AMD’s (NASDAQ: AMD) August 4 earnings report signaled growing confidence in the company’s artificial intelligence (AI) growth trajectory, prompting market analysts to revisit their AMD stock price targets despite falling share prices.
Notably, Truist raised its AMD share price target to $594 from $478, reiterating its ‘Buy’ rating on improving product performance, accelerating customer demand, and strong execution, all of which support a strong long-term outlook.
The brokerage also noted the company’s updated data center forecast, with management now expecting the segment to more than double by 2027, supported by expanding AI deployments and growing customer commitments.
Reflecting that optimism, Truist likewise increased its 2027 earnings-per-share (EPS) estimate to $14.49 from $10.61. The new price target is based on a 41-times earnings multiple, which the firm said is consistent with other leading data center and semiconductor companies.
Bernstein increases its AMD price target
Bernstein has also raised its price target on AMD, lifting it from $600 to $650 and maintaining an ‘Outperform’ rating.
The firm cited AMD’s third-quarter revenue guidance of $13 billion, which beat Wall Street’s consensus estimate of $12.5 billion.
For now, Bernstein expects the upside to be driven primarily by AMD’s data center and embedded businesses, the former now being projected to reach roughly $8.1 billion, exceeding the Street estimate of $7.7 billion.
In addition, the brokerage highlighted AMD’s guidance for server CPU revenue growth, which sees it rising by more than 80% year over year in the second half of 2026. Similarly, management further expects total data center revenue to grow by well over 100%.
KeyBanc reiterates its ‘Overweight’ AMD stock rating
At the same time, KeyBanc has reaffirmed its ‘Overweight’ rating on AMD while maintaining its $725 price target, which nonetheless implies roughly 40% upside.
KeyBanc said AMD’s second-quarter results and third-quarter guidance came in slightly above consensus, supported by continued strength in its data center business.
According to the firm, data center revenue increas was driven by server CPU growth of more than 70%. It also estimated that AI GPU revenue reached approximately $2.9 billion – 190% annual growth.
The brokerage also highlighted AMD’s outlook for the second half of 2026 and 2027, particularly across its data center, server CPU, and Helios platforms.
However, despite the optimistic long-term outlook, KeyBanc also warned that both second-quarter results and third-quarter guidance fell short of the market’s highest expectations.
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