Oppenheimer's upgrade of AMD reflects a positive outlook for the chipmaker, which has faced a challenging month with shares dropping over 26%. Analyst Rick Schafer highlighted that AMD is positioned to become a key player in AI computing, supported by successful customer acquisitions and upcoming product launches.
The firm anticipates significant revenue growth in AMD's data center segment, projecting a 135% increase by 2027, bolstered by new GPU releases and strategic partnerships. This upgrade aligns with broader market sentiment, as 48 out of 56 analysts currently rate AMD as a buy or strong buy.
Following the upgrade, AMD shares saw a premarket increase of over 3%, indicating investor optimism about the company's recovery and future prospects