Cantor Fitzgerald Reiterates Overweight on Advanced Micro Devices, PT Raised to $200.

Cantor Fitzgerald Reiterates Overweight on Advanced Micro Devices, PT Raised to $200.

Cantor Fitzgerald has reiterated its Overweight rating on Advanced Micro Devices (NASDAQ: AMD) stock, raising its price target to $200 from $140. This move comes following AMD's mixed second-quarter earnings report, which saw the company report revenue of $7.69 billion and earnings per share of $0.48, slightly above consensus estimates. Despite the earnings beat, the stock reacted negatively after hours, with concerns over regulatory hurdles, particularly U.S. export restrictions on AI chips to China, contributing to the sell-off.

Cantor Fitzgerald highlighted several key factors driving their positive outlook on AMD. The firm noted that AMD expects its Instinct processors to drive approximately 75% of the projected $1 billion quarter-over-quarter revenue growth, indicating the early stages of the MI355 product ramp. Additionally, the company's strong financial health, with a comfortable current ratio of 2.8 and low debt levels, underscores its robust financial position.

The Q3 revenue forecast of approximately $8.7 billion, slightly above consensus expectations, also contributed to the analyst's optimism. Gaming was identified as the primary driver of the second-quarter revenue beat, while Data Center growth decelerated to 14% year-over-year, down from 57% year-over-year growth in the first quarter. The company's guidance for the third quarter suggests growing confidence in its AI offerings, with the rollout of the Instinct MI350 series as a key growth driver.

Several other firms have also adjusted their price targets for AMD following the earnings report. Mizuho raised its price target to $183, maintaining an Outperform rating, while JPMorgan increased its target to $180, keeping a Neutral rating. Stifel boosted its price target to $190, citing strong revenue performance and AI compute potential, and Barclays raised its target to $200, emphasizing AMD’s strength in artificial intelligence trends and market share expansion.

Cantor Fitzgerald’s revised rating and price target reflect a positive outlook from analysts, driven by AMD’s growth in AI and data center segments. Despite the recent earnings miss, the company's strong Q3 outlook and rising AI momentum suggest its long-term strategy remains on course.

References:
[1] https://www.benzinga.com/quote/AMD/analyst-ratings
[2] https://www.marketscreener.com/news/cantor-fitzgerald-adjusts-advanced-micro-devices-price-target-to-200-from-140-maintains-overweigh-ce7c5edadc80f721
[3] https://www.investing.com/news/analyst-ratings/amd-stock-price-target-maintained-at-200-by-cantor-fitzgerald-93CH-4173626
[4] https://inews.zoombangla.com/amd-stock-price-q2-2025-forecast/