Key takeaways

  • Analyst Gil Luria of D.A. Davidson raises the price target for Advanced Micro Devices (NASDAQ: AMD) to $600.00, indicating a 24.2% potential upside from its $483.20 share price.
  • AMD reported strong Q3 2026 data center revenue growth of 97% to $8.50 billion, contributing to adjusted earnings of $2.09 per share.
  • The company forecasts over 80% revenue growth in 2027, with data centers expected to comprise more than 80% of sales, despite facing risks like supply limits and a weaker PC market.

AMD, or Advanced Micro Devices, makes processors and chips used in PCs and data centers. It competes with Intel in processors and Nvidia in AI chips. Gil Luria of D.A. Davidson raises his price target for AMD to $600.00. From the $483.20 share price when he announces it, that target represents about 24.2% potential upside.

The higher target comes alongside strong demand for AMD’s data center products. In the third quarter of 2026, data center revenue rises 97% to $8.50 billion, helped by record sales of EPYC processors and Instinct AI accelerators. AMD reports adjusted earnings of $2.09 per share.

Total quarterly revenue rises 44.6% to nearly $13.40 billion, about 2% above expectations. As highlighted by MarketBeat, Ryzen mobile processor sales and growth in AMD’s Embedded business also support results, while gaming revenue falls 40%. The mix shows how much AMD’s growth now depends on data centers.

AMD expects revenue to grow more than 80% in 2027 and data centers to make up more than 80% of sales. That one-year forecast differs from its longer-term model, which sets average annual growth over three to five years. Supply limits, a weaker PC market and higher component costs remain risks to the plan.