Core Viewpoint - Advanced Micro Devices Inc. (AMD) is poised for a strong performance in November, driven by seasonal trends, a growing narrative in AI, and positive sentiment from Wall Street ahead of its third-quarter earnings report [1][11]. Earnings Expectations - AMD is expected to report earnings of $1.16 per share on revenue of $8.74 billion, reflecting a 26% increase in EPS from $0.92 a year ago and a 28% rise in revenue from $6.72 billion [2]. - The anticipated surge in earnings is attributed to AMD's increasing presence in the AI chip market, with its latest accelerators gaining traction among major enterprises [2]. November Seasonality - Historically, AMD has been the best-performing stock in the S&P 500 during November, averaging a return of 16.8% over the past decade and finishing higher in eight out of the last ten years [3]. - Since 1995, AMD has averaged a 12.07% gain in November with a 67% win rate, indicating strong seasonal performance [3][4]. AI Market Position - Bank of America analyst Vivek Arya has raised AMD's 12-month price target to $300, indicating a 13% upside, driven by optimism regarding AMD's AI trajectory and the upcoming launch of the MI450 rack 'Helios' [7]. - The Helios racks, which utilize AMD's Instinct MI450 GPUs, are set to launch in the second half of 2026, with significant interest from cloud giants like Meta and OpenAI [8]. - Arya projects that AMD could capture over 5% of the AI accelerator market by 2027, up from previous estimates of 3-4%, with a potential EPS of $10-11 in 2027 under a full OpenAI deployment scenario [9]. Future Outlook - Following the earnings report, AMD's Analyst Day on November 11 will be crucial for insights into growth strategy, product roadmap, and AI product guidance [10]. - Despite trailing Nvidia in AI GPU market share, AMD is establishing itself as a credible alternative for hyperscalers seeking to diversify their supply chains [10].

Core Viewpoint - Advanced Micro Devices Inc. (AMD) is poised for a strong performance in November, driven by seasonal trends, a growing narrative in AI, and positive sentiment from Wall Street ahead of its third-quarter earnings report [1][11]. Earnings Expectations - AMD is expected to report earnings of $1.16 per share on revenue of $8.74 billion, reflecting a 26% increase in EPS from $0.92 a year ago and a 28% rise in revenue from $6.72 billion [2]. - The anticipated surge in earnings is attributed to AMD's increasing presence in the AI chip market, with its latest accelerators gaining traction among major enterprises [2]. November Seasonality - Historically, AMD has been the best-performing stock in the S&P 500 during November, averaging a return of 16.8% over the past decade and finishing higher in eight out of the last ten years [3]. - Since 1995, AMD has averaged a 12.07% gain in November with a 67% win rate, indicating strong seasonal performance [3][4]. AI Market Position - Bank of America analyst Vivek Arya has raised AMD's 12-month price target to $300, indicating a 13% upside, driven by optimism regarding AMD's AI trajectory and the upcoming launch of the MI450 rack 'Helios' [7]. - The Helios racks, which utilize AMD's Instinct MI450 GPUs, are set to launch in the second half of 2026, with significant interest from cloud giants like Meta and OpenAI [8]. - Arya projects that AMD could capture over 5% of the AI accelerator market by 2027, up from previous estimates of 3-4%, with a potential EPS of $10-11 under a full OpenAI deployment scenario [9]. Future Outlook - Following the earnings report, AMD's Analyst Day on November 11 will be crucial for insights into growth strategy, product roadmap, and AI product guidance [10]. - With strong earnings expectations, favorable seasonal trends, and increasing exposure to AI, AMD is well-positioned for a breakout month, contingent on the earnings results [11].