Wall Street analysts update AMD stock price for the next 12 months

Core Insights - Advanced Micro Devices (AMD) shares have reached an all-time high, driven by the company's involvement in the growing artificial intelligence (AI) sector, with a year-to-date stock gain of approximately 110% [1][4] - Despite the current momentum, Wall Street's outlook suggests a modest decline in AMD's stock price over the next 12 months, with an average price target of $249.92, indicating a potential downside of 1.19% from the last closing price [5][9] Developments and Partnerships - AMD has secured a landmark multi-year agreement with OpenAI to supply six gigawatts of AI compute power using MI450 GPUs, positioning itself as a significant player in AI infrastructure and challenging Nvidia's market position [3][4] - A partnership with Oracle Cloud to deploy 50,000 next-generation GPUs further enhances investor confidence, alongside AMD's role in IBM's recent quantum computing advancements [4][9] Financial Performance - AMD is projected to report Q3 revenue of $8.7 billion, contributing to a positive outlook for the company [4] - Analysts have provided a 'Moderate Buy' rating for AMD, with 29 out of 39 recommending a 'Buy' and none issuing a 'Sell' rating [5][8] Analyst Ratings and Price Targets - Kevin Cassidy of Bernstein maintains a 'Market Perform' rating with a price target of $200, noting AMD's strategic move with OpenAI and the potential for market optimism to be overly high [9] - Vivek Arya of BofA Securities raised AMD's price target to $300 from $250, emphasizing AMD's expanding role in AI infrastructure [10] - Matt Bryson of Wedbush increased AMD's price target to $270 from $190, highlighting significant AI partnerships and the launch of the Helios open rack-scale AI platform [11]