Semiconductor giants Advanced Micro Devices (AMD) and Nvidia (NVDA) received fresh bullish endorsements from Wall Street on Monday, as analysts raised price targets amid accelerating demand for artificial intelligence infrastructure. AMD stock climbed more than 3% in premarket trading to $534.10, while Nvidia edged up 0.2% to $194.83, both buoyed by broader market strength that saw Nasdaq futures rise 1.23% and S&P 500 futures gain 0.47%.
Goldman Sachs lifted its AMD price target to $640 from $450, maintaining a Buy rating. Cantor Fitzgerald went even further, setting the highest target on Wall Street at $700, up from $500, and keeping an Overweight rating. Analyst C.J. Muse pointed to AMD’s strong computing growth momentum as a key reason to favor the stock over competitors like Nvidia and Broadcom. Other firms followed suit: UBS raised its target to $670 on June 24, and Wells Fargo moved to $615 on June 30. The consensus analyst rating remains Buy with an average target of $499.44.
Nvidia also received a vote of confidence. Goldman Sachs analyst James Schneider maintained a Buy rating and a $285 price target, calling the stock attractively valued at less than 14 times his 2027 earnings forecast. He expects Nvidia’s revenue to reach $635 billion next year, representing 55% growth even after factoring in competition from custom AI chips by Alphabet and Amazon and growing CPU usage. Nvidia’s recent quarterly results bolster the optimism: Q1 revenue soared 85.2% year-over-year to $81.61 billion, beating estimates, and the company authorized an $80 billion stock repurchase.
On the product front, AMD’s data center revenue surged 57% year-over-year to $5.8 billion, driven by its EPYC Venice server chips and a partnership with Rackspace Technology. The company also invested in Japanese autonomous driving startup Turing, which uses AMD GPUs for about 10% of its AI training, cutting reliance on Nvidia hardware. AMD’s next earnings report is due August 4, with Wall Street projecting earnings of $1.55 per share, up from $0.48 a year ago, on revenue of $11.28 billion.
While both stocks face near-term resistance — AMD near $546.50 and Nvidia grappling with custom ASIC threats — the analyst upgrades reflect a broader thesis that AI hardware spending will remain robust, benefiting both chipmakers. The upgrades come as investor risk appetite improves across tech and AI sectors, with valuations still considered compelling by some key Wall Street voices.
