AMD Stock Target Lifted to $270 by TD Cowen After Landmark OpenAI Deal

Group 1 - Advanced Micro Devices, Inc. (AMD) is recognized as a significant player in the AI sector, with TD Cowen reiterating a "Buy" rating and raising the price target from $195 to $270 per share, indicating potential upside from AMD's partnership with OpenAI [1] - A recent deal with OpenAI allows the latter to purchase billions of dollars' worth of equipment to enhance AI capabilities, and in return, OpenAI may acquire a 10% stake in AMD [2] - The partnership with OpenAI is seen as a validation of AMD's role in the AI compute total addressable market (TAM), alongside competitors like NVIDIA, despite the need for further proof of actual deployments [3] Group 2 - While AMD shows potential as an investment, some analysts suggest that other AI stocks may offer greater upside potential and lower downside risk [4]