Amd nasdaq Amd Stock Advances on Stifel's Bullish Price Forecast

AMD (NASDAQ: AMD) Stock Advances on Stifel’s Bullish Price Forecast

Advanced Micro Devices (NASDAQ: AMD) shares hopped nearly 2% in the pre-market trading Monday after Stifel upgraded its price target on the stock.

Stifel, on Friday, revised the price target for Advanced Micro Devices (AMD) from $170 to $200 per share. The firm’s analysts, in their note, upheld a Buy rating on the stock.

Analysts anticipate that the company’s 4Q earnings results, due on Tuesday, January 30, will align with the December quarter’s guidance midpoint of $6.1 billion and the consensus estimate of $6.13 billion.

Analysts have recently revised their financial forecast for the upcoming March quarter.

They stated,

“We are lowering our March quarter estimate, which was previously above consensus, to $5.7 billion (+6.5% y/y, -6.6% q/q roughly in line with consensus).”

They explained that this adjustment is mainly because their earlier assumptions about the Embedded segment were overly optimistic. They added that the new estimate of $5.7 billion aligns more closely with the consensus. This represents a year-on-year increase of 6.5% but a quarter-on-quarter decrease of 6.6%.

They added,

“Data points across key Industrial and Communications end markets weakened throughout 4Q, and we expect a similar scenario to play out in the near term.”

The company foresees a revival in this division during 2024’s latter half. While Stifel’s 2025 annual predictions remain mostly stable, they have slightly elevated their 2025 forecasts due to enhanced assumptions in the Data Center segment.

AMD (NASDAQ: AMD) Stock Price Action

AMD stock declined -1.71% on Friday. The traders had exchanged hands with 107,049,472 (107.04 million) shares compared to the average daily trading volume of 66.56 million.