10 AI Stocks in the Spotlight This Week

6. Advanced Micro Devices, Inc. (NASDAQ:AMD)

Number of Hedge Fund Holders: 113

Advanced Micro Devices, Inc. (NASDAQ:AMD) is one of the 10 AI Stocks in the Spotlight This Week. On October 17, Bank of America reiterated the stock as “Buy” and raised its price target to $300 per share from $250.

“We rate AMD Buy. It serves a multi-hundred billion addressable market opportunity in PC, server, high-end gaming, deep-learning and related markets where AMD has less than 30% value share currently.”

The firm also discussed how it sees improved visibility into AMD’s MI450 Series ‘Helios’ racks launching in 2H26, supported by customers such as Oracle, Meta, and OpenAI. Further, the analysts have marked 11/11 as the next date to watch out for, deeming it as the next major catalyst.

“Overall, we now see greater visibility into the deployment and ramp outlook of MI450 Series ‘Helios’ racks launching in 2H26, supported by key industry customers such as Oracle, Meta, and OpenAI (more details on pg. 3).

As a result, we now assume 50% OpenAI deal (6 GW deployment over 4 years) fall-through in our base model, raise sales/EPS ests, and highlight upside toward $10–11 EPS power by CY27E at 100% fall-through. Our new $300 PO is based on unch. 33x CY27E PE, still within 14x–55x historical range.

Next major catalyst includes upcoming Analyst Day in NYC on 11/11. Separately, we also highlight very low AMD ownership amongst active fund managers at just ~20% of funds as of August, as well as just 0.16x weighting within SPX at funds, down significantly YoY vs. market-weight+ (1.00x+) for most large cap semis peers.”

Advanced Micro Devices, Inc. (NASDAQ:AMD) develops and sells semiconductors, processors, and GPUs for data centers, gaming, AI, and embedded applications.