UBS raised its price target on Advanced Micro Devices and reiterated a buy rating after the chipmaker's AI Day, calling for further gains in a stock that has already more than doubled this year. The bank pointed to AMD's raised forecast for the AI accelerator market and its chip roadmap.
UBS raised its price target on AMD to $730 from $700, a move that implies 35% upside from Thursday's close, and kept its buy rating on the semiconductor maker. Analyst Timothy Arcuri lifted the target on a view that AMD's 2028 earnings could approach $30 a share, citing the company's roadmap and commentary from its AI Day.
AI Day resets the market forecast
At "Advancing AI 2026," its investor event held this week in San Francisco, AMD said it expects the AI accelerator market to reach roughly $1.4 trillion by 2030, a major upward revision from its earlier forecast of $500 billion by the end of 2028. The company added that it expects its graphics processing units to make up the vast majority of that market.
That forecast follows a steep run in the share price. AMD stock is up 152% year to date. It has jumped 55% over the past three months as demand for its chips grows alongside the AI boom. The company reportedly controls nearly half of the data center central processing unit market, a share that could grow through its deals with Microsoft Azure, Meta Platforms and OpenAI.
New AI partnerships deepen the Nvidia rivalry
The chipmaker also used the moment to expand its reach in AI hardware. It announced deals with Anthropic and OpenAI and launched its new Helios systems, deploying its Instinct MI450-series GPUs in Anthropic's systems. Its investment commitment to Anthropic could reach up to $5 billion, positioning AMD as a competitor to Nvidia.
UBS' view lines up with the broader Wall Street consensus. Of the 54 analysts covering AMD, 45 rate it a buy or strong buy, according to LSEG data.
Sources: CNBC, Crypto Briefing (snippet-based)
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