10 AI Stocks on Wall Street’s Radar

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 on Wall Street’s Radar. On September 9, HSBC analyst Frank Lee lowered the price target on the stock to $185.00 (from $200.00) while maintaining a Buy rating.

The lower price target comes after the firm revised its assumptions regarding AMD’s MI355 chip average selling price (ASP). The firm now estimates the price to be $23,000 rather than $25,000 per unit, calling it a more “prudent assumption given differential pricing for different customers.”

The firm’s revenue estimates are still above consensus estimates, it noted, stating that it continues to believe that the street is underestimating the pricing potential.

“In our 10 July upgrade note Back in the AI game with a bang, we had highlighted that the pricing power of the MI355 might surprise the market and drive the upside potential in 2026e. The management also acknowledged a significant pricing uplift from MI325 in its latest earnings call. We slightly revise down our ASP estimates from USD25k to USD23k as we believe that it is a more prudent assumption given differential pricing for different customers. Driven by our revised ASP assumptions, we lower our 2026e AI GPU revenue estimates from USD15.1bn to USD13.9bn, still 20% above consensus estimates as we continue to believe that the street is still underestimating the pricing potential. Additionally, we expect most CSPs including Meta, Microsoft, Oracle, and xAI are starting to enter the testing phase with the MI400 rack solution, with results potentially by 4Q25 or early 1Q26. Hence, we expect to see better order visibility emerging by 1Q26 regarding MI400 revenue potential.”

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