This is why Wall Street Firms are Bullish on Advanced Micro Devices Inc. (AMD) as a Top AI Stock

Advanced Micro Devices Inc. (NASDAQ:AMD) is one of the best AI stocks to buy for 2026, according to billionaire David Tepper. On May 6, analysts at Goldman Sachs and Bernstein upgraded Advanced Micro Devices Inc. (NASDAQ:AMD) after the company delivered solid first-quarter results driven by accelerating demand for AI infrastructure.

This is why Wall Street Firms are Bullish on Advanced Micro Devices Inc. (AMD) as a Top AI Stock

Goldman upgraded the stock to a Buy and nearly doubled its price target to $450 from $240. The investment bank upgraded the stock, impressed by the tailwinds to the server CPU business around agentic AI. According to analyst James Schneider, AMD is staring at tremendous opportunities as agentic AI proliferates across enterprise and consumer workloads.

Bernstein also upgraded AMD to an Outperform from Market Perform and raised the price target to $525 from $265. The research firm expects AMD’s earnings to exceed $14 per share in 2027 and $20 per share by 2028. In the first quarter, the company delivered $10.25 billion in revenue and earnings of $1.37 above consensus estimates of $9.9 billion and $1.28, respectively.

Advanced Micro Devices Inc. (NASDAQ:AMD) provides comprehensive AI designed to accelerate AI training and inference. Its core AI strategy centers on high-performance Instinct MI-series GPUs for data centers, EPYC CPUs for enterprise workloads, and Ryzen processors with integrated neural processing units (NPUs) for AI-powered PCs.

While we acknowledge the risk and potential of AMD as an investment, our conviction lies in the belief that some AI stocks hold greater promise for delivering higher returns and doing so within a shorter time frame. If you are looking for an AI stock that is more promising than AMD and that has 10,000% upside potential, check out our report about this cheapest AI stock.

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