AMD Price Targets Rise Amid U.S. AI Chip Sales Resumption to China

Advanced Micro Devices (AMD) has seen multiple price target upgrades from major financial institutions following the U.S. Department of Commerce's decision to allow the company to resume shipments of AI chips to China, signaling strong growth prospects in the AI and datacenter sectors. Wells Fargo raised its price target from $120 to $185, citing AMD's robust datacenter performance and effective product roadmap execution. Bank of America and Mizuho also increased their price targets to $175, emphasizing the expanded addressable market and the positive implications for U.S. chipmakers in the global technology landscape. Despite these bullish outlooks, Goldman Sachs initiated coverage with a more cautious 'Neutral' rating and a price target of $140, noting potential challenges from ARM-based solutions and competition from Nvidia in the GPU space. AMD's strategic navigation of U.S.-China trade complexities and focus on AI-related semiconductor demand underpin its market valuation near $252 billion. Overall, the consensus among analysts remains optimistic but varies in the degree of upside potential given competitive and market dynamics.