BofA Raises 2030 CPU TAM to $170 B, Upgrades Intel, AMD, ARM and Meta
BAC•Bank of America analysts doubled-upgraded Intel to Buy with a $135 price target, raised AMD’s target to $560 and ARM’s to $335, and maintained a Buy on Meta with an $835 target. They lifted their 2030 server CPU total addressable market estimate to $170 billion from $125 billion, citing agentic AI demand and foundry wins like Google’s 3 million TPU order and Nvidia’s evaluation of Intel’s 18A process.
1. Analyst Upgrades and Price Targets
Bank of America analysts, led by Vivek Arya, double-upgraded Intel from Underperform to Buy and set its price target at $135. They also boosted AMD’s target to $560, raised ARM’s to $335, and reiterated a Buy rating on Meta Platforms with an $835 price objective.
2. Expanded CPU Market Forecast
The firm increased its 2030 server CPU total addressable market estimate to $170 billion from $125 billion, forecasting a 37% compound annual growth rate from 2025 to 2030. This expansion is driven by agentic AI workloads that require CPUs for low-latency orchestration, decision-making and I/O-intensive tasks.
3. Foundry Milestones and Catalysts
Recent foundry developments include Google’s firm order for over 3 million TPUs at Intel Foundry for 2028 and Nvidia’s evaluation of Intel’s advanced 18A process node. These deals reinforce confidence in Intel’s external foundry business and underpin the bulls’ long-term outlook.
