Top 10 AI Stocks in the Spotlight

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

Number of Hedge Fund Holders: 96

Advanced Micro Devices, Inc. (NASDAQ:AMD) is one of the Top 10 AI Stocks in the Spotlight. On July 7, Truist Securities analyst William Stein reiterated a “Hold” rating on the stock with a $111.00 price target.

“Debate rages around AMD’s Datacenter GPU strength- not whether the company can deliver Datacenter GPU product and ramp revenue, but instead: to what degree are customers (1) buying to stimulate competition and price-check NVDA (this is our view), or (2) buying because they or their customers actually prefer AMD’s technology. A narrower controversy that emerged mid-qtr was the question as to whether AMD’s next gen DC GPU’s will be used at AWS. Based on our discussions with management, we believe the appearance and disappearance of that customers’ logo from AMD’s list of customers reflects a desire for some customers to announce supplier relationships at their own events. Industry contacts reflect a significant inventory build in the channel which is difficult for us to explain. Near-term catalysts: We expect the next significant catalyst for AMD will be Q2 earnings. We do not have a strong view as to whether this will be a positive or negative catalyst for now.”

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