Baird Highlights AI GPU and Server Strength at Advanced Micro Devices, Inc (AMD)

Advanced Micro Devices, Inc. (NASDAQ:AMD) is one of the 10 AI Stocks to Keep on Your Radar. On February 4, Baird analyst Tristan Gerra reiterated an Outperform rating on the stock with a $300.00 price target. The firm anticipates that AMD will benefit from robust AI demand and GPU momentum.

The research firm cited several positive developments in the company’s AI-related business segments. One of these includes an acceleration in AI-related x86 server CPU demand. While it did acknowledge that higher pricing for commodities is negatively impacting the PC Total Addressable Market, it noted that it is offset by ongoing Client share gains.

Moreover, there has been continued strength in AI GPU demand while Mi308 sales have resumed. Baird also highlighted that the Mi450 product and AMD’s partnership with OpenAI remain on track.

Overall, the firm has expressed optimism about AMD’s future AI unit forecasts, citing meaningful upside in 2026.

We continue to see meaningful upside in 2026 AI units forecasts versus a quarter ago expectations, while we expect the ramp of Mi450 to result in market share gains for AMD. Outperform-rated.

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

While we acknowledge the potential of AMD to grow, our conviction lies in the belief that some AI stocks hold greater promise for delivering higher returns and have limited downside risk. If you are looking for an AI stock that is more promising than AMD and that has 100x upside potential, check out our report about this cheapest AI stock.

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Disclosure: None. This article is originally published at Insider Monkey.