or Hold?
Turning to Wall Street, the analysts’ consensus rating for AMD is Strong Buy, based on 26 Buy and eight Hold ratings over the past three months. With that comes an average AMD stock price target of $284.29, representing a potential 22.58% upside for the shares.
