Latest news with #HansMosesmann
Time of India
13 hours ago
- Business
- Time of India
AMD stock up over 9% after new AI chips reveal: Is AMD the breakout investors have been waiting for?
AMD stock jumped over 9% after the company unveiled its latest AI chips, including the Instinct MI325X, sparking fresh investor excitement. The news came during AMD's 'Advancing AI' event, where it laid out its future AI roadmap and new hardware plans. With major analysts raising price targets and AMD doubling down on AI tech, many now wonder if this is the breakout moment investors have been waiting for. Backed by rising volume, upbeat forecasts, and bullish momentum, AMD stock is once again in the spotlight — and the story is far from over. Tired of too many ads? Remove Ads Key data: AMD stock rose 9.1% to $162.67. Gain followed AI chip event where AMD unveiled Instinct MI325X. New chips will ship in Q4 2024, with next-gen chips coming in 2025 and 2026. AMD introduced a full AI GPU roadmap: MI325X → MI350 (2025) → MI400 (2026). Analyst Hans Mosesmann (Rosenblatt) raised price target to $250 (from $200). AMD targets a $400B AI chip market, competing with Nvidia. The rally added $25 billion to AMD's market value in one day. Stock trading volume spiked over 2x the daily average. What did AMD announce that got investors so excited? Tired of too many ads? Remove Ads Why is AMD stock price moving so fast right now? Strong analyst support: Besides Piper Sandler, analysts from Citi, BofA, and Barclays have been increasing their price targets. Citi moved to $121, and BofA hiked its target to $130, citing product momentum and even AMD's $6 billion stock buyback program. Besides Piper Sandler, analysts from Citi, BofA, and Barclays have been increasing their price targets. Citi moved to $121, and BofA hiked its target to $130, citing product momentum and even AMD's $6 billion stock buyback program. Momentum in AI: Investors are paying close attention to companies that are building chips for AI and data centers. AMD's new lineup is clearly aimed at competing with Nvidia, the current leader in this space. Investors are paying close attention to companies that are building chips for AI and data centers. AMD's new lineup is clearly aimed at competing with Nvidia, the current leader in this space. Volume and demand: AMD's daily trading volume on June 16 was over 67 million shares, far higher than average. That kind of buying interest often indicates strong belief in future performance. Is AMD stock still a good buy or is it too late? According to TipRanks, 35 out of 54 analysts rate AMD as a Buy. Top-rated TipRanks investor JR Research said, 'Now is a good time to stock up before the momentum builds.' Can AMD really challenge Nvidia in the AI chip market? Is AMD stock worth watching? AMD stock is once again catching Wall Street's attention—and for good reason. On Monday, June 16, AMD shares soared over 8%, closing at $126.72. The jump came right after the company's highly anticipated Advancing AI event in San Jose, where AMD introduced its new generation of AI chips and laid out a detailed roadmap for future isn't just another short-term rally. With fresh product announcements, big price target hikes from analysts, and a wave of investor excitement, AMD stock seems to be entering a new the center of this price surge is AMD's unveiling of the Instinct MI325X AI chip, expected later this year, and its plans for the MI350 series in 2025. The company also teased its upcoming MI400 chips that are set to launch in 2026 and will use a new 'Next' architecture designed for high-performance AI also introduced Helios, a rack-scale AI platform that will house its future MI400 accelerators. While this sounds technical, the takeaway is simple: AMD is doubling down on AI, and investors liked what they responded quickly. Piper Sandler raised its price target from $125 to $140, saying the announcements were "impressive" and could give AMD a serious boost in the competitive AI chip the big question. AMD stock has climbed about 60% since bottoming out near $78 in April, but it's still down about 30% from its 2023 high of $184.92. This suggests there could be more room to grow, especially if its AI chips gain there are risks. U.S. chip export rules could cut up to $800 million from future revenue. That's not a small amount, and it could affect margins in Q2 and Q3. Still, most analysts see this as a manageable headwind rather than a be honest—Nvidia is still the leader in AI chips. But AMD isn't just sitting on the sidelines. Its newer products are starting to show up in major server systems, and its focus on open-source AI platforms makes it a serious AMD lacks in current AI market share, it hopes to make up for in scalability and cost efficiency. If its MI325X and MI350 chips can compete on performance and price, then AMD could carve out a significant share of the AI market in 2025 and Whether you're a long-term investor or just tracking short-term gains, AMD stock deserves a spot on your radar right now. Between its product roadmap, analyst upgrades, and strong investor interest, this isn't just a hype-driven bump—it's a shift toward long-term AI said, keep an eye on chip export regulations and future earnings. The next few quarters will tell us how well AMD can execute on these bold AI now, it's clear: AMD is stepping up, and the market is watching.
Yahoo
22-03-2025
- Business
- Yahoo
This Analyst Thinks AMD Stock Could Soar Over 120%. Should Investors Buy This Beaten-Down AI Stock?
Advanced Micro Devices (NASDAQ: AMD) has been ahead of the curve in terms of the AI sell-off trend. The chip stock peaked in March 2024 and has trended lower ever since, and is now down by around 50% from its all-time high. However, numerous Wall Street analysts have much higher price targets on AMD, suggesting that it could be a screaming buy here. Hans Mosesmann of Rosenblatt Securities has the highest price target on Wall Street for AMD stock at $225. With AMD shares hovering around $100, that indicates a potential 12-month upside of around 125%. Any investor would be happy with that kind of return, but is it realistic to expect? AMD has always produced great hardware, but it never seems to be the leader when it matters most. In the early 2000s, Intel was the top dog in the processor space, while AMD was only allowed to stick around because Intel didn't want to be broken up for being a monopoly. History has repeated itself in the AI chip race, where Nvidia is dominating the incredibly important data center market. In Q4, AMD's data center division generated $3.9 billion in revenue, up 69% year over year. However, Nvidia continued to eat AMD's lunch. In its fiscal 2025 fourth quarter, which ended Jan. 26, its data center revenue grew by 93% to $35.6 billion. So, not only is AMD's data center division much smaller than Nvidia's, but it's also growing at a slower rate. That's not a winning combination, and is a big reason why AMD's stock has been such a poor performer recently. The core of the investment thesis for AMD in early 2024 was that onlookers expected that it would start to gain some ground on Nvidia throughout the year as the largest AI chip buyers started to focus more on hardware geared toward inference rather than training. However, that trend didn't emerge, and Nvidia also didn't lose any ground on the inference front as it launched its new Blackwell architecture graphics processing units (GPUs). Furthermore, AMD hasn't been doing great in its other markets. Its gaming revenue was down 59% year over year in Q4, while embedded process revenue decreased by 13%. Client revenue was a bright spot, up 58% year over year to $2.3 billion. However, the PC market isn't really growing in size, so that revenue stream will continue to be quite cyclical. Still, despite AMD's somewhat disappointing Q4 results, its overall revenue grew by 24%, and profits rose by 42%. Most companies and their shareholders would be happy with those results, but because AMD hasn't been gaining ground on its key rival, the stock price has continued to sink. This is where the new AMD investment thesis comes in, as it's starting to look like a value play. AMD's stock isn't necessarily dirt cheap from a trailing earnings perspective. For a few recent quarters, the business wasn't optimized for earnings, so its trailing earnings multiple looks inflated. As a result, investors would be better served to use the forward price-to-earning (P/E) ratio to gauge the stock's valuation, as that metric is unaffected by the one-time events that skewed the trailing earnings metric. At 21.5 times forward earnings, AMD trades at a slight premium to the S&P 500, which is currently valued at 20.5 times forward earnings. Given that AMD is expected to grow its revenue by 23.4% and 20.7% in 2025 and 2026, respectively, that slight premium seems like a reasonable price to pay. Could AMD stock rise by 125% in the next year, as Hans Mosesmann projects? I doubt it. That would give AMD a ridiculously high multiple for a company that is not a best-in-class provider. However, I think market-beating returns are certainly attainable from today's price, and investors willing to hold onto the stock for three to five years will likely beat the market if they take positions in the stock now. Before you buy stock in Advanced Micro Devices, consider this: The Motley Fool Stock Advisor analyst team just identified what they believe are the for investors to buy now… and Advanced Micro Devices wasn't one of them. The 10 stocks that made the cut could produce monster returns in the coming years. Consider when Nvidia made this list on April 15, 2005... if you invested $1,000 at the time of our recommendation, you'd have $720,291!* Now, it's worth noting Stock Advisor's total average return is 838% — a market-crushing outperformance compared to 164% for the S&P 500. Don't miss out on the latest top 10 list, available when you join . See the 10 stocks » *Stock Advisor returns as of March 18, 2025 Keithen Drury has positions in Nvidia. The Motley Fool has positions in and recommends Advanced Micro Devices, Intel, and Nvidia. The Motley Fool recommends the following options: short May 2025 $30 calls on Intel. The Motley Fool has a disclosure policy. This Analyst Thinks AMD Stock Could Soar Over 120%. Should Investors Buy This Beaten-Down AI Stock? was originally published by The Motley Fool
Yahoo
10-02-2025
- Business
- Yahoo
2 AI Stocks to Buy Before They Soar 300% and 110%, According to Certain Wall Street Analysts
Artificial intelligence (AI) has been a powerful tailwind for the stock market in recent years, but certain Wall Street analysts still see substantial upside in Palantir Technologies (NASDAQ: PLTR) and Advanced Micro Devices (NASDAQ: AMD), as follows: Dan Ives at Wedbush believes Palantir could be a trillion-dollar company within two or three years. That implies 300% upside from its current market value of $250 billion. Hans Mosesmann at Rosenblatt Securities recently lowered his 12-month target price on AMD to $225 per share. But that still implies 110% upside from its current share price of $107. Here's what investors should know about these artificial intelligence stocks. Palantir specializes in data analytics. Its software products help commercial and government clients integrate complex information, develop machine learning models, and surface insights. International Data Corporation recently recognized Palantir as a leader in decision intelligence software, and Forrester Research recently ranked the company as a leader in artificial intelligence (AI) platforms. Palantir reported exceptional financial results for the fourth quarter, beating estimates on the top and bottom lines. Its customer count jumped 43% to 711, and the average existing customer spent 20% more. In turn, revenue rose 36% to $828 million, the sixth consecutive acceleration, and non-GAAP earnings increased 75% to $0.14 per diluted share. Following the report, Mark Giarelli at Morningstar wrote, "Palantir's outstanding fourth-quarter results, rapid growth amid the artificial intelligence arms race, and strategic positioning in the AI-value chain further solidify our base case expectations that this company can be the next software juggernaut." Wall Street expects Palantir's adjusted earnings to increase 37% in the next four quarters. That consensus makes the current valuation of 270 times adjusted earnings look absurdly expensive. Admittedly, Palantir beat expectations in the last six quarters, and its earnings topped the consensus estimate by an average of 14% in that period. However, the stock would still look expensive even if Palantir's earnings increase twice as fast as Wall Street anticipates in the next year. So, while I believe the company will be worth more in the future, perhaps even $1 trillion, I also believe better buying opportunities will present themselves. Investors should be cautious chasing the stock at its current price. Advanced Micro Devices is a semiconductor company best known for developing Ryzen and Epyc central processing units (CPUs) and Instinct graphics processing units (GPUs) for data centers, personal computers, and gaming systems. The company also develops embedded processors across a range of end markets, including automotive driver assistance systems and industrial machine vision systems. Importantly, while Intel is still the market leader in x86 CPUs for data center servers and personal computers as measured by units, AMD has gained substantial market share in recent years. Those share gains have been driven by a combination of AMD's innovations and Intel's missteps. And analysts generally anticipate more of the same in the coming years. However, AMD has been mostly unsuccessful in its attempts to compete with Nvidia in data center GPUs, and there are two reasons: First, Nvidia consistently achieves the best scores at the MLPerf benchmarks, objective tests that measure the performance of AI systems. Second, Nvidia has a much more robust ecosystem of software development tools to help programmers build applications. AMD reported decent financial results in the fourth quarter, despite missing data center sales estimates. Total revenue rose 24% to $7.7 billion and non-GAAP earnings rose 42% to $1.09 per diluted share. Disappointingly, CEO Lisa Su said data center sales in the first half of 2025 would be comparable with the second half of 2024. However, sales growth in the data center segment should strengthen in the second half of 2025 as production of its latest Instinct MI350 GPU ramps up. Su also told analysts that data center AI products would increase from "more than $5 billion in revenue in 2024 to tens of billions of dollars of annual revenue over the coming years." Wall Street thinks AMD's adjusted earnings will grow 41% in the next four quarters. That makes the current valuation of 33 times adjusted earnings look cheap. Those figures give AMD a price-to-earnings-to-growth (PEG) ratio below 1, which is typically interpreted to mean a stock is undervalued. Comparatively, Palantir has a PEG multiple above 7. I doubt AMD shareholders will see triple-digit returns in the next 12 months, but the stock looks attractive at its current price. My only worry is that Wall Street may be overestimating earnings given that x86 server CPU sales are projected to grow 17% in 2025, while personal computer shipments are projected to increase 5%. Investors comfortable with that risk should consider buying a few shares, but I would keep the position small. Ever feel like you missed the boat in buying the most successful stocks? Then you'll want to hear this. On rare occasions, our expert team of analysts issues a 'Double Down' stock recommendation for companies that they think are about to pop. If you're worried you've already missed your chance to invest, now is the best time to buy before it's too late. And the numbers speak for themselves: Nvidia: if you invested $1,000 when we doubled down in 2009, you'd have $336,677!* Apple: if you invested $1,000 when we doubled down in 2008, you'd have $43,109!* Netflix: if you invested $1,000 when we doubled down in 2004, you'd have $546,804!* Right now, we're issuing 'Double Down' alerts for three incredible companies, and there may not be another chance like this anytime soon.*Stock Advisor returns as of February 3, 2025 Trevor Jennewine has positions in Nvidia and Palantir Technologies. The Motley Fool has positions in and recommends Advanced Micro Devices, Intel, Nvidia, and Palantir Technologies. The Motley Fool recommends the following options: short February 2025 $27 calls on Intel. The Motley Fool has a disclosure policy. 2 AI Stocks to Buy Before They Soar 300% and 110%, According to Certain Wall Street Analysts was originally published by The Motley Fool
