Wall Street analyst predicts 50% upside for this Nvidia rival

Group 1 - Bernstein has raised its price target on Advanced Micro Devices (AMD) to $140 from $95, reflecting a 47.4% increase from previous projections, despite the current share price being $153.48 [1][4] - The stock was down 2.2% at the time of reporting but remains up 27% year-to-date [1][3] - Bernstein analyst Stacy Rasgon maintained a 'Market Perform' rating, citing elevated investor expectations and potential risks in the client segment [3][5] Group 2 - Rasgon highlighted a near-term boost from AI demand in China and the anticipated launch of the MI350 accelerator, which could enhance earnings momentum [3][4] - For Q2 2025, Bernstein forecasts revenue of $7.52 billion and earnings of $0.49 per share, with Q3 2025 estimates at $8.43 billion in revenue and $1.20 EPS, exceeding previous estimates [4][5] - Full-year 2025 estimates have been raised to $32 billion in revenue and $3.89 per share in EPS [4] Group 3 - The upcoming MI450, AMD's first rack-scale AI solution, is viewed as a long-term catalyst to close the performance gap with Nvidia, boosting investor optimism [5] - Broader Wall Street sentiment remains cautious, with a consensus of 35 analysts rating AMD as a 'Moderate Buy' [6] - The average 12-month price target among analysts is $145.90, indicating a 4.78% downside from current levels [8]