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AMD Draws New Outperform Call on AI Pipeline After Strong Q3

Analysts cite a growing AI pipeline with big‑customer deployments as a path to higher earnings.

Overview

  • Raymond James initiated coverage at Outperform with a $337 price target, pointing to a potential $15 billion AI pipeline by 2026 and expected GPU adoption from OpenAI deployments.
  • Loop Capital reaffirmed a Buy rating with a $290 target, projecting non‑GAAP EPS could exceed $20 within three to five years.
  • AMD reported third‑quarter revenue up 36% year over year to $9.2 billion, while free cash flow tripled, underscoring accelerating data‑center momentum.
  • Analysts and industry reports highlight fifth‑generation Epyc server CPUs taking share from Intel and MI300‑series GPUs drawing interest for AI inference use cases.
  • Recent coverage cites reported deals with OpenAI and Oracle, including an Oracle AI supercluster slated to begin in the third quarter of 2026, as catalysts for AMD’s data‑center GPU growth.