Why Did AMD Stock Soar 3.4%? Analysts Upgrade on AI Hopes

On July 10, 2025, Advanced Micro Devices (AMD) saw a 3.4% rise in pre-market trading, reflecting positive market sentiment towards the company's recent developments and future prospects.

HSBC recently upgraded AMD's stock rating from "hold" to "buy," setting a new price target of $200. This upgrade is based on the company's strong product pipeline and optimistic growth prospects in the AI sector. The move by HSBC indicates growing confidence in AMD's ability to capitalize on the increasing demand for high-performance semiconductors driven by advancements in AI technology.

Additionally, Melius Research has also upgraded AMD from "hold" to "buy," increasing its price target to $211. This upgrade is supported by the potential for significant earnings per share growth, driven by the company's AI initiatives and new product offerings. The positive outlook from these analysts suggests that AMD is well-positioned to benefit from the expanding AI market, which is expected to drive substantial revenue growth in the coming years.