Aletheia Capital Raises Advanced Micro Devices Price Target to $800
Advanced Micro Devices Inc. shares carry an $800 price target following an upward revision from Aletheia Capital, which lifted its previous $700 projection while maintaining a Buy rating on the stock, Investing.com UK reported. The semiconductor manufacturer trades at $560.26 with a market capitalization of $914.6 billion, delivering a 161.6% return year-to-date.
The updated valuation relies on a sum-of-the-parts model implying 24 times fiscal 2027-2028 price-to-earnings ratios. Aletheia Capital attributed the adjustment to strengthening supply chain support, a competitive product portfolio, and higher-than-expected demand for server central processing units and artificial intelligence compute.
Aletheia Capital projects data center revenue to triple by 2027
Aletheia Capital expects tangible financial impacts to materialize by the fourth quarter of 2026, anticipating data center revenue to more than double year-over-year. The firm projects the entire data center business to triple in 2027, driven by a doubling of server CPU sales and a fourfold surge in graphics processing units year-over-year.
Fully diluted earnings per share are projected to triple in fiscal 2027 and grow another 80% in fiscal 2028, representing a fivefold increase over three years. Those estimates outpace current consensus figures, according to InvestingPro data indicating expected net income growth this year alongside projected sales growth of 47%.
Upcoming Earnings Release and Broader Wall Street Sentiment
Advanced Micro Devices is scheduled to release its earnings on November 3, with options data pointing toward a potential stock movement of 6.8%. Susquehanna analysts anticipate modest upside in the third-quarter results and fourth-quarter guidance, focusing on artificial intelligence as the primary driver of the semiconductor upcycle.
TD Cowen maintains a Buy rating on the stock, pointing to growing adoption of AI workloads. Citigroup also raised its price target to $800, citing agentic AI demand and increased CPU market forecasts through 2030, while Jefferies highlighted the 1.6T transition at the OCP Global Summit.
Frequently Asked Questions About Advanced Micro Devices
What is the current trading price and market capitalization of Advanced Micro Devices?
AMD trades at $560.26 with a market capitalization of $914.6 billion, following a 161.6% return year-to-date.
When is Advanced Micro Devices scheduled to release its upcoming earnings?
The company is set to report earnings on November 3, with options data indicating a potential stock movement of 6.8%.
Which financial firm raised its price target to $800?
Both Aletheia Capital and Citigroup raised their price targets for Advanced Micro Devices to $800.
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