OpenAI to Deploy 6 Gigawatts of Advanced Micro Devices (AMD) GPUs

​Advanced Micro Devices, Inc. (NASDAQ:AMD) is one of the Hottest Mega-Cap Stocks of 2025. On October 6, Advanced Micro Devices, Inc. (NASDAQ:AMD) announced a strategic partnership with OpenAI to deploy 6 Gigawatts of AMD GPUs. These GPUs will power OpenAI’s next-generation AI Infrastructure.

​This is a multigeneration agreement with the first gigawatt deployment of AMD Instinct MI450 GPUs expected to begin in the second half of 2026. The stock has gained more than 7.5% in just a week since the announcement, and several Wall Street analysts have raised their price targets on Advanced Micro Devices, Inc. (NASDAQ:AMD).

​On October 10, Joshua Buchalter from TD Cowen raised the firm’s price target on the stock from $195 to $270, while reiterating a Buy rating. More recently, on October 13, Vijay Rakesh from Mizuho Securities also raised the price target on Advanced Micro Devices, Inc. (NASDAQ:AMD), while maintaining a Buy rating on the stock.

​Advanced Micro Devices, Inc. (NASDAQ:AMD) is an international semiconductor company that specializes in high-performance computing, graphics, and visualization technologies.

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.