Piper Sandler has reaffirmed its Overweight rating on Advanced Micro Devices Inc. (NASDAQ: AMD) and left its price target unchanged at $300.00 following the company's recent quarterly results and outlook. That price target translates to an approximate 24% premium to AMD's current share price of $242.11, with the company's market capitalization reported at $394 billion.
The research firm highlighted that AMD delivered a December-quarter performance that exceeded expectations by about $600 million, and that the company issued March-quarter revenue guidance more than $380 million above consensus. According to InvestingPro data cited by analysts, AMD posted revenue growth of 31.8% over the last twelve months, and Wall Street still projects continued sales expansion for the year ahead.
Piper Sandler pointed to accelerating demand across multiple AMD business lines - Server CPU, data-center GPUs, Client and Embedded - and expects double-digit growth across all these segments through 2026. The firm also flagged total company revenue at $32.03 billion while noting that AMD currently trades at a high price-to-earnings ratio of 126.7.
On the data-center front, Piper Sandler projects roughly 62% year-over-year growth in 2026 and about 66% year-over-year growth in 2027, attributing much of that momentum to AMD's agreement with OpenAI. The analysts added that additional multi-gigawatt deals, some public and some not, could bolster AMD's results in the second half of 2026, and suggested their forecasts "could prove to be conservative."
Recent company disclosures reinforced the upbeat analyst view. Advanced Micro Devices reported fourth-quarter 2025 earnings that beat expectations, with EPS of $1.53 versus an anticipated $1.32, and revenue of $10.3 billion compared with an expected $9.64 billion.
Market reactions among other research shops have varied. KeyBanc Capital Markets raised its price target on AMD to $300, pointing to particularly strong growth in the data-center segment, which KeyBanc said rose 24% quarter-over-quarter and 39% year-over-year. By contrast, Goldman Sachs retained a Neutral rating and a $210 price target, warning that operating expenses running higher than expected could weigh on future results.
Overall, the combined set of results, guidance and analyst commentary illustrates heightened interest in AMD's growth prospects, especially within data-center compute, while also reflecting divergent views about valuation and cost trajectory. Investors and market participants will be watching execution on large cloud and AI-related deals and the company's ability to convert strong revenue growth into sustained margin performance.