Why Analysts Say They're Bullish on AMD Stock After AI Event Disappointed

Group 1 - Advanced Micro Devices (AMD) disappointed investors during its Advancing AI event, leading to a 4% drop in shares, although some recovery was noted with a 2% gain the following day [1][2] - Analysts from Jefferies remain optimistic about AMD's growth prospects, believing that the new AI chips could drive stock gains despite the lack of new partnerships or raised outlooks [1][2] - Bank of America analysts indicated that AMD's latest GPU, the Instinct MI325X, is a year behind Nvidia's latest offering, with no immediate catalysts to change this competitive dynamic [2] Group 2 - Jefferies analysts suggested that AMD's upcoming MI350 GPU, expected next year, could compete more effectively with Nvidia's Blackwell, indicating that AMD is currently trailing Nvidia [2] - Despite the competitive landscape, Jefferies maintained a "buy" rating for AMD with a price target of $190, representing a 13% premium over the recent closing price of $167.89 [2] - A consensus among analysts shows that approximately 75% of the 17 analysts tracked by Visible Alpha hold "buy" or equivalent ratings for AMD, with a consensus price target of $192.13 [2]