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AMD Draws Fresh Bullish Models on AI Data-Center Ambitions

New valuation work frames a long-horizon AI ramp with meaningful potential yet unresolved risks.

Overview

  • AMD’s latest quarter showed revenue up 36% to $9.2 billion and earnings up 61% to $1.2 billion.
  • CEO Lisa Su projects more than 35% annual top-line growth over the next three to five years, with AI-related data center revenue expected to rise over 80% per year.
  • A Seeking Alpha analysis models a 31% revenue CAGR through 2030 and pegs base-case fair value near $269 per share, viewing shares as attractive under roughly $211.
  • Shares have gained about 70% this year versus roughly 33% for Nvidia, reflecting rising confidence in AMD’s AI roadmap.
  • Coverage reports a multi-year OpenAI plan to deploy up to 6 gigawatts of AMD GPUs and a potential ~10% stake, with most large deployments expected to be back-loaded and risks tied to execution, timing, and competition.