Home ยป AMD Faces Price Target Cut Amid AI Growth Concerns

AMD Faces Price Target Cut Amid AI Growth Concerns

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  • Jefferies downgrades AMD’s price target from $135 to $120, questioning expected AI growth.
  • Analysts forecast a potential upside of 55% based on an average target price of $144.77.
  • GuruFocus estimates a significant 75.86% upside with AMD’s GF Value placed at $164.25.

Advanced Micro Devices (AMD, Financial), a prominent player in the semiconductor industry, recently faced a lowered price target by Jefferies. The target was adjusted from $135 to $120, primarily due to projections of weaker-than-expected AI growth. While AMD continues to gain traction in the PC and server markets, Jefferies altered their rating from “Buy” to “Hold,” sparking inquiries into the company’s AI revenue forecasts for the years 2026 and 2027.

Wall Street Analysts’ Insight

According to data from 40 analysts, the average one-year price target for Advanced Micro Devices Inc (AMD, Financial) stands at $144.77, with projections ranging from a high of $225.00 to a low of $90.00. This average target suggests a robust upside of 55.00% from the current trading price of $93.40. Investors seeking more detailed estimate data can visit the Advanced Micro Devices Inc (AMD) Forecast page.

Consensus from 50 brokerage firms maintains an average recommendation for AMD at 2.3, indicative of an “Outperform” status. On their rating scale, 1 represents a “Strong Buy,” while 5 denotes a “Sell.”

GuruFocus Valuation Metrics

GuruFocus provides an estimated GF Value for AMD of $164.25 over the next year, reflecting a remarkable upside potential of 75.86% from the current price of $93.4. This GF Value is calculated based on historical trading multiples, the business’s past growth trajectory, and its anticipated future performance. Investors can explore more intricate data on the Advanced Micro Devices Inc (AMD, Financial) Summary page.