AMD's MI300 Chip Gains Momentum, Analyst Predicts Strong Growth and Server Market Success
Portfolio Pulse from Anusuya Lahiri
Piper Sandler analyst Harsh V. Kumar reiterated an Overweight rating on Advanced Micro Devices, Inc (NASDAQ:AMD) with a price target of $195, highlighting strong growth prospects for the MI300 chip, especially in server markets. Kumar predicts $4 billion in MI300 revenues for 2024 and $7.6 billion for 2025. He also noted improvements in server CPU inventories and advancements in chip architecture, positioning AMD well for inference applications and server share growth. AMD stock has gained 86% in the last 12 months, and exposure to AMD can also be gained through IShares Semiconductor ETF (NASDAQ:SOXX) and Invesco PHLX Semiconductor ETF (NASDAQ:SOXQ).
April 05, 2024 | 6:24 pm
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POSITIVE IMPACT
Piper Sandler analyst Harsh V. Kumar reiterates an Overweight rating on AMD with a price target of $195, citing strong growth prospects for the MI300 chip and server market success.
The positive outlook from Piper Sandler, especially with the high revenue projections for the MI300 chip and the advancements in server CPU inventories, suggests a strong growth trajectory for AMD. This, combined with the 86% stock gain in the last 12 months, indicates a high likelihood of continued positive performance in the short term.
CONFIDENCE 90
IMPORTANCE 95
RELEVANCE 100
POSITIVE IMPACT
Investors can gain exposure to AMD's growth through the Invesco PHLX Semiconductor ETF (NASDAQ:SOXQ), which includes AMD in its holdings.
Similar to SOXX, SOXQ is likely to benefit from AMD's positive growth trajectory due to its inclusion of AMD stocks, making it an attractive option for investors seeking semiconductor market exposure.
CONFIDENCE 80
IMPORTANCE 60
RELEVANCE 70
POSITIVE IMPACT
Investors can gain exposure to AMD's growth through the IShares Semiconductor ETF (NASDAQ:SOXX), which includes AMD in its holdings.
Given AMD's strong performance and positive outlook, ETFs like SOXX that hold AMD stocks are likely to benefit from AMD's growth, making them attractive to investors looking for semiconductor exposure.
CONFIDENCE 80
IMPORTANCE 60
RELEVANCE 70