New AMD Price Target as Earnings Estimates Grow
Advanced Micro Devices is turning heads on Wall Street with earnings on the horizon.
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On June 12, which is about a month ago, I wrote to our readers that Bank of America analyst Vivek Arya, who is rated at five stars out of five by TipRanks, reiterated his “buy” rating on Advanced Micro Devices (AMD) while increasing his target price from $500 to $560.
Last week, Arya reiterated his “buy” on the name. A couple of days ahead of Arya’s target change, Citigroup analyst Atif Malik (also rated at five stars) upgraded AMD to a “buy” rating from “neutral” while also increasing his target price from $460 to $575. They both nailed those calls. The stock traded as high as $584 on June 30. That said, the share price has come in a bit since.
Last week, Ruben Roy (five stars) of Stifel Nicolaus was assigned AMD by his firm. He promptly rated AMD a buy and increased his firm’s target price from $475 to $635. Roy is one of the best of the best. Over the past two years, he has a 79% success rate and has generated an average return of 111.1%. On Monday morning, another of Wall Street’s superstars showed increased confidence in Lisa Su’s operation.
TD Cowen’s Joshua Buchalter reiterated his “buy” rating on AMD while raising his target price from $600 to $675. Buchalter sees major AI product launches in the second half of 2026 that could advance share trajectories. Buchalter believes CPU demand will remain positive, bolstered by agentic AI. Buchalter, by the way, runs with a success rate of 77% and an average return of 68.9% over the past two years. Not exactly chopped liver.
Earnings
Advanced Micro Devices will go to the tape with the firm’s second quarter financial results in about three weeks’ time. Wall Street is currently looking for an adjusted EPS of $1.61 on revenue of roughly $11.3 billion. That would compare well to $0.48 for the year-ago period on sales growth of about 47%. Wall Street is looking for full-year 2026 sales growth of 43% and full-year 2027 sales growth of 56%. The beat (literally) goes on. Of the 40 sell-side analysts that I know to cover AMD, 36 have increased their earnings estimates since the start of Q2, while just one analyst has cut that estimate. Three have apparently sat on their hands.
The Chart
Readers will see that AMD did try to break down from the rising-wedge pattern of bearish reversal that we discussed a month ago. The stock, so far, has found support at the 23.6% Fibonacci retracement level of the late march through late June rally. The shares have waffled around their 21-day EMA, which implies that the swing crowd is mixed on what to do here.
What do I think I’ll do? Add small here at the 21-day line. If it holds, groovy. If it doesn’t, I can always retreat to the 50-day SMA, currently at $486. That’s where I would think the professional money will defend this name. To convince the “singers,” the daily MACD would have to see the 12-day EMA cross over the 26-day EMA (they’re close) and this histogram of the nine-day EMA go positive (also pretty close).
Advanced Micro Devices (AMD)
Target Price: $700 (up from $588)
Pivot: Recent high ($584)
Add: At the moving averages
Panic: loss of 50-day SMA
Note: CJ Muse (five stars) of Cantor Fitzgerald currently has a $700 target on AMD.
At the time of publication, Guilfoyle was AMD equity.
