Key Takeaways
- Advanced Micro Devices gained 1.9% in pre-market hours after William Blair began coverage with a Market Perform rating, forecasting revenue to surge from $52B in 2026 to beyond $104B by 2028.
- Goldman Sachs elevated its price target for AMD to $640, adding to this week’s positive momentum.
- Shares opened Thursday at $517.41, trading within a 52-week range of $137.59 to $584.73.
- First-quarter results exceeded forecasts—EPS of $1.37 versus the $1.29 estimate—with sales reaching $10.25B, representing a 37.8% year-over-year increase.
- The chipmaker has scheduled its Q2 2026 earnings release for August 4, providing investors with an upcoming catalyst.
Advanced Micro Devices (AMD) shares advanced 1.9% during pre-market hours on Thursday, reaching $517.41 at the opening bell, as new analyst coverage paired with an upgraded Goldman Sachs price objective sustained bullish sentiment.
Advanced Micro Devices, Inc., AMD
William Blair launched coverage on AMD with a Market Perform designation. Analyst Sebastien Naji highlighted AMD’s strategic positioning to capitalize on the AI infrastructure expansion, projecting revenue growth from $52 billion in 2026 to surpass $104 billion by 2028.
The research firm anticipates non-GAAP earnings per share reaching approximately $20 by 2028, fueled by robust demand for graphics processors, central processing units, and chips supporting AI model deployment and inference applications.
Goldman Sachs analyst James Schneider also increased his AMD price objective to $640 earlier this week, providing continued support for the stock’s upward trajectory heading into Thursday’s trading session.
The pre-market gain comes after a challenging Tuesday, when AMD declined following a Reuters report indicating Chinese AI startup DeepSeek is creating its own inference-optimized chip—news that unsettled the broader semiconductor industry.
The chipmaker rebounded Wednesday, closing at $518.47 after starting the session at $504.01, before building on those gains during Thursday’s pre-market trading.
First Quarter Performance Exceeds Expectations, Q2 Timing Set
AMD’s latest quarterly report provided encouraging signals for shareholders. The semiconductor company delivered Q1 earnings per share of $1.37, surpassing the consensus estimate of $1.29. Sales reached $10.25 billion, exceeding analyst projections of $9.90 billion and marking a 37.8% increase compared to the prior-year period.
The company has officially announced it will unveil Q2 2026 financial results on August 4 following market close, offering traders a specific near-term milestone for strategic positioning.
Wall Street analysts project full-year earnings per share of $6.15 for fiscal 2026.
Institutional Shareholders Expand Holdings
Resona Asset Management acquired 11,724 additional AMD shares in Q1, bringing its total position to 514,346 units valued at approximately $103.9 million. Major institutional holders including Vanguard, State Street, and Geode Capital all expanded their stakes during Q4.
Institutional ownership currently represents 71.34% of AMD’s shares outstanding.
Meanwhile, company insiders have reduced positions. CEO Lisa Su divested 125,000 shares on June 10 at an average price of $460.69, generating approximately $57.6 million in proceeds. Executive Vice President Forrest Norrod also sold 19,487 units in May. Both transactions occurred through pre-established Rule 10b5-1 trading arrangements.
Wall Street Sentiment and Competitive Landscape
Among 43 Wall Street analysts monitored by MarketBeat, AMD receives two Strong Buy ratings, 28 Buy recommendations, 12 Hold ratings, and one Sell designation.
The consensus price target stands at $453.92, though several recent upgrades have established targets considerably above that benchmark. UBS maintains a $670 objective, Wells Fargo targets $615, and Goldman now projects $640.
William Blair acknowledged that AMD’s GPU offerings have trailed Nvidia’s market dominance, but emphasized AMD has expedited its product development timeline and distinguished itself through enhanced memory capabilities, competitive pricing strategies, and commitment to open-source standards.
AMD shares experienced pressure earlier this week as Nvidia secured an additional client for its Vera AI processors.
The broader equity market presented mixed signals on Thursday, with the Nasdaq advancing 0.2%, while the S&P 500 declined 0.3% and the Dow dropped 1.1%.
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