TD Cowen raises AMD price target to $115 and maintains a buy rating in strong performance

Advanced Micro Devices Inc. (NASDAQ:AMD) is a global semiconductor company known for its graphics processing units (GPUs), microprocessors and high-performance computing solutions. The company serves high-growth industries such as gaming, data centers, and AI.

TD Cowen raises AMD price target to $115 and maintains a buy rating in strong performance

Close-up of a complex PCB board with several mutual semiconductor parts on it.

May 6, Advanced Micro Devices, Inc. (NASDAQ: AMD) reported impressive financial results for Q1 2025. In the first quarter, revenue reached US$7.4 billion in 2025, a year-on-year increase of 36%. Gross profit for the quarter was $3.73 billion, up 46%. Net income soared 476% to $709 million. Data center segment revenue in the first quarter of 2025 was US$3.7 billion, a year-on-year increase of 57%. This revenue growth is mainly driven by sales of AMD EPYC CPUs and AMD Instinct GPUs. Customer and gaming segment revenue was $2.9 billion, up 28% year-on-year. Customer revenue grew 68% due to strong demand for the new “Zen 5” AMD Ryzen processors and a richer product portfolio.

Following the company's 2025 results for the first quarter, on May 7, TD Cowen analyst Joshua Buchalter reiterated Advanced Micro Devices, Inc. (NASDAQ: AMD) has a "buy" rating and has raised its target target from $110 to $115. Analysts highlighted the company's outstanding performance and sustainable growth in the PC and Server CPU market share, which are factors that fuel the company's financial success. But Buchalter points to advanced Micro Devices, Inc. (NASDAQ: AMD) Advanced Micro Devices, Inc in the first half of 2025. (NASDAQ: AMD) challenges, which are due to insufficient results and declines. He stressed that the expected sales of MI355 GPUs in the second half of the year will be crucial to AMD's stock performance. In addition, the upcoming AI event is expected to be Advanced Micro Devices, Inc. (NASDAQ: AMD) future plans and guidance provide more insights.

Although we acknowledge AMD's potential as an investment, our belief is that certain AI stocks have greater returns and limited downside risks. If you are looking for AI stocks that are more promising than AMD and have 100x upside potential, check out our report Cheapest AI stocks.

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