D.A. Davidson Raises AMD 2026 Price Target to $375, Upgrades to Buy
D.A. Davidson upgraded Advanced Micro Devices to Buy and raised its 2026 price target to $375 from $220, citing AI-driven CPU demand and data-center growth. The firm added $2 billion to its 2026 revenue forecast and $1.5 billion to gross profit, noting potential for price hikes if demand outpaces supply.
1. Analyst Upgrade
D.A. Davidson moved its rating on Advanced Micro Devices to Buy and lifted the 2026 price target from $220 to $375, reflecting increased confidence in the company’s growth trajectory driven by artificial intelligence workloads.
2. Forecast Revisions
The firm boosted its 2026 revenue estimate by $2 billion and raised gross profit projections by $1.5 billion, signaling stronger-than-expected demand and improved profitability outlook for AMD’s CPU and data-center portfolios.
3. Growth Drivers
AI-driven workloads are shifting more compute tasks onto CPUs, while hyperscaler buildouts by major tech firms and fundraising at leading AI developers underpin robust data-center spending and support potential across-the-board price hikes.