TD Cowen analyst Joshua Buchalter has reaffirmed his bullish stance on Advanced Micro Devices (NASDAQ: AMD), reiterating a ‘Buy’ rating and maintaining a $290 price target.
The target implies a potential rally of nearly 20% from AMD’s current price of $242.
The update follows an investor call featuring AMD CFO Jean Hu and CVP of Financial Strategy & IR Matt Ramsay, during which management outlined the company’s AI roadmap, total addressable market assumptions, and long-term growth expectations.
Buchalter remains constructive on AMD’s position in the accelerating AI market, despite ongoing execution challenges.
According to the analyst, AMD is targeting more than 60% compound annual growth in its Data Center business, driven largely by AI-related demand.
The company is also projecting over 35% total revenue growth over the next three to five years, with Data Center as the primary growth engine.
Meanwhile, AMD expects more than 10% growth in its core segments, including client computing, gaming, and embedded products.
Buchalter noted that AMD’s AI total addressable market includes GPUs, CPUs, and server-side accelerators such as DPUs and NICs, underscoring the firm’s multi-layered approach to the AI computing stack.
He also pointed to AMD management’s conservative financial posture and internal flexibility as key strengths as the company navigates a rapidly evolving market.
Wall Street bullish on AMD stock price
Beyond TD Cowen, other Wall Street analysts are also bullish on AMD’s stock. Benchmark reiterated its ‘Buy’ rating with a $325 price target, citing stronger revenue growth expectations and rising data-center market share driven by AI demand.
Cantor Fitzgerald maintained an ‘Overweight’ rating and $350 target, pointing to AMD’s long-term model forecasting revenue growth above 35% annually with solid margins through the decade.
Truist Securities likewise held its ‘Buy’ rating, highlighting AMD’s potential to expand earnings at a 45% annual pace through 2030. Stifel also maintained a ‘Buy’ and $280 target, commending AMD’s strategy centered on technology leadership and software investments.
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