AMD shares rose in the past week and appear on track to reach $275 by the end of January, driven by expanding enterprise partnerships and recent AI product updates. Investors pushed the stock higher after new software and deal announcements on U.S. markets.
On Thursday, AMD released its Adrenalin 26.1.1 driver, which included an AI bundle to simplify setup for systems using Ryzen CPUs and Radeon GPUs. The company claims the bundle installs all required AI resources with one click, and the update lifted shares about 2% that day.
Recent enterprise deals name Tata Consultancy Services (TCS), HPE, Oracle, Google, Microsoft, Alibaba, and IBM. The agreement with Tata Consultancy Services aims to combine TCS’s global services with AMD computing and AI products to build industry-specific and generative AI solutions.
Analysts point to Venice EPYC as a likely driver of CPU market-share gains and improved margins. (Ed. note: It is built on TSMC’s 2 nm process.)
Over the past nine months, AMD stock has climbed more than 200% from early-April lows. KeyBanc reaffirmed an “Overweight” rating and set a $270 price target, while Bernstein raised its target from $200 to $225.
Firms note deals with OpenAI and Oracle have boosted investor optimism. Despite competition from Intel and Arm Holdings, several Wall Street firms view AMD as an alternative to Nvidia.
