[AMD under pressure as analysts diverge on AI prospects]

AMD US0079031078

AMD faced renewed selling pressure in recent sessions after a new round of analyst commentary framed the company in a cautious light within the aggressive AI accelerator space, even as its dominance in consumer and data-center CPUs remains intact.

On Thursday, AMD’s shares fell by about 3.6%. DA Davidson kicked off coverage with a Neutral rating, portraying the semiconductor maker as a marginal player in AI accelerators while it strives to narrow the gap with key rivals.

Beyond DA Davidson, other houses adjusted their models and price targets. UBS trimmed its target price, citing softer expectations for the gaming segment in 2026, though it left the stock’s rating at Buy. RBC Capital Markets, for its part, kept its Sector Perform judgment, stressing that the latest quarterly results were broadly in line with expectations. The firm also highlighted an upside from new revenue streams in China’s AI sector.

These differing calls underscore how tricky the current environment is for AMD as it positions itself in the AI market.

Data-center momentum remains a bright spot

Even amid the share weakness, the underlying fundamentals point to a solid footing. A February 13 note noted a meaningful uptick in AMD’s “Quality Score,” a metric that tracks historical profitability and financial strength, anchored by the company’s Q4 2025 results published on February 3.

In that quarter, AMD reported accelerated growth in its data-center segment, up 39% year over year. Analysts still anticipate healthy revenue expansion for 2026 and 2027, but a central question persists: can AMD close the gap to the leading AI chipmakers?

This backdrop highlights a nuanced picture for AMD—robust data-center demand and a growing contribution from China’s AI ecosystem, even as the competitive AI accelerator landscape remains intensely contested.

@ boerse-global.de | US0079031078 AMD