UBS Boosts AMD 2027 Target to $670, Projects $23B Server Revenue
AMD•UBS raised AMD’s 2027 price target to $670 from $455 and maintained a Buy rating, lifting server CPU revenue forecasts to $23B in 2027, $29B in 2028 and $50B by 2030. Shares have surged about 275% over the past year to near $520, though valuation remains above estimated fair value.
1. UBS Price Target Revision
UBS increased Advanced Micro Devices’ 2027 price target by 47% to $670 from $455 while maintaining a Buy rating, signaling confidence in AMD’s long-term growth trajectory.
2. Upgraded Server Revenue Projections
Analysts lifted AMD’s server CPU revenue forecasts to $16B for 2026, $23B for 2027 and $29B for 2028, with a further increase to $50B by 2030, driven by expanding AI workloads in data centers.
3. Share Performance and Valuation
Shares have climbed roughly 275% year-over-year to trade near $520, reflecting strong momentum, though the stock now sits above its estimated fair value and may face multiple compression.
4. Risks from Competition and Execution
Despite robust profitability and cash generation, AMD remains exposed to potential execution risks and valuation pressure if server CPU growth slows or rivals intensify competition in core markets.
