Stifel Reiterates Buy Rating on AMD (AMD)

Stifel analyst Ruben Roy reiterated a Buy rating and $280.00 price target on AMD (NASDAQ: AMD)

The analyst comments: "AMD reported above-consensus F4Q results ($10.3bn revenue, 57.0% adj-GM, $1.53 adj-EPS vs. $9.7bn, 54.5%, $1.32, respectively), helped by a $390mn MI308 China revenue and accounting tailwinds (i.e. $360mn inventory reserve release tied to previously written-down China inventory). Excluding these factors, pro-forma adj-GM was 55.0% (+80bps y/y). F1Q guidance was above-consensus on revenue ($9.8bn vs. $9.4bn), helped by $100mn in non-recurring China revenue (conservative on guide given lack of visibility), but relatively in line on adj-GM (55.0% vs. 54.7%), with no margin benefit expected from China (i.e. inventory reserves cover these sales). AMD remains on track for the 2H26 production ramp of the MI450- series GPUs and the Helios rack-scale platform. Reaffirmed visibility from the multi-year, phased, 6GW OpenAI deployment and other CSP commitments support management's anticipated >60% CAGR Data Center growth target, from their Investor Day, potentially to be realized starting 2026. Successful rack-scale deployments at scale remains the primary catalyst."

For an analyst ratings summary and ratings history on AMD click here. For more ratings news on AMD click here.

Shares of AMD closed at $242.11 yesterday.

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